Besley, Timothy 
ORCID: 0000-0002-8923-6372 and Ghatak, Maitreesh ORCID: 0000-0002-0126-0897
(2017)
Profit with purpose? A theory of social enterprise.
American Economic Journal: Economic Policy, 9 (3).
pp. 19-58.
ISSN 1945-7731
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Abstract
When social benefits cannot be measured, an organization that selects managers based on pro-social motivation can be used to balance profits with a social purpose. This paper develops a model of social enterprise based on selection of citizen-managers to run firms with flexible missions. We analyze organizational choice between social enterprise, for-profits, and non-profits. The paper also develops the implications of matching between founders and managers based on their preferences for the mission.
| Item Type: | Article |
|---|---|
| Official URL: | https://www.aeaweb.org/journals/pol |
| Additional Information: | © 2016 American Economic Association |
| Divisions: | Economics |
| Subjects: | H Social Sciences > HC Economic History and Conditions H Social Sciences > HD Industries. Land use. Labor > HD28 Management. Industrial Management |
| Date Deposited: | 08 Dec 2016 14:56 |
| Last Modified: | 07 Nov 2024 21:57 |
| URI: | http://eprints.lse.ac.uk/id/eprint/68572 |
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