Local meanings of social enterprise. A historical-particularist view on hybridity of organizations

Re esco (134) 2020: 1-10 1 ARTÍCULOS REVESCO. Re is a de Es udios Coope a i os ISSN: 1885-8031 h ps://dx.doi.o g/10.5209/REVE.69162 Signi icados locales de la emp esa social. Una isión sob e hib idez de o ganizaciones desde el pa icula ismo his ó ico 1 Richa d P eils e e 2 e I zía Gómez-Ca asco 3 Recibido: 8 de julio de 2019 / Acep ado: 25 de sep iemb e de 2019 / Publicado: 18 de mayo de 2020 Resumen. La hib idez es un concep o muy ex endido pa a enma ca el emp endimien o social como una combinación de negocio y bienes a social. Compa ando dos emp esas de inse ción sociolabo al de Glasgow y Viena, es e a ículo explo a como el signi icado de hib idez se cons uye localmen e en Aus ia y Escocia. Muchas o ganizaciones pueden se de inidas como “híb idas” en base a análisis o males, sinc ónicos y aislados. Po el con a io, un análisis en p o undidad a menudo con i ma que las o ganizaciones supues amen e híb idas suelen ene un desequilib io impo an e en e sus obje i os sociales y económicos. Es a discusión en o no a la “ alsa” o “ e dade a” hib idez de las o ganizaciones concibe de mane a inadecuada el alo social y económico en é minos uni e sales y absolu os, mien as que noso os de endemos que su signi icado se negocia localmen e. Po lo an o, el pun o in e medio en e al uismo y bene icio a ía en unción de una se ie de ins i uciones, me cados, ac o es y egímenes de bienes a especí icos e his ó icamen e e olucionados. Palab as cla e: O ganizaciones híb idas; Emp esa social; Escocia; Aus ia; Emp endimien o social. Cla es Econli : A13; B55; D69; L31. [en] Local meanings o social en e p ise. A his o ical-pa icula is iew on hyb idi y o o ganiza ions Abs ac . Hyb idi y is a widely used concep o aming social en e p ising as he combina ion o business and social wel a e. By compa ing wo wo k in eg a ion en e p ises om Glasgow and Vienna, his a icle sheds ligh on he locally cons i u ed meaning o hyb idi y in Sco land and Aus ia. Many o ganiza ions com o ably i in o a o mal, synch onic and isola ed in e p e a ion o hyb idi y, while in-dep h-analysis o en shows ha o ganiza ions ha e a s ong unbalance be ween hei social and economic a ionale. This discussion o e eal e sus alse hyb idi y o o ganiza ions inaccu a ely places no ions o social and economic alue in absolu e e ms, whe eas we a gue ha hei meaning is nego ia ed locally. The middle g ound be ween p o i and al uism is shi ing due o pa icula , his o ically e ol ed ins i u ions, ma ke s, ac o s and wel a e egimes. Keywo ds: Hyb id o ganiza ions; Social en e p ises; Sco land; Aus ia; Social en ep eneu ship. Summa y. 1. In oduc ion. 2. Hyb idi y and social en e p ises. 3. Me hodology. 4. ARTE: be ween o -p o i and wel a e-s a e co po a ions. 5. Coop: hyb idi y o e ime. 6. Conclusions: con ex ualizing social en e p ises. 7. Re e ences. How o ci e: P eils e e , R.; Gómez-Ca asco, I. (2020) Local meanings o social en e p ise. A his o ical-pa icula is iew on hyb idi y o o ganiza ions. REVESCO. Re is a de Es udios Coope a i os, ol. 134, e69162. h ps://dx.doi.o g/10.5209/REVE.69162. 1. In oduc ion Indi iduals cu en ly labelled as “social en ep eneu s” and hei o ganiza ions, “social en e p ises”, a e ecei ing g owing a en ion om p ac i ione s, policy make s, academics and he media. The label social en e p ise is p edominan ly used o desc ibe o ganiza ions ha pu sue social goals by means o he ma ke (Ke lin, 2009) al hough i is also being used o e e o an inc easingly wide ange o ini ia i es. The s uc u al backg ound o his de elopmen is he g owing e ea , poo unc ioning, o educ ion o s a e- inanced social wel a e (Ke lin, 2010: 167). The concep o social en e p ise is a om new, bu in ecen yea s i has aken a new u n, appealing o a as ange o people, concep s and business modali ies. High- _____________ 1 Funding was p o ided by Ho izon2020 Ma ie-Skłodowska-Cu ie Ac ions (G an No. 688991). 2 Uni e sidad de Se illa, España Di ección de co eo elec ónico: g[email p o ec ed]. 3 Uni e sidad de Se illa, España Di ección de co eo elec ónico: igc[email p o ec ed]. 2 P eils e e , R.; Gómez Ca asco, I. Re esco (134) 2020: 1-10 p o ile expe iences such as he G ameen Bank in Bangladesh and i s ounde Muhammad Yunus, who won he 2006 Nobel Peace P ize o p o iding banking se ices he poo , ha e inc eased he in e es and unde s anding o he gene al public on he co e ideology o social en e p ising, namely ha p o i and cha i y can go hand in hand. F om he ou se , he dange o i s g owing popula i y has been o oo many “non-en ep eneu ial e o s” o be included in he de ini ion, losing he essence and use ulness o he concep as a esul (Ma in and Osbe g, 2007: 30). Fu he mo e, he concep o social en e p ise is con es ed almos by de ini ion, since i s meaning a ies acco ding o poli ical, his o ical, geog aphical o cul u al ac o s (Teasdale, Lyon and Baldock, 2013). In ecen yea s, Wes e n wel a e s a es ha e unde gone subs an ial ans o ma ions, wi h he S a e showing wha has been desc ibed as “inc easing