en pl
en pl

Zeszyty Programu TOP 15

Show issue
Year 2/2021 
Volume 11 

Social Entrepreneurship For Sustainable Innovations: A Case Study Of Fairphone

Agata Bruzi
Akademia Leona Koźmińskiego

2/2021 11 () Zeszyty Programu TOP 15

Abstract

Over the past several years, social entrepreneurship has been recognized as one of the most powerful tools to achieve sustainable development. Since this relationship is relatively new in the literature, there is a need for deeper examination of its many dimensions. This paper aims at analysis of the current state of the phenomenon that is social entrepreneurship for sustainable innovations in terms of innovations, drivers, and measurement of its social impact. The research has been performed with a case study approach on one company, Fairphone, and resulted in demonstrating the existence of a positive relationship between a social enterprise creating sustainable innovations and achieving both a social and environmental impact. Moreover, the research allowed categorization of sustainable innovations that exist in the company, with reference to existing literature, creation an appropriate set of drivers influencing its actions (with new findings in terms of both internal and external drivers), and broad analysis of the social impact along with its measurement.

References

  1. Abdullah, M., Mokhtar, S.A., and Tong, D.Y.K. (2014). A Conceptual Framework for Social Entrepreneurship in Malaysia. International Journal of Contemporary Business Management, 1(1), 52–62. [Google Scholar]
  2. Aggarwal, P. (2013). Sustainability Reporting and its Impact on Corporate Financial Performance: a Literature Review. Indian Journal on Commerce and & Management Studies, September, 51–59. [Google Scholar]
  3. Alvord, S.H., Brown, L.D., and Letts, C.W. (2004). Social entrepreneurship and social transformation: An exploratory study. The Journal of Applied Behavioral Science, 40(3), 260–282. [Google Scholar]
  4. Anderson, A. R., and Gaddefors, J. (2017). Entrepreneurship and context: when entrepreneurship is greater than entrepreneurs. International Journal of Entrepreneurial Behaviour & Research, 23(2), 267–278. [Google Scholar]
  5. Annupreeti, and Ghanshyan (2014). Social Entrepreneurship: A step towards Sustainability. International Journal of Advance Research in Computer Science and Management Studies. 2(9), 210–216. [Google Scholar]
  6. Austin, J., Stevenson, H., and Wei-Skillern, J. (2006). Social and commercial entrepreneurship: same, different, or both? Entrepreneurship: Theory and Practice Journal, 30(1), 370–384. [Google Scholar]
  7. Bacq, S., and Janssen, F. (2011). The multiple faces of social entrepreneurship: A review of definitional issues based on geographical and thematic criteria. Entrepreneurship & Regional Development, 23(5–6), 373–403. [Google Scholar]
  8. Bahena-Álvarez, I. L., Cordón-Pozo, E., and Delgado-Cruz, A. (2019). Social Entrepreneurship in the Conduct of Responsible Innovation: Analysis Cluster in Mexican SMEs. Sustainability, 11, 3714. [Google Scholar]
  9. Bansal, S., Garg, I., and Sharma, G.D. (2019). Social Entrepreneurship as a Path for Social Change and Driver of Sustainable Development: A Systematic Review and Research Agenda. Sustainability, 11(4), 1091. [Google Scholar]
  10. Barton, M., Canavati, S., and Schaefer, R. (2018). To Be or Not to Be a Social Entrepreneur: Motivational Drivers amongst American Business Students. Entrepreneurial Business and Economics Review, 6(1), 9–35. [Google Scholar]
  11. Baumol, W.J. (2002). The Free-Market Innovation Machine: Analyzing the Growth Miracle of Capitalism. New Jersey: Princeton University Press. [Google Scholar]
  12. Belz, F.M. (2013). Shaping the future: Sustainable innovation and entrepreneurship. Social Business, 3(4), 311–324. [Google Scholar]
  13. Bessant, J., Tidd, J. (2009). Managing innovation: Integrating technological, market and organizational change. 4th ed. Hoboken: John Wiley & Sons. [Google Scholar]
  14. Bornstein, D., and Davis, S. (2010). Social entrepreneurship: What Everyone Needs to Know. New York: Oxford University Press. [Google Scholar]
  15. Bossink, B.A.G. (2011). Managing Environmentally Sustainable Innovation. New York: Routledge. [Google Scholar]
