Abstract
Over recent years the value of start-ups has been changing rapidly. This paper presents a methodological and quantitative model of the emergent valued practices. Using the SABI data in 2012 it is shown the social value of start-up and consolidate companies; at least in two of its aspects: generation of economic value with social impact and socio-economic return. The application of this model makes possible the quantitative and monetized comparison of integrated value between companies, which would involve more efficient decision-making. Quantitative analysis revealed that this model makes possible the comparison between start-up and consolidated companies. The results indicate that there are differences between them and the created value of start-up companies is bigger than that created by consolidated ones; at least in relation to suppliers, administration and shareholders. It reinforces the importance of the start-up companies in our society from the value point of view and reflects the need by authorities to improve the quality and process of value quantification using the social frameworks. Moreover this model could be used as a tool to value the benchmarking process of the social entrepreneurship.
This work is part of the research group ECRI and it is supported by UPV/EHU research project (EHUA 12/04), UFI11/51 and FESIDE.
Access this chapter
Tax calculation will be finalised at checkout
Purchases are for personal use only
References
Argandoña A (2011) El bien común. Documento de investigación. Cátedra “la Caixa” de responsabilidad social de la empresa y gobierno corporativo, vol DI-77, Working paper IESE. IESE, Barcelona
Barraket J, Yousefpour N (2014) Evaluation and social impact measurement amongst small to medium social enterprises: process, purpose and value. Aust J Public Admin 72(4):447–458
Bonini S, Emerzon J (2005) Maximizing blended value–building beyond the blended value map to sustainable investing. Philanthropy and Organizations. Available at www.blendedvalue.org
Brooks AC (2008) Social entrepreneurship: a modern approach to social value creation. Brooks/Prentice Hall, Upper Saddle River
Carroll AB (1999) Corporate social responsibility – evolution of a definitional construction. Bus Soc 38(3):268–295
Clarkson MB (1995) A stakeholder framework for analyzing and evaluating corporate social performance. Acad Manag Rev 20(1):92–117
Emerson J, Twersky F (1996) New social entrepreneurs: the success, challenge and lessons of non-profit enterprise creation. The Roberts Foundation Homeless Economic Fund, San Francisco
Emerson J, Wachowitz J, Chun S (2000) Social return on investment: exploring aspects of value creation in the nonprofit sector. Chapter 8, 131–173. The Robert Enterprise Development Fund. Retrieved 1 Nov 2013 from http://www.redf.com
Fernandes P, Rocha J, Rodrigues F (2011) The complete ethics chain of value: from social and ethical principles to the role of the official auditing and accounting revision entities. Int J Manag Enterp Dev 10(2):216–231
Freeman RE (1984) Strategic management: a stakeholder approach. Pitman, Boston
Freeman RE, Wicks AC, Parmar B (2004) Stakeholder theory and “the corporate objective revisited”. Organ Sci 15(3):364–369
Freeman RE, Harrison JS, Wicks AC, Parmar BL, De Colle S (2010) Stakeholder theory: the state of the art. Cambridge University Press, Cambridge
Gassenheimer JB, Houston FS, Davis JC (1998) The role of economic value, social value, and perceptions of fairness in interorganizational relationship retention decisions. J Acad Mark Sci 26:322–337
Gawel A (2006) Corporate social responsibility: standards and objectives driving corporate initiatives. Pollution probe, Working paper. Available at www.pollutionprobe.org (4 de Abril 2009)
Granados ML, Hlupic V, Coakes E, Mohamed S (2011) Social enterprise and social entrepreneurship research and theory: a bibliometric analysis from 1991 to 2010. Soc Enterp J 7(3):198–218
Groth JC, Byers SS, Bogert JC (1996) Capital, economic returns and the creation of value. Manag Decis 24(6):21–30
Javits C (2008) REDF’S current approach to SROI, San Francisco, Roberts Enterprise Development Fund. Available at www.redf.org/learn-from-redf/publications/119. 8 Dec 2008
Jensen MC (2001) Value maximization, stakeholder theory, and the corporate objective function. Eur Finan Manag 7:297–317
Kaplan RS, Norton DP (1996) Using the balanced scorecard as a strategic management system. Harv Bus Rev 74(1):75–85
Kaplan RS, Norton DP (2004) Strategy maps: converting intangible assets into tangible outcomes. Harvard Business, Boston
Kaplan R, Norton DP (2013) Alignment: using the balanced scorecard to create corporate synergies. Harvard Business, Boston