openness owa d he ma ke as a social se ice deli e e ” (Hus inx and De Waele, 2015: 1668). In he con ex o Eu ope, he ecen c isis b ough o he o e on he limi a ions and unexpec ed ail y o wha was deemed o be a obus wel a e sys em ha was i mly embedded in he Eu opean poli ical cul u e, and ul ima ely caused a c isis o he wel a e sys ems in e ms o budge , e iciency and legi imacy (De ou ny, 2010). Agains his backd op, social en ep eneu ship began o a ac e e -g owing a en ion as a phenomenon ha could p o ide al e na i es o exis ing solu ions, p oduc s and se ices, espond o an exis ing gap, de y an “unsa is ac o y equilib ium” (Ma in and Osbe g, 2010) o eme ge in esponse o a p essing social need. A p esen , he e m social en ep eneu ship is also being in e changeably used in ela ion o ce ain o ms o adi ional social se ices o p oduc p o ision. These appa en con adic ions and de ini ion p oblems inhe en in he social en e p ise concep a e equen ly add essed in he academic li e a u e h ough he e m “hyb idi y”. We will discuss pa o his li e a u e on social en e p ises as hyb id o ganiza ions in he ollowing sec ion, by dis inguishing be ween app oaches ha place social alue, economic sus ainabili y o he con o e sy o e hei compa ibili y in absolu e e ms, e sus hose app oaches ha place he meaning o hyb idi y in each local con ex . We will hen p esen he me hodological se ing o ou esea ch, g ounded in a collabo a i e Eu opean commission- unded p ojec , whe e we gained i s -hand insigh s om hi d sec o p ac i ione s in di e en Eu opean coun ies h ough mu ual long- e m isi s. D awing om his esea ch, he ou h and i h sec ion a e dedica ed o p esen ing wo wo k in eg a ion social en e p ises, namely ARTE (Vienna) and Coop (Sco land). We will discuss di e en empi ical e idence o each social en e p ise suppo ing a gumen s p e iously iden i ied in he li e a u e. In he conclusions, we will compa e bo h cases in ligh o on-going discussion o e “ eal e sus ake” hyb idi y and seek o make an a gumen o he unde ep esen ed his o ical-pa icula is ic iewpoin in his deba e. 2. Hyb idi y and social en e p ises Li e a u e on hyb idi y in human o ganiza ion has a long his o y. In he 1920s, one o he ounding a he s o mode n social an h opology, Ma cel Mauss, desc ibed he gi as a c oss-cul u al human ai ha combined u ili a ian sel -in e es and ee bene i s. I is manda o y o gi e, ecei e and e u n i ems o alue in all socie ies (Mauss, 1925). In he 1990s, deba es o e ne wo ks as a new o ganiza ional logic ha mixed he wo kings o he hie a chy and o he ma ke , eme ged (Powell, 1990). I is only mo e ecen ly ha hyb idi y has been closely ela ed o he deba e on social en e p ises. He e, he mode n mind-se o p oblem-sol ing, calcula ion and easoning a e hough o combine wi h adi ional alues o cha i y and mo al esponsibili y owa ds he communi y in new ways (Dees, 2012: 323-324, 326). Wi hin managemen and o ganiza ion s udies, social en e p ises a e o en held as he ideal ype o hyb id o ganiza ion (Ba ilana and Lee, 2014). These o ganiza ions combine wo di e en ins i u ional logics because hyb ids a e “s uc u es and p ac ices ha allow he coexis ence o alues and a e ac s om wo o mo e ca ego ies” (Dohe y, Haugh and Lyon, 2014: 418). Hyb id o ganiza ions combine wo logics simul aneously in hei mission, namely hei financial esou ce acquisi ion and hei human esou ces p o ile (Dohe y, Haugh and Lyon, 2014). Some dis inguish be ween in eg a ed hyb id o ganiza ions whe e bene icia ies a e also cus ome s, and di e en ia ed hyb ids, ha o ganiza ionally sepa a e business pe o mance and social mission (Eb ahim, Ba ilana and Mai , 2014: 83). In addi ion o hese wo models (disad an aged g oups as clien s and co po a e social esponsibili y), Jäge and Sch öe (2014) also include en e p ising non-p o i s and hi d sec o o ganiza ions, ha a e nei he p i a e no public, in o he popula ion o hyb id o ganiza ions. O he s, like Gid on, dis inguish be ween hyb idi y o o m (p ofi dis ibu ion and go e nance) and o subs ance, wi h e e yday p ac ices ying o econcile his wo old mission (2017). Ba ilana and Lee hold ha hyb idi y in social en e p ise means combining wo logics a he co e o he o ganiza ion, as opposed o o ganiza ions wi h a social mission a hei pe iphe y, o example a social engagemen om o -p o i co po a ions (2014). While some celeb a e he oppo uni ies o hyb id o ganiza ions because hey a e “ci ilizing he economy” (G assl, 2012: 109-10), o he s a e conce ned wi h “mission d i ” whe e good economic pe o mance P eils e e , R.; Gómez Ca asco, I. Re esco (134) 2020: 1-10 3 conceals poo social pe o mance o social ac i i ies a e me ely legi imizing business as usual (Eb ahim, Ba ilana and Mai , 2014: 88). Gene ally speaking, o ganiza ion schola s a ibu e bo h he dange o diso de and he po en ial o c ea i i y o social en e p ise (Ba ilana and Lee 2014: 398). This sho e iew shows ha in he li e a u e on social en e p ises, exis ing “hyb idi y” is o en i s aken o g an ed in o de o examine wha ype o o ganiza ions a e in ol ed, wha a eas wi hin o ganiza ions a e a ec ed and wha speci