  16. Braga, J.C., Ferreira, M.R., and Proenca, T. (2014). Motivations for social entrepreneurship from Portugal. Tékhne: Review of Applied Management Studies, 12(1), 11–21. [Google Scholar]
  17. Braunerhjelm, P., and Hamilton, S. (2012). Social entrepreneurship – a survey of current research. Working Paper Series from Swedish Entrepreneurship Forum, working paper 2012:09. [Google Scholar]
  18. Brouard, F., and Larivet. S. (2010). Brouard, F., and Larivet. S. (2010). Essay of clarifications and definitions of the related concepts of social enterprise, social entrepreneur, and social entrepreneurship. In: A. Fayolle and H. Matlay, Handbook of Research on Social Entrepreneurship, Cheltenham: Edward Elgar. [Google Scholar]
  19. Bruyat, C., and Julien, P.A. (2000). Defining the Field of Research in Entrepreneurship. Journal of Business Venturing, 16(2), 165–180. [Google Scholar]
  20. Cheney, G., and Roper, J. (2005). The meanings of social entrepreneurship today. Corporate Governance International Journal of Business in Society, 5(3), 95–104. [Google Scholar]
  21. Clausen, H., and Hafkesbrink, J. (2005). Water Management Towards Sustainability – An Indicator System to Assess Innovations. In: J. Horbach, Indicator Systems for Sustainable Innovation. Heidelberg: Physica-Verlag. [Google Scholar]
  22. Daneke, G.A., Hall, J.K., and Lenox, M.J. (2010). Sustainable development and entrepreneurship: Past contributions and Future Directions. Journal of Business Venturing, 25(5), 439–448. [Google Scholar]
  23. Dearing, A. (2000). Sustainable Innovation: Drivers and Barriers. Geneva: OECD TIP workshop. [Google Scholar]
  24. Dees, J. G., and Anderson, B. B. (2006). Framing a Theory of Social Entrepreneurship: Building on Two Schools of Practice and Thought. In: R. Mosher-Williams (ed.), Research on Social Entrepreneurship: Understanding and Contributing to Emerging Field. Washington: ARNOVA Occasional Paper Series, 1(3), 39–68. [Google Scholar]
  25. Defourny, J., and Nyssens, M. (ed.) (2008). Social Enterprise in Europe: Recent Trends and Developments. EMES Working Papers Series, WP no. 08/01, EMES European Research Network. [Google Scholar]
  26. Defourny, J., and Nyssens, M. (2012). The EMES Approach of Social Enterprise in a Comparative Perspective. EMES Working Papers Series, WP no. 12/03, EMES European Research Network. [Google Scholar]
  27. Dev, A., and Singhal, N.S. (2016). Global Reporting Initiative, Sustainability Reporting. Proceedings of the 6th International Conference on Operation and Technology Offshore Support Vessels, At Singapore. [Google Scholar]
  28. Di Zhang, D., and Swanson, L.A. (2014). Linking Social Entrepreneurship and Sustainability. Journal of Social Entrepreneurship, 5(2), 175-191. [Google Scholar]
  29. Dooley, L., and O’Sullivan D. (2009). Applying Innovation. Thousand Oaks: SAGE Publications. [Google Scholar]
  30. European Commission (2014). Proposed Approaches to Social Impact Measurement. Luxembourg: Publication Office of European Union. [Google Scholar]
  31. European Commission (2016). Social Enterprises and their Eco-systems: Development in Europe. Brussels: European Commission, Directorate-General for Employment, Social Affairs and Inclusion. [Google Scholar]
  32. Fairphone (2015). What to do with your old phones across Europe. https://www.fairphone.com/wp-content/uploads/2015/03/Fairphone_LocalRecyclingList.pdf (Accessed 18 December 2019). [Google Scholar]
  33. Fairphone (2015a). Cost breakdown of the Fairphone 2. https://www.fairphone.com/wp-content/uploads/2015/09/Fairphone2-Cost-Breakdown.pdf (Accessed 17 December 2019). [Google Scholar]
  34. Fairphone (2016). Fairphone fact sheet. https://www.fairphone.com/wp-content/uploads/2016/08/Fairphone-factsheet_EN.pdf (Accessed 3 March 2019). [Google Scholar]
  35. Fairphone (2016a). Fairphone Urban Mining Manual: Leader’s Guide: A workshop to explore the story behind your phone. https://www.fairphone.com/wp-content/uploads/2016/09/Fairphone-Urban-Mining-Leaders-Guide.pdf (Accessed 18 December 2019). [Google Scholar]
