Interaction between social enterprises and key actors shaping the field: experiences from the social and health sectors in Hungary

Abstract

Purpose In Hungary, as in other Central and Eastern European countries, the concept of social enterprise (SE) has attracted increased attention in recent years, with certain key actors shaping the organisational field. This growing interest is largely because of the availability of European Union funds focussing on the work integration of disadvantaged groups but ignoring other possible roles of SEs. This study aims to consider a seldom examined and underfunded area: SEs’ institutional environment and organisational activities in the social and health sectors. Design/methodology/approach Based on neoinstitutional theory, the paper uses desk research and qualitative case studies. It presents the experiences of SEs providing social and health services for specific disadvantaged groups. Findings This paper identified the key actors influencing the everyday operation of SEs and examined their connections, interactions and partnerships. Based on the findings, SEs primarily depend on the central state, public social and health institutions and local governments. At the same time, their connections with private customers, networks, development and support organisations, third sector organisations and for-profit enterprises are less significant. The key actors have a relevant impact on the legal form, main activities and the financial and human resources of SEs. SEs, however, have little influence on their institutional environment. Originality/value The paper contributes to understanding the opportunities and barriers of SEs in Hungary and, more generally, in Central and Eastern Europe, especially regarding their place in social and health services.