ic ou comes o hyb idi y can be suspec ed. This line o inqui y p o ides a s ong channel o discussing he possibili y, con lic s and po en ials o o ganiza ions ha simul aneously combine wo di e en pu poses. Ne e heless, he abo e-men ioned ocus excludes some impo an ques ions om he deba e, namely he speci ic his o ical, poli ical o cul u al con ex s ha shape social en e p ises (Teasdale, 2011). Li e a u e on hyb idi y in o ganiza ions o en c ea es he imp ession ha i is a uni e sal ea u e o human o ganiza ion, e en when i o emos discusses wes e n o in e na ional lagship social en e p ise p ojec s, such as he G ameen Bank men ioned in he in oduc ion. This line o esea ch ends o limi i sel o an isola ed and synch onic analysis o social en e p ises (Dey and Teasdale, 2016: 490). In addi ion, social en e p ises (and hei p omo e s) o en de ine hemsel es as “combining he bes o bo h wo lds”, which leads o a p oblema ic o e lap be ween he empi ical eali y unde sc u iny (social en e p ises) and he heo e ical de ices hough up o hei examina ion (hyb id o ganizing). A his poin , academic ca ego ies s a o lack he necessa y dis ance om sel -desc ip ions o ins i u ions. Thus, many esea che s ha e unc i ically aken o g an ed policy de ini ions, newness and g ow h ( ead exis ence) o social en e p ises (Ke lin 2010: 164; Teasdale, Lyon and Baldock, 2013). Conce ned wi h hese p oblems, he second h ead in he li e a u e he e o e s esses he social en i onmen ha de ines o ganiza ions. In his line o enqui y, ecen e idence shows ha he coexis ence o doing good and business is o en no achie ed in p ac ice. Hus inx and De Waele ha e epo ed on a ep esen a i e hi d sec o o ganiza ion in Belgium ha ac ed as a social en e p ise o i he demands o he unding en i onmen (2015: 1687). A social g oce y was c ea ed as an al e na i e o ood aid, in o de o i wi h he social en e p ise ideology. While employees main ained a c i ical a i ude owa ds he ma ke iza ion o wel a e, in e e yday p ac ice “pa icipan s we e ‘commodified’ by subo dina ing hei needs o he se ice and business logic o he g oce y” (Hus inx and De Waele, 2015: 1686). In he UK, Teasdale, Lyon and Baldock ound ha many hi d-sec o o ganiza ions did no engage in ma ke ac i i y bu ne e heless desc ibed hemsel es as social en e p ises (2013). On he con a y, cau ion is also necessa y when conside ing hi d sec o o ganiza ions ha ade, as a epo om Dey and Teasdale demons a es (2016). The au ho s o e an in-dep h s udy o an English lagship social en e p ise ha appa en ly i ed in o he dominan policy de ini ion o social en e p ise by o e ing wo k in eg a ion h ough a cons uc ion, ho el and ga dening business. The o ganiza ion ac ically adop ed a dominan policy discou se, ac ing “as i ” i was a social en e p ise (wi hou belie ing in he compa ibili y o p o i and cha i y) in o de o enable access o public unding o he p o ision o social se ices (Dey and Teasdale, 2016: 498-499). I onically, his appa en p o-en e p ise “imp ession managemen ” was me ely hiding and he e o e suppo ing majo s a e dependence (Dey and Teasdale, 2016: 501; Teasdale 2010). In Spain, José Luis Molina and his eam ecen ly accomplished a la ge scale analysis o he nascen social en e p ise sec o in Ca alonia, inding ha he sec o was la gely sponso ed by he s a e and by he p i a e banking sec o ha had subs i u ed he social p ojec s implemen ed by coope a i e banks ha widely disappea ed as a esul o he inancial c isis (Molina e al., 2017). In Ca alonia, clien s o social en e p ises we e mainly middleclass as opposed o pa o mo e ulne able g oups, while simul aneously, social en e p ise c ea ion was mainly a sel -employmen s a egy by hose who we e al eady well-o (Valenzuela-Ga cía e al., 2015). This obse a ion was also made by S eine and Teasdale o social en e p ises in London (2016). Taken oge he , his e idence om wes e n Eu ope indica es ha he social en e p ise label o en masque ades ei he s a e- unded wel a e o ma ke -d i en business, ma king wha has been desc ibed as “a new e a o wel a e hyb idi y” (Billis, 2010). Up o his poin we ha e shown wo di e en ial ea men s o social en e p ise as hyb ids in esea ch. On he one hand, he mo e heo e ical, synch onic managemen ocus on social en e p ise as ideal- ypical hyb ids. On he o he hand, a mo e empi ical-sociological ocus on social en e p ises, ha in es iga es a new policy endo sing hyb idi y and en e p ising wi hin a hi d sec o dependen on public-p i a e unding. Despi e hose di e ences, wha is common o bo h ea men s o hyb idi y in social en e p ise is ha hey a e se ing “doing good” and “doing business” in absolu e e ms. I is no only he speci ic meaning o he e m “social” in social en e p ise ha is o en concealed (Teasdale, Lyon and Baldock, 2013: 116) bu e en wha is held as social need o economic sel -sus ainabili y o hi d sec o o ganiza ions in di e en socie ies. Social p oblems a e cons uc ed socially, which means ha hey a e “de ini ional ac i i ies o people a ound condi ions and conduc hey ind oublesome” (Schneide , 1985: 209). The e o e, much a iabili y is o be suspec ed o e wha