  36. Fairphone (2016b). Fairphone Urban Mining Manual: Miner’s Guide: A workshop to explore the story behind your phone. https://www.fairphone.com/wp-content/uploads/2016/09/Fairphone-Urban-Mining-Manual.-Miners-Guide.pdf (Accessed 18 December 2019). [Google Scholar]
  37. Fairphone (2017). Ways of Working Together. https://www.fairphone.com/wp-content/uploads/2017/09/Ways_of_Working_Together_Fairphone-1.pdf (Accessed 18 December 2019). [Google Scholar]
  38. Fairphone (2018). We’re here and we’re here to stay. Impact Report No. 1. https://www.fairphone.com/wp-content/uploads/2018/11/Fairphone_Report_DEF_WEB.pdf (Accessed 19 December 2019). [Google Scholar]
  39. Fayolle, A., and Matlay, H. (2010). Social entrepreneurship: a multicultural and multidimensional perspective. In: A. Fayolle and H. Matlay, Handbook of Research on Social Entrepreneurship, Cheltenham: Edward Elgar. [Google Scholar]
  40. GECES Sub-group on Impact Measurement (2013). Proposed Approaches to Social Impact Measurement in European Commission legislation and in practice relating to: EuSEFs and the EaSI. The Group of Experts of the European Commission on Social Entrepreneurship. [Google Scholar]
  41. Glinka, B., and Gudkova, S. (2011). Przedsiębiorczość. Warszawa: Wolter Kluwer Polska. [Google Scholar]
  42. Goodstein, E. S. (2002). Economics and the environment. New York: John Wiley & Sons. [Google Scholar]
  43. Gouvens (2019). Fairphone 2 camera modeul out of stock. https://www.fairphone.com/en/2019/10/29/fairphone-2-camera-module-out-of-stock/ (Accessed: 17 December 2019). [Google Scholar]
  44. Gulati, R., and Nohria, N. (1996). Is slack good or bad for innovation? The Academy of Management Journal, 39, 1245–1264. [Google Scholar]
  45. Granados, M., Hlupic, V., Coakes, E. and Mohamed, S. (2011). Social enterprise and social entrepreneurship research and theory. Social Enterprise Journal, 7(3), 198–218. [Google Scholar]
  46. Green, M., Rabinowitz, G., and Rogerson, A. (2013). Mixing business and social: What is a social enterprise and how can we recognise one? Working paper, ODI, December 2013. [Google Scholar]
  47. Grenier, P. (2006). Social entrepreneurship: agency in a globalizing world. In: A. Nicholls (ed.), Social Entrepreneurship: New Models of Sustainable Social Change, Oxford: Oxford University Press, 119–143. [Google Scholar]
  48. Grimes, M., McMullen, J.S., Miller, T. L., and Vogus, T.J. (2013). Studying the Origins of Social Entrepreneurship: Compassion and the Role of Embedded Agency. The Academy of Management Review, 38(3), 460–463. [Google Scholar]
  49. Halme, M., and Korpela, M. (2013). Responsible Innovation Toward Sustainable Development in Small and Medium-Sized Enterprises: a Resource Perspective. Business Strategy and the Environment, 23(8), 547–566. [Google Scholar]
  50. Harriss, J. (2013). Development Theories. In: B. Currie-Alder, R. Kanbur, D.M. Malone, and R. Medhora (eds.), International Development: Ideas, Experience, and Prospects. Oxford: Oxford University Press. [Google Scholar]
  51. Hautamäki, A. and Oksanen, K. (2015). Sustainable Innovation: A Competitive Advantage for Innovation Ecosystems. Technology Innovation Management Review, 5(10), 24–30. [Google Scholar]
  52. Hockerts, K., Morsing, M., Eder-Hansen, J., Krull, P., Midttun, A., Halme, M., Sweet, S., Davidsson, P., and Nurmi, P. (2008). CSR-driven innovation: Towards the Social Purpose Business. Frederiksberg: Center for Corporate Social Responsibility, CBS. [Google Scholar]
  53. Hockerts, K., and Kannampuzha, M.J. (2019). Organizational social entrepreneurship: social development and validation. Social Enterprise Journal, 15(3), 290–319. [Google Scholar]
  54. Hudon, M., and Huybrechts, B. (2017). From Distant Neighbours to Bedmates: Exploring the Synergies between the Social Economy and Sustainable Development. Annals of Public and Cooperative Economics, 88(2), 141–154. [Google Scholar]
  55. ILO International Labour Organization (2011). Introduction to Social Enterprise. Learners’ Guide. Pretoria: International Labour Organization. [Google Scholar]
  56. Iwu, C. G, Malunga, P., and Mugobo V. V. (2014). Social Entrepreneurs and Sustainable Development. A Literature Analysis. Mediterranean Journal of Social Sciences, 5(16), pp. 18-26. [Google Scholar]
