In this paper we conceptualize the approaches to Finnish Social Enterprises. Specifically, we describe institutional trajectories of Finnish Social Enterprise models and emerging social enterprise eco-system. Our research follows the framework and writings of International Comparative Social Enterprise Models (ICSEM) project. Also, we aim to contribute to the research on comparative social enterprise models and their respective institutionalization processes internationally (Dees, 1998; Defourny & Nyssens, 2012; Kerlin, 2006).
We begin with dividing the Finnish social enterprise field into institutionalized and non- institutionalized forms. This division helped us to understand the external driving forces of social enterprise developments. The institutional forms of social enterprises in Finland are (1) work integration social enterprises and (2) organizations awarded by Finnish Social Enterprise Mark.
Yet according to recent studies, there exist potential social enterprises that are not seeking to be included to above mentioned institutional forms. These recognized potential social enterprises are (3) (new) cooperatives, (4) private work integration organizations, (5) social and welfare service organizations owned by associations and foundations, and (6) social impact oriented small businesses (smart-ups). Previous research has identified how the organizations in these categories have varying production and social mission, governance and ownership structures, and the financial structures (Grönberg & Kostilainen, 2012; Houtbeckers, 2014; Kostilainen & Grönberg, 2013; Kostilainen & Pättiniemi, 2013; Kostilainen & Tykkyläinen, 2015; Pättiniemi, 2006).
Based on our analysis of these categories, we identified a new typology of Finnish Social Enterprises. The typology consists of (a) social enterprises providing public (welfare) services, (b) emerging alternative economic initiatives, and (c) impact businesses and smart-ups.
For data collection and analysis, we apply International Comparative Social Enterprise Models (ICSEM) project approach and framework. We select three emblematic cases from each area of the typology (a, b, c) which are then described in-depth in the paper. For reliable data set concerning the cases we combine interviews, publicly available registers, and databases.
This research makes three contributions. First, it contributes to the International Comparative Social Enterprise Model Research (ICSEM) project. Second, the developed and empirically researched new typology adds to the knowledge of the social enterprise field in Finland. Finally, this study serves Finnish practitioners to better understand the emerging eco-system and the diverse forms and needs of social enterprises.
References
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