Kaufmann A, Gil Aluja J (1986) Introducción de la teoría de los subconjuntos borrosos a la gestión de las empresas. Milladoiro, Santiago de Compostela
Korsgaard S, Anderson AR (2011) Enacting entrepreneurship as social value creation. Int Small Bus J 29(2):135–151
Kraus S, Filser M, O’Dwyer M, Shaw E (2013) Social entrepreneurship: an exploratory citation analysis. Rev Managerial Sci 1:1–18
Lewin K (1946) Action research and minority problems. J Soc Issues 2(4):34–46
Mazurkiewicz P (2004) Corporate environmental responsibility: is a common CSR framework possible? Working paper at DevComm- SDO. Mundial Bank. Available at www.go.worldbank.org/RDYD5ZU9PO
Melé D (2009) The view and purpose of the firm in Freeman’s stakeholder theory. Philos Manag 8:3–13
Mill GA (2006) The financial performance of a socially responsible investment over time and a possible link with corporate social responsibility. J Bus Ethics 63(2):131–148
Murillo D, Lozano J (2006) SMEs and CSR: an approach to CSR in their own words. J Bus Ethics 67:227–240
Nelson RR, Winter SG (1982) An evolutionary theory of economic change. Harvard University Press, Harvard
Neron PY, Norman W (2008) Do we really want businesses to be good corporate citizens? Bus Ethics Q 18(1):1–26
Nicholls A (2009) We do good things, don’t we?: “Blended value accounting”. Social entrepreneurship. Acc Organ Soc 34(6):755–769
Olsen S, Galimidi B (2008) Catalog of approaches to impact measurement: assessing social impact in private ventures. The Rockefeller Foundation, San Francisco: Social Venture Technology Group
Olsen S, Nicholls J (2005) A framework for approaches to SROI. DRAFT for Haas social metrics conference reviewers (working paper). Berkeley Retrieved 10 May 2013
Polkinghorne DE (1989) Phenomenological research methods. In: Valle RS, Halling S (eds) Existential-phenomenological perspectives in psychology: exploring the breadth of human experience. Plenum Press, New York
Porter ME, Kramer MR (2006) The link between competitive advantage and corporate social responsibility. Harv Bus Rev 84(12):78–92
Porter ME, Kramer MR (2011) Creating shared value. Harv Bus Rev 89(1/2):62–77
Reason P, Bradbury H (eds) (2001) The SAGE handbook of action research. Participative inquiry and practice, 1st edn. Sage, London
Retolaza JL, San-Jose L (2015) SPOLY. Forthcoming
Retolaza JL, Ruiz-Roqueñi M, San-Jose L (2009) CSR in business start-ups: an application method for stakeholder engagement. Corp Soc Responsib Environ Manag 16(6):324–336
Retolaza JL, Torres J, San-Jose L (2012) La utilización del cuadro de mando integral en el tercer sector, una oportunidad por descubrir. ACCID 14(2):89–107
Retolaza JL, San-Jose L, Ruiz-Roqueñi M (2014) Ontological stakeholder view: an innovative proposition. Glob Bus Rev 15(1):25–36
San-Jose L, Retolaza JL (2012) Participation of stakeholders in corporate governance: foundation ontological and methodological proposal. Universitas Psychologica 11(2):619–628
Scholten P, Nicholls J, Olsen S, Galimidi B (2006) Social return on investment. A guide to SROI analysis, 1st edn. Lenthe Publishers, Ámsterdam
Schumpeter J (1909) On the concept of social value. Q J Econ 23(2):213–232
Short JC, Moss TW, Lumpkin GT (2009) Research in social entrepreneurship: past contributions and future opportunities. Strat Entrep J 3(2):161–194
Tapscott D, Ticoll D (2003) The naked corporation: how the age of transparency will revolutionize business. Viking Canada, Toronto
Thompson J, Alvy G, Lees A (2000) Social entrepreneurship-a new look at the people and the potential. Manag Decis 38(5):28–338
Tuan M (2008) Measuring and/or estimating social value creation: insights into eight integrated cost approaches. Bill and Melinda Gates Foundation. University Press, Narberth, PA
Williamson O, Winter SG (1993) The nature of the firm. Oxford University Press, New York
Zadeh LA (1968) Fuzzy algorithms. Inf Control 12(2):94–102
Author information
Authors and Affiliations
Corresponding author
Editor information
Editors and Affiliations
Rights and permissions
Copyright information
© 2015 Springer International Publishing Switzerland
About this chapter
Cite this chapter
Retolaza, J.L., San-José, L., Pruñonosa, J.T. (2015). Socio-Economic Return of Start-Up Companies: An Advantage of Entrepreneurship. In: Peris-Ortiz, M., Sahut, JM. (eds) New Challenges in Entrepreneurship and Finance. Springer, Cham. https://doi.org/10.1007/978-3-319-08888-4_19
Download citation
DOI: https://doi.org/10.1007/978-3-319-08888-4_19
Published:
Publisher Name: Springer, Cham
Print ISBN: 978-3-319-08887-7
Online ISBN: 978-3-319-08888-4
eBook Packages: Business and EconomicsBusiness and Management (R0)