  57. Jarillo, C.J. and Stevenson, H.H. (1990). A Paradigm of Entrepreneurship: Entrepreneurial Management. Strategic Management Journal, 11 (Special Issue: Corporate Entrepreneurship), 17–27. [Google Scholar]
  58. Kahn, K.B. (2012). The PDMA handbook of new product development. Hoboken: John Wiley & Sons. [Google Scholar]
  59. Kerlin, J.A. (2006). Searching for Social Entrepreneurs: Who They Might Be, Where They Might Be Found, What They Do. In: R. Mosher-Williams (eds.), Research on Social Entrepreneurship: Understanding and Contributing to Emerging Field. Washington: ARNOVA Occasional Paper Series, 1(3), 105–126. [Google Scholar]
  60. Kickul, J. and Lyons, T. S. (2012). Understanding Social Entrepreneurship: The Relentless Pursuit of Mission in an Ever Changing World. New York: Routledge. [Google Scholar]
  61. Kim D., and Lim, U. (2017). Social Enterprise as a Catalyst for Sustainable Local and Regional Development. Sustainability 2017, 9(8), 14–27. [Google Scholar]
  62. Lamy, E. (2019). How to make Social Entrepreneurship Sustainable? A Diagnosis and a Few Elements of a Response. Journal of Business Ethics, 155(3), 645–662. [Google Scholar]
  63. Light, P.C. (2006). Searching for Social Entrepreneurs: Who They Might Be, Where They Might Be Found, What They Do. In: R. Mosher-Williams (ed.), Research on Social Entrepreneurship: Understanding and Contributing to Emerging Field. Washington: ARNOVA Occasional Paper Series, 1(3), 13–38. [Google Scholar]
  64. Lombardo, G., Mazzocchetti, A., Rapallo, I., Tayser, N., and Cincotti, S. (2019). Assessment of the Economic and Social Impact Using SROI: An Application to Sport Companies. Sustainability, 11(13). [Google Scholar]
  65. Lozano, R. (2015). A holistic perspective on corporate sustainability drivers. Corporate Social Responsibility and Environmental Management, 22, 32–44. [Google Scholar]
  66. Madan, R. (2007). Demystifying outcome measurement in community development. Joint Center for Housing Studies of Harvard University, NeighborWorks America. [Google Scholar]
  67. Mair, J. and Martí, I. (2006). Social entrepreneurship research: A source of explanation, prediction, and delight. Journal of World Business, 41(2006), 36–44. [Google Scholar]
  68. Mair, J., and Noboa, E. (2006). Social entrepreneurship: How intentions to create a social venture are formed. In: J. Robinson and K. Hockerts (eds.), Social entrepreneurship, New York: Palgrave Macmillan. [Google Scholar]
  69. Mair, J., and Seelos, C. (2004). Social entrepreneurship. The contribution of individual entrepreneurs to sustainable development. Working Paper No. 553, IESE Business School. [Google Scholar]
  70. Mariados, B.J., Mouri N., and Tansuhaj P.S. (2011). Marketing capabilities and innovation-based strategies for environmental sustainability: an exploratory investigation of B2B firms. Industrial Marketing Management, 40(8), 1305–1318. [Google Scholar]
  71. Martin, R.L., and Osberg, S. (2007). Social Entrepreneurship: The Case for Definition. Stanford Social Innovation Review, 2007, 29–39. [Google Scholar]
  72. Merrett S. (2014). Introduction to the economics of water resources: an international perspective. New York: Routledge. [Google Scholar]
  73. Moradi, M., Rahdari, A. and Sepasi, S. (2016). Achieving sustainability through Schumpeterian social entrepreneurship: The role of social enterprises. Journal of Cleaner Production, 137(2016), 347–360. [Google Scholar]
  74. OECD (2015). Policy Brief on Social Impact Measurement for Social Enterprises: Policies for Social Entrepreneurship. Luxembourg: Publication Office of the European Union. [Google Scholar]
  75. Öztürk, F. (2013). Understanding Social Entrepreneurship and Features of it. Studia i Materiały, 16, 43–55. [Google Scholar]
  76. Pärenson, T., (2011). The criteria for a solid impact evaluation in social entrepreneurship, Society and Business Review, 6(1), 39–48. [Google Scholar]
  77. Parkinson, A. (2014). Framing Social Impact Measurement. Research Report R-1567-14-RR. New York: The Conference Board. [Google Scholar]
  78. Picciotti, A. (2017). Towards Sustainability: the Innovation Paths of Social Enterprise. Special Issue: Social Economy and Sustainable Development, 88(2), 233–256. [Google Scholar]