is judged collec i ely as a social need and wha kind o se ices a e held o be “me ely comme cial”. Looking a social en e p ises om his compa a i e angle has ecei ed much less a en ion in he li e a u e (Ke lin, 2010: 164-165). The e o e, wha we would like o sugges in his pape is he idea ha esea ch on hyb idi y in o ganiza ions could bene i om in oducing mo e local meanings o hyb idi y o he discussion. I hyb ids “de ia e om socially legi ima e empla es o o ganizing” (Ba ilana and Lee, 2014: 4 P eils e e , R.; Gómez Ca asco, I. Re esco (134) 2020: 1-10 398, also Gid on, 2017: 8) hen i is ai o expec a wide a iabili y o legi ima e o ganiza ional ypes in di e en socie ies. I is an o e simpli ica ion o assume ha he public, p i a e and hi d sec o a e genuine, sepa a e, legi ima e, and equally dis ibu ed o ganiza ional empla es e e ywhe e, any ime. The hyb id s a us o he mic o- inance bank in Bangladesh, he wo k in eg a ion en e p ise in England o he social g oce y in Belgium canno be a ibu ed indis inc i ely, ega dless o whe he hese o ganiza ions ail o succeed in accommoda ing a social mission wi h wo king p o i ably acco ding o local s anda ds. Wha s anda ds a e applied o hese o ganiza ions in poo o ich, wes e n o non-wes e n, libe al o socio- democ a ic (wel a e) s a es? Fo example, should he sel -employmen s a egy by he middle-class in he Ca alonian social en e p ise sec o be judged as an indica o o a ailed social mission o o ganiza ions ha only simula e hyb idi y? O on he con a y, is sel -employmen in he hi d sec o an indica o o success ul hyb idi y in a coun y like Spain, wi h high unemploymen numbe s and one o he weake wel a e s a es wi hin he Eu opean con ex ? I is ai o say ha employmen is a p essing social need o he middle class in con empo a y Spain, which is no necessa ily ue in he UK, Belgium o Ge many. Be o e we se ou o discuss hose locally bounded meanings o hyb idi y in wo o ganiza ions embedded in di e en Eu opean wel a e egimes, we p esen he la ge se ing o ou esea ch and i s me hodological poin o depa u e. 3. Me hodology Resea ch o his pape was pa o a h ee-yea Eu opean Commission unded p ojec ha in es iga ed he condi ions o success o social en e p ises. On he one hand, he p ojec ied o ill exis ing gaps in he esea ch on he socio-poli ical and economic en i onmen ha se s he condi ions o he g ow h o hese o ganiza ions. On he o he hand, he p ojec aimed a con ibu ing o add ess he dea h o i s -hand knowledge and exchange be ween p ac i ione s and academics in his ield. To his end, s a om pa ne o ganiza ions in ol ed in he p ojec (ele en social en e p ises and se en een esea ch ins i u ions om se en een coun ies) had he oppo uni y o isi pa ne s om a di e en coun y and sec o (p ac i ione o academic) o one o se e al mon hs. In his la ge esea ch con ex , we we e esponsible o conduc ing esea ch on he Spanish social en e p ise sec o , hos ing s a om o eign pa ne o ganiza ions and isi ing social en e p ises bo h in Spain and ab oad. In pa icula , he indings o his pape d aw on collabo a i e esea ch wi h p ac i ione s om he Sco ish and Viennese social en e p ise sec o h ough obse a ional isi s, in o mal con e sa ions, eco ded in e iews and he analysis o documen s om social en e p ise lobby o ganiza ions and he adminis a ion. Fo his pape , we ha e anonymized he names o he examined social en e p ises and o ou non-academic in o man s. In 2016, we concluded a wo-mon h ield esea ch isi o Vienna (Aus ia). This long- e m isi allowed us o epea edly a end and obse e he wo k in eg a ion social en e p ise ARTE a wo o hei dependencies. The e we alked o bo h s a and clien s and we conduc ed in-dep h in e iews wi h he shop- manage and he ounde . We ha e al e na ed ou ield esea ch wi h wo k a he Compe ence Cen e o Nonp o i O ganiza ions and Social En ep eneu ship a he Vienna Uni e si y o Economics in o de o deepen ou unde s anding o he wel a e con ex in Vienna and Aus ia. Ou esea ch was complemen ed wi h an analysis o he media co e age o ARTE, hei sel -p esen a ion on hei web and hei p omo ional a e ac s on hei dependencies. We also isi ed compe i o s o ARTE om he co po a e wel a e sec o . The second social en e p ise analysed in his a icle is Coop. Ou analysis o his expe ience included a li e a u e e iew o documen s ela ed o he wo k and his o y o his social en e p ise and he Sco ish con ex o social en ep eneu ship, including a coun y epo on Sco land (Roy, 2016). This was complemen ed wi h in-dep h in e iews wi h one o he ounde s and one o he cu en senio manage s. A Coop manage spen a mon h isi ing he Uni e si y o Se ille and his p o ided a sui able oppo uni y o he esea ch eam o exchange on social en e p ises and o gain insigh s in o Coop’s expe ience. A se o open-ended ques ions was de eloped o guide he con e sa ions, including a ques ionnai e ocusing on he o ganiza ion’s de elopmen o da e. Ce ain compa a i e aspec s o he Andalusian and Sco ish con ex s we e aised and discussed du ing he isi . We ha e selec ed hese wo cases o ou esea ch because hey sha e ce ain cha ac e is ics. Bo h social en e p ises a e ac