Macro-level enabling conditions for the formation of social business enterprises in the Philippines

• Main Author: Aaron Laylo
• Format: Article
• Language: English
• Published: Emerald Publishing 2018-05-01
• Series: Asia Pacific Journal of Innovation and Entrepreneurship
• Subjects: Financial services; Social entrepreneurship; Entrepreneurial culture; Good governance; Entrepreneurial formation and growth; Inclusive economy
• Online Access: https://www.emeraldinsight.com/doi/pdfplus/10.1108/APJIE-12-2017-0044
• ISSN: 2071-1395; 2398-7812

Purpose - A conducive and enabling environment is imperative for the formation of sustainable social business enterprises (SBEs). This paper aims to identify the macro-level enabling conditions necessary for SBE formation and to analyze them in the context of the Philippines, an emerging economy that is yet to be transformed into an inclusive one. Design/methodology/approach - Major developments on micro-, small- and medium-sized enterprises, specifically on social enterprises, were revisited and analyzed. The author also looked into how they are sustained, supported and nurtured in the Philippines’ overall economic landscape. Extensive data were collected from relevant agencies in public and private sectors, after which they were analyzed parallel to existing academic literature, i.e. theories, models and concepts, on social entrepreneurship and development nexus. Findings - It has been found that the four macro-level enabling conditions, namely, governance, socially inclusive economic approach, financial services and entrepreneurial culture, presumed to be vital for SBE formation, contribute to the latter at various levels, but surely complement each other in the process. Research limitations/implications - The significance of exploring the context in which social enterprises are formed and flourish lies in the sheer importance of understanding the sustained prevalence of SBEs in many economies – both in developed and developing ones. Originality/value - By having a more structured knowledge of the components surrounding SBE formation, the community may be able to also simultaneously explore why and how social entrepreneurs form profit-earning business entities that are primarily driven by social advocacies and goals.