Strategy Making in Social Enterprise: The Role of Resource Allocation and Its Effects on Organizational Sustainability

  • Moizer J
  • Tracey P
  • 18


    Mendeley users who have this article in their library.
  • N/A


    Citations of this article.


Social enterprises are non-profit organizations that seek to achieve social goals through commercial activity. Because they have both social and commercial objectives, social enterprises are confronted with high levels of complexity in their strategizing and operations; not only do they have to generate sufficient revenue to re-invest in their business operations, they also have to maintain investment in social projects in their community. Under conditions of resource scarcity, this poses severe challenges which can threaten the long-term sustainability of the enterprise. In this paper the tension between allocating resources to commercial activity and social action is explored. A simple causal-loop diagram is constructed which maps out the relationships between resource allocation and a number of other variables thought to influence the sustainability of social enterprises. By tracing through the diagram, a range of generic strategic alternatives available to social enterprises is evaluated and discussed. Copyright (C) 2010 John Wiley & Sons, Ltd.

Get free article suggestions today

Mendeley saves you time finding and organizing research

Sign up here
Already have an account ?Sign in

Find this document


  • J Moizer

  • P Tracey

Cite this document

Choose a citation style from the tabs below

Save time finding and organizing research with Mendeley

Sign up for free