i e in he ield o wo k in eg a ion and combine a wo old income s a egy (public unding and ading). They bo h ha e a ce ain deg ee o au onomy om he s a e o he p i a e sec o : hey do no dis ibu e p o i s o sha eholde s and ha e a simila social mission in p o iding employmen o ulne able g oups. While Coop is ce ainly a la ge o ganiza ion han ARTE, hey a e bo h consolida ed (exis ed o longe han 15 yea s), ai ly small-scale o ganiza ions (less han 80 ull ime employees), and embedded in he local communi ies hey a e ac i e in (bo h o ganiza ions a e well known o he gene al public in Vienna and Sco land). Ou guiding esea ch ques ion was how simila o ganiza ions pe o med in di e en wel a e egime con ex s and in pa icula , whe he he hyb idi y o o ganiza ions was di e en in each con ex . While Vienna is known o a longs anding, in ense socio-democ a ic wel a e policy om he ci y council, Sco land and he UK a e ai ly libe al en i onmen s o hi d-sec o o ganiza ions compa ed o con inen al Eu ope. P eils e e , R.; Gómez Ca asco, I. Re esco (134) 2020: 1-10 5 Compa ing wo simila o ganiza ions in wo dissimila wel a e con ex s, allowed us o es ou hypo hesis, namely ha local o ganiza ional a angemen s and li e-wo lds pu allegedly absolu e e ms, such as “compe i ion e sus compassion”, in o pe spec i e. In he ollowing wo sec ions we p esen ou wo case s udies, he wo k in eg a ion social en e p ises Coop and ARTE. We will show how he con ex s o a libe al (Sco land) and socio-democ a ic (Aus ia) wel a e sys em se di e en condi ions o possibili y o combining con lic ing ins i u ional logics. This social con ex also de ines he meaning and he o m o he “social” o “economic” a ionale. Hyb idi y he e o e has a di e en appea ance in he wo cases, ha canno be easily educed o a uni e sally alid dis inc ion o inancial e sus social mo i a ion. We a gue ha he social en e p ises we obse ed pe o m hei ac i i ies in wha cons i u e di e en con ex -speci ic s uggles wi h local and na ional adminis a i e a angemen s. By simul aneously con o ming o hegemonic public unding schemes, while also es ing ma ke income oppo uni ies and challenging monopolis hi d-sec o co po a ions, hese o ganiza ions quali y as hyb ids when a mo e con ex -sensi i e de ini ion o he concep is ollowed. 4. ARTE: be ween o -p o i and wel a e-s a e co po a ions ARTE was es ablished in 2002 in Vienna and is an associa ion wi h 13 ixed- e m employees ha o e s wo k in eg a ion and aining o a a ying numbe o a ound 35 pe sons who a e o me d ug use s. These wo ke s emain a he o ganiza ion o a maximum o one yea , assembling hand-made design p oduc s, such as u ni u e, bags, clo hes and accesso ies, using was e as aw ma e ial. Thei uppe -p ice segmen p oduc s a e sold and p omo ed a he o ganiza ion’s galle y-like shop loca ed in a c ea i e dis ic o he ci y. Fo mally speaking, ARTE quali ies as a hyb id o ganiza ion because i s ma ke ac i i y - selling design p oduc s - is in eg a ed in o i s social mission, acili a ing he ( e-)en y in he labou ma ke o o me d ug use s. This hyb idi y a he hea o he o ganiza ion was illus a ed by he ollowing quo e om he ounde , a social wo ke in he ea ly i ies, when she e lec ed on he o ganiza ion’s ension be ween i s economic and social a ionale. F om a business angle I would need o employ a di e en g oup, any o he long- ime unemployed pe sons [as opposed o pe sons wi h o me d ug dependence]. When hey a e good [a hei job], hey lea e. We ha e people who a e some imes only p oduc i e 50% o he ime. F om a legal poin o iew, ARTE can also be conside ed a cha ac e is ic social en e p ise. Fi e di e en ypes o “socio-in eg a i e companies” quali y o public suppo in Vienna, and ARTE alls unde he ca ego y o “socioeconomic company” (SÖB), which can ecei e unding om he public employmen se ice bu needs o gene a e a signi ican amoun o u no e in o de o ensu e i s sel -sus ainabili y (DSE- Wien, 2014: 4). Ano he c i e ion ha is o en used o de ine social en e p ises is he inno a i e dimension, which is also p esen in ARTE, since i adds an ecological angle o i s social mission. In addi ion, employees ha e he possibili y o engaging in c ea i e wo k assembling hand-made p oduc s. Thus, ARTE is challenging a widesp ead endency in wo k in eg a ion social en e p ises ha o e s ypically unskilled, simple, and epe i i e wo k. Taken oge he , ARTE seems a p o o ype o a hyb id o ganiza ion. Howe e , a close look a ARTE e eals a di e en pic u e. The o e whelming sou ce o income o ARTE is public unding. In 2015, his ep esen ed o e 70% o i s o al income, while ma ke e enues only eached 21%. This means ha ARTE mus adap i s employmen schemes o he demands o he Aus ian Public Employmen Se ice and he Depa men o D ug Addic ions o he ci y o Vienna, i s wo main sponso s. In ac , ARTE s a ed as a p ojec suppo ed by he Eu opean Union. ARTE’s s ong dependency on public esou ces and i s need o cons an ly pe suade he adminis a ion o secu e he nex unding, h ea ens i s independence and can be ead be ween he lines in he ollowing s a emen om he ounde . I am he one who has he ne wo ks and