Entrepreneurial Competencies, Competitive Advantage, and Social Enterprise Performance: A Literature Review

Abstract

This article looks at a competitive advantage and how it aids a social enterprise's performance. A social enterprise refers to a business determined to bring positive changes in the world when they put their profits into use appropriately. This article focused on the resource-based view (RBV), a concept that bases its argument on a business entity's resources. Numerous entrepreneurial competencies include recognition, relationship, organizing, and strategic competencies. All these have positive effects on social enterprise performance. Different types and sources of competitive advantage positively impact social enterprise performance. The types of competitive advantage include cost leadership, differentiation, and focus strategy. The numerous sources of competitive advantage entail human capital, bundle pricing, product attribute differentiation, price discrimination, customer's willingness to pay, organizational structure, and Technology. The performance of the social enterprise relies on the critical component of social entrepreneurship like a social mission that is put above financial goals, innovativeness, and a self-sustaining business model.