Coopetition in social entrepreneurship: a strategy for social value devolution

Abstract

PurposeCoopetition is a well-studied phenomenon in traditional enterprises. However, it lacks deepening in the social sphere, specifically on hybrid organizations (social and commercial goals). This paper analyzes the configuration of coopetition strategies in social enterprises and how these strategies can improve social value devolution.Design/methodology/approachThe authors conducted a multicase study with Brazilian social enterprises and a social incubator. Semistructured interviews with founders of the social enterprises and the president of the incubator were the primary sources of evidence, supported by observations and secondary data.FindingsThe authors identified four main findings: (1) the social incubator induces coopetition among social enterprises; (2) coopetition is necessary to improve market performance; (3) coopetition is a natural strategy resulting from the activity of the social enterprise; (4) the behavior and context of social enterprises generate a new framework for coopetition formation. This framework comprises three stages of value: a social cooperation level to co-creation of value; second, a social competition level to the appropriation of value; and the third coopetition-balanced level to social value devolution.Originality/valueThe authors advance knowledge on coopetition in an exciting, underexplored context, social entrepreneurship. The authors highlight that the coopetition nature and outcome in social enterprises have specificities compared to traditional businesses. The authors also improve the understanding of social value devolution based on simultaneous cooperation and competition among small social enterprises, allowing theoretical and practical implications. Thus, they advance the recurring discussion in coopetition literature beyond the generation and appropriation of value.