looks o he money bu wi hou e e yone’s help ARTE wouldn’ exis oday. On he o he hand, he ounde and manage has been an employee o a la ge p i a e clinic e e since ARTE’s ounda ion. Hence, i would seem ha a s ong engagemen wi h ARTE was only easible agains he backd op o ha ing a secu ely paid job elsewhe e. One could e en alk o “in ap eneu ship” he e (c ea ing a new o ganiza ion wi hin an exis ing one), because a he beginning, ARTE was suppo ed by la ge amoun s o unding p o ided by his clinic and was in ac c ea ed by one o i s employees, which again aises ques ions o whe he he o ganiza ion is uly independen , a majo de ining ea u e wi hin he discou se on social en e p ises. While bo h ways o app oaching he case o ARTE (i.e. whe he as a “ ue o alse” hyb id), gi e aluable insigh s in o he possibili y o en e p ising in he non-p o i sec o , bo h conside a ions exclude speci ic local pe cep ions and condi ions o hyb idi y om he deba e. In o de o con ibu e his impo an hi d laye o he discussion, he ollowing sec ion will conside he wo kings o he Aus ian wel a e egime, he local 6 P eils e e , R.; Gómez Ca asco, I. Re esco (134) 2020: 1-10 cha ac e is ics o o ganiza ions wo king in simila ields as ARTE and he condi ions o he ma ke o ecycled, socially- esponsible design p oduc s in he ci y o Vienna. The Aus ian wel a e s a e, simila o he Ge man, is a sys em ha bene i s la ge public o publicly unded wel a e co po a ions (Esping-Ande sen, 2001: 111-114). Public spending, pa icula ly in Vienna, a ci y go e ned by he social democ a s (SPÖ) o decades, is compa a i ely high in a con ex o widesp ead p ospe i y. The e o e, maybe i comes as no su p ise ha many “social en e p ises” we e p o iding ecycled and socially esponsible goods a he ime o ou ield wo k. Apa om ARTE, he local adminis a ion, esponsible o was e managemen in he ci y o Vienna, p omo ed a ashionable shop selling i ems ha ci izens had h own away a he communal ecycling cen es bu we e s ill in usable condi ion and/o had been epai ed. Also “Ca i as”, one o he la ges p o ide s o social se ices in many con inen al wel a e egimes wi h a ca holic adi ion, an a shop selling accesso ies made om ecycled ma e ials. Needless o say ha o dina y businesses in Vienna also ade, unde he label “en i onmen ally and socially esponsible”, p oduc s made om was e ma e ials. Wi h his con ex in mind, conside he ollowing example. Du ing ou ieldwo k we came ac oss qui e a pa icula p oduc : bags made o old uck can as. One migh hink ha his is a a e niche commodi y. Ne e heless, exac ly he same i em was manu ac u ed and sold by wo di e en o ganiza ions in shops si ua ed abou wo kilome es away om each o he in he cen e o Vienna. Apa om ARTE, one o he o ganiza ions selling his p oduc was “Ca i as”, who sold he bags as pa o a wo k in eg a ion p ojec o young people wi h no schooling and he o he was “F ei ag”, an in e na ional co po a ion ha had made hese kinds o bags popula in he 1990s. These wo compe i o s we e pa o a mic ocosm o ecycled design-p oduc s in he weal hy ci y cen e o Vienna and we ound ha inside s o his social space de ined hei co po a e iden i y in compa ison o o he ac o s. On he one hand, F ei ag, a o -p o i o ganiza ion wi h 150 employees and an es ima ed u no e o a ound 30 million Swiss ancs in 2015, lacked he essen ial social commi men o ARTE and Ca i as. Ne e heless, i we hold he ecological dimension as an impo an a iable o social alue c ea ion in his example, he ounde s o F ei ag con ibu ed indi ec ly wi h hei in en ion o a sus ainable p oduc ha bo h social businesses we e imi a ing and exploi ing o social pu poses. On he o he hand, Ca i as Aus ia was ac i e in i ually all social se ice b anches in and ou side he coun y. In 2015, i had a budge o close o 800 million eu os and a ound 69% o i s budge was publicly unded, 16% came om comme cial e enues o ees and 11% om dona ions (Ca i as Ös e eich, 2016: 15, 18). Wi h 14.871 employees, Ca i as was one o he la ges o ganiza ions in Aus ia and he key p o ide o social assis ance on behal o he s a e. Wi hin a con inen al wel a e sys em, he subsidia i y o he s a e p i ileges la ge, his o ically consolida ed public co po a ions wi h close ies o he adminis a ion. While o Ca i as he comme cial e enue om ecycled p oduc s a hei Viennese wo kshop o young people ep esen ed an insigni ican ac i i y wi hin he o ganiza ion, o ARTE he can as bags had been he main lag-ship p oduc sold om he beginning. In u n, F ei ag assembled hese i ems indus ially and wi hou paying majo a en ion o social cons ain s o i s employees. In his social con ex , as ou example o he bags ies o illus a e, ARTE is con on ed wi h supe io mul ina ional co po a ions as compe i o s, bo h in he p i a e ma ke o sus ainable li e-s yle p oduc s and in he s a e- unded ield o wo k in eg a ion. F om his local pe spec i e, wi hin a wel a e egime whe e he ma ke has only a esidual unc ion in he p o ision o social se ices, ARTE is a hyb id o ganiza ion compa ed o i s immedia e o ganiza ional su oundings. I is ela i ely a -o he ma ke and he s a e, in compa ison wi h F ei ag and