  79. Pöyhönen, P. and Simola, E. (2007). Connecting Components, Dividing Communities: Tin Production for Consumers Electronics in the DR Congo and Indonesia. Helsinki: FinnWatch. [Google Scholar]
  80. Rai, S.K. (2008). Indian entrepreneurs: An empirical investigation of entrepreneur’s age and firm entry, type of ownership and risk behavior. Journal of Services Research, 8(1), 213–228. [Google Scholar]
  81. Robinson, J. (2006). Navigating Social and Institutional Barriers to Markets: How Social Entrepreneurs Identify and Evaluate Opportunities. In: J. Mair, K. Hockerts, and J. Robinson (eds.), Social Entrepreneurship. New York: Palgrave Macmillan. [Google Scholar]
  82. Santos, F.M. (2012). A Positive Theory of Social Entrepreneurship. Working Paper, 2009/23/EFE/ISIC, INSEAD The Business School for The World. [Google Scholar]
  83. Schumpeter, J.A. (1942). Capitalism, Socialism, and Democracy. New York: Harper and Row. [Google Scholar]
  84. Starnawska, M. (2016). Social Entrepreneurship and its hybridity in determining resource challenges and chances. Studia Oeconomica Posnaniensia, 4(5), 38–53. [Google Scholar]
  85. Stokols, D., and Trivedi, C. (2011). Social Enterprises and Corporate Enterprises: Fundamental Differences and Defining Features. The Journal of Entrepreneurship, 20(1), 1–32. [Google Scholar]
  86. Tan, T., Tan. W., and Williams, J. (2005). Defining the ‘Social’ in ‘Social Entrepreneurship’: Altruism and Entrepreneurship. International Entrepreneurship and Management Journal, 1(3), 353–365. [Google Scholar]
  87. Tello S., and Yoon E. (2009). Drivers of Sustainable Innovation: Exploratory Views and Corporate Strategies. Seoul Journal of Business, 15(2), 85–115. [Google Scholar]
  88. Tyrrell, H. (2018). The Potential of Social Enterprise for Social Care: Literature Review. Cardiff: Wales School for Social Care Research. [Google Scholar]
  89. UCLA Sustainability Committee. (2016). UCLA Sustainability Charter. Los Angeles: University of California in Los Angeles. [Google Scholar]
  90. United Nations Conference on Trade and Development. (2017). New innovation approaches to support the implementation of sustainable development goals. Geneva: United Nations (UNCTAD/DTL/STICT/2017/4). [Google Scholar]
  91. Urry, J. (2010). Consuming the Planet to Excess. Theory, Culture and Society, 27(2–3), 191–212. [Google Scholar]
  92. Varadajaran, R. (2017). Innovating for sustainability: a framework for sustainable innovations and a model of sustainable innovations orientation. Journal of the Academy of Marketing Science, 45(1), 14–36. [Google Scholar]
  93. Verner, J. M., Sampson, J., Tosic, V., Bakar, N. A., and Kitchenham, B. A. (2009). Guidelines for industrially-based multiple case studies in software engineering. 2009 Third International Conference on Research Challenges in Information Science. [Google Scholar]
  94. Weis, B.X. (2015). From idea to innovation: A Handbook for Investors, Decision Makers and Organizations. Berlin: Springer-Verlag. [Google Scholar]
  95. Yin, R.K. (2014). Case Study Research: Design and Methods. 5th ed. London: Sage. [Google Scholar]
  96. Young, D.R., and Salamon, L.M. (2002). Commercialization, Social Ventures and For-Profit Competition. In: L.M. Salamon (ed.), The State of Nonprofit America, Washington: Brookings Institution Press. [Google Scholar]
  97. Zahra, S.A., Gedajlovic, E., Neubaum, D.O. and Shulman, J.M. (2009). A typology of social entrepreneurs: Motives, search processes and ethical challenges. Journal of Business Venturing, 24(5), 519–532. [Google Scholar]

Full metadata record

Cite this record

APA style

Bruzi, Agata (2019). Social Entrepreneurship For Sustainable Innovations: A Case Study Of Fairphone. (2019). Social Entrepreneurship For Sustainable Innovations: A Case Study Of Fairphone. Zeszyty Programu Top 15, 11. (Original work published 2/2021AD)

MLA style

Bruzi, Agata. “Social Entrepreneurship For Sustainable Innovations: A Case Study Of Fairphone”. 2/2021AD. Zeszyty Programu Top 15, vol. 11, 2019.

Chicago style

Bruzi, Agata. “Social Entrepreneurship For Sustainable Innovations: A Case Study Of Fairphone”. Zeszyty Programu Top 15, Zeszyty Programu TOP 15, 11 (2019).