Ca i as. B inging his local knowledge o bea upon he “global” no ions o ma ke and cha i y, con ibu es o a mo e nuanced heo y o hyb id o ganizing, as ou nex example also illus a es. 5. Coop: hyb idi y o e ime Coop has he s a us o a limi ed company wi h cha i able s a us unde Sco ish law and can hus be conside ed a social en e p ise om a legal poin o iew. I was ounded in he la e 1980s a a ime ma ked by a sha p ise in unemploymen due o he collapse o he shipya ds, a key indus y in Sco land. In esponse o he c isis, he Go e nmen made unding a ailable o suppo he a ec ed local communi y and c ea e new employmen oppo uni ies. Coop was ounded by a g oup o unemployed men and women om his sec o wi h he objec i e o accessing he public unding a ailable o suppo employmen gene a ion. A p esen , Coop is s ill led by wo o he indi iduals who we e ini ially hi ed o de elop he i s o hese p og ammes and who ha e been a he hea o he o ganiza ion o o e hi y yea s. Since i s c ea ion, Coop has es ablished good ela ions wi h he communi y and he local au ho i ies. These local ies ha e been highligh ed by one o he Coop manage s as a c ucial ac o o he o ganiza ion’s pe o mance as a social en e p ise and o he pu sui o i s social objec i es. The s a cu en ly s ands a app oxima ely 75 ull- ime and 35 pa - ime posi ions. Almos all employees li e locally and a e connec ed o o he social en e p ise and simila ini ia i es in he a ea. As one o he manage s no ed, “we don’ do P eils e e , R.; Gómez Ca asco, I. Re esco (134) 2020: 1-10 7 hings o people, he o ganiza ion has g own in he communi y”. This embeddedness in he local communi y cons i u es a de ining ea u e o many SE. Coop can also be conside ed a hyb id, since i is an o ganiza ion ha clea ly ca ies ou a ma ke ac i i y, namely he implemen a ion o employmen in eg a ion p og ammes, o social bene i . As one o he manage s no ed, “ he social ision is no explici ly pa o Coop’s mission bu is implici in e e y hing we do”. Fo o e 30 yea s, Coop has been c ea ing employmen while simul aneously emba king on new p ojec s and managing o inno a e by inco po a ing new a eas o wo k, o ins ance in he ealm o cul u al he i age (such as in es ing in he es o a ion o buildings). O e he yea s, Coop has engaged in a wide ange o ac i i ies and di e si ied i s ields o ac ion while he endency has been o o ganiza ions o specialise and become he only expe s in a ce ain ield. In his espec , a Coop manage said ha “ hei specialisa ion is no o ha e one”. Ne e heless, he e a e se e al indica o s ha allow a ques ioning o Coop’s posi ion as a hyb id o ganiza ion. Coop’s e olu ion om unc ioning as an “end-poin ” social en e p ise (i.e. c ea ing and p o iding employmen oppo uni ies di ec ly), o ocusing on implemen ing employabili y p og ammes, has c ea ed a ce ain imbalance be ween i s social goals and he need o secu e esou ces h ough compe i i e me hods. This sugges s ha Coop migh ha e su e ed a “mission d i ” o e ime, he eby unde mining i s ini ial hyb id o ganiza ional s uc u e. The abo e-men ioned imbalance has a ec ed he o ganiza ion’s independence a imes, which is one o he de ining ea u es o social en e p ise. Simila o o he social en e p ises, Coop has had o igh o a oid wha he ounde desc ibed as a si ua ion whe e “ he money ha comes in de e mines how you ope a e as opposed o you mission”. Howe e , a he same ime, Coop has aken di icul decisions ha challenged Sco land’s libe al wel a e egime by e using o ake pa in ce ain unding oppo uni ies wi h “s ings a ached” ha comp omised Coop’s mission and aison d’ê e. Coop decided no o accep unding on hese e ms and los s a membe s as a esul . In a changing landscape, Coop unde s ood ha , as pu by one o he manage s he p ac ical applica ion o con inuing o be mo ally in line was he loss o jobs o ou colleagues. Oppo uni ies we e los bu Coop’s philosophy was p o ec ed. By acknowledging his con adic ion be ween wel a e objec i es and comme cial ac i i y, di e en o he poli ical discou se ha s a egically neglec s his opposi ion all oge he , he Coop ounde s ecognize he di icul y o hyb id o ganizing. Fo hem i is mo e an issue o li ing wi h his ension and unde s anding ou mission. Ou mission is o c ea e jobs o local people. Full s op. A e ha , we need o do wha e e we need o do o achie e ha : con ac s, und aising… Secondly, he e is he ac ha he c i e ia used o de e mine he popula ion a ge ed by he employmen p og ammes implemen ed by Coop depend on how hey a e de ined in he di e en con ac s. Socio- economic and geog aphic c i e ia a e also conside ed o ce ain p og ammes, namely hose using Sco ish Index o Dep i a ion indica o s o p o ide se ices o he poo es 15% o he Sco ish popula ion. This migh lead us o hink o Coop as a dono -d i en no a clien -d i en-o ganiza ion. In ac , Coop la gely depends on he a ailabili y o public unds, which cons i u e i s main sou ce o income and unding. Compe i i e ende s a e pa o i s ope a ions and he o ganiza ion some imes uns he isk o “ha ing lo s o eggs in one baske ”, since a single con ac can ep esen 80% o Coop’s income a a gi en momen . Coop manage s s essed he impo ance o “being a ound a he igh ime” as well as hei abili y o make a good case ia à is he local au ho i ies by “analysing and p esen ing clea ly wha will be los wi hou ou ac ion”. The complemen a i y o Coop’s ac ions wi h exis ing policies has hus been key o hei de elopmen and si ua es he o ganiza ion close o he adminis a ion han o he ma ke . Hence, when Coop’s expe ience is analysed, he abo e-men ioned ac o s sugges ha i is no a hyb id, since i ope a es wi h a ce ain imbalance be ween i s social mission and i s ma ke - ela ed deli e y ac i i ies as a esul o i s dependence on public unding and i s close ela ionship wi h local au ho i ies. Coop was always g an - unded un il 15 yea s ago when he wel a e sec o began o e ol e, and local au ho i ies inc easingly ocused on con ac s. Ne e heless, aking he ecen shi s o he policy en i onmen in Sco land in o accoun and adding some in o ma ion on he in e nal wo kings o Coop, allows us o assess i s o ganiza ional ypology om a di e en angle. A he ime o i s c ea ion, Coop had a wide ange o di e en componen s ha cons i u ed en e p ises wi hin he o ganiza ion in hei own igh , including a p in ing house, a ious wo kshops and a nu se y. When he oppo uni y o implemen employabili y p og ammes eme ged, Coop swi ched i s ocus om e o s o c ea e local communi y en e p ises ha could p o ide jobs di ec ly o a ocus on implemen ing employabili y p og ammes and deli e ing ela ed se ices. The e o e, such a empo al o diach onic assessmen o he o ganiza ion could a ou an a gumen ha sugges s ha Coop is a hyb id o e ime. In his espec , a key u ning poin in he o ganiza ion came in 1997, when Tony Blai won powe and he Labou Go e nmen in oduced mo e unding o new p og ammes and p ojec s as pa o i s social policy. 8 P eils e e , R.; Gómez Ca asco, I. Re esco (134) 2020: 1-10 As a di ec esul o hese oppo uni ies, he o ganiza ion g ew and he numbe o s a mul iplied. The “de olu ion o powe s” o Sco land also happened a he same ime. This p ocess o decen alisa ion wi hin he UK ha de ol ed decisions o e social issues such as aining, housing, heal h, educa ion o social wo k o he Sco ish go e nmen also opened new oppo uni ies indi ec ly o Coop. Local au ho i ies a gued ha his ype o de ol ed ac ions con ac ed and implemen ed by hi d sec o o ganiza ions would make hem mo e sus ainable. In Sco land, he con ac ing sys em ope a es in a ou o social en e p ises a he Local Council le el and g an s and loans exis o social en e p ise o bid o public buildings. Pa icula ly, he Communi y Empowe men Ac has been key o o ganiza ions like Coop, since i allows o mo e o ganiza ions o join De elopmen T us s as an impo an elemen o hei wo k. This ac has allowed communi y g oups o bid o public buildings and g an s o loans a e a ailable o pu chase hem. Beyond a physical base, his elemen has also p o ided a inancial base o social en e p ises ha has allowed g ea e de elopmen , since ha ing asse s acili a es access o c edi . This illus a es how he changing na u e o he egional wel a e egime has shaped Coop’s e olu ion and how he local con ex has ede ined wha hyb idi y means o he Sco ish con ex . In his pa icula se ing, Coop has some imes engaged in p ojec s ha we e no ully aligned wi h i s p io i ies in o de o con inue unc ioning. The e o e, Coop has de eloped and has o be unde s ood wi hin his changing legal, ins i u ional and policy en i onmen se ing he condi ions o possibili y o hi d sec o o ganiza ions o ea n income h ough ading o ende s. Coop has e ol ed in a pe iod wi h g an s and go e nmen suppo a ailable and has success ully apped in o many di e en sou ces o unding. This lexibili y o e ime o he locally speci ic a angemen s o public-p i a e coope a ion can be iewed as in eg al o he hyb idi y o o ganiza ions. This is he capaci y o adap o changing con ex s and seize eme ging oppo uni ies. As one o he ounde s no ed in e e ence o hei ype o wo k along hese di e ences, “I ake away he boxes…we can ind one la e i we need one”. Bu no only an analysis o he local condi ions, bu also he local pe cep ions o social en e p ising unde mine an o e simpli ied pic u e o o ganiza ions as ei he pu e o ailed hyb ids. Coop has appa en ly adop ed p ac ices associa ed wi h o p o i en e p ises, such as hi ing consul an s o es ablishing a Managemen Boa d. Howe e , in he case o Coop, bo h he consul an and Boa d o Managemen membe s a e people om he communi y, including membe s o simila o ganiza ions, selec ed o hei skills and expe ience. This sugges s ha he alue o unde s anding who is hi ed and why was mo e impo an han he expec a ion o cos e iciency o compe i i e ad an ages. Especially a supe icial ocus on he me e job i les o he Coop “manage s” migh be misleading o ou analysis he e. Le us hink o a momen in he inc ease o ancy p o essional designa ions and job p o iles in he co po a e wo ld, such as he “expe ience ambassado ” o “chie happiness o ice ”. These names o en conceal adi ional designa ions, such as di ec o o ma ke ing o pe sonnel manage , and do no necessa ily speak o la hie a chies o democ a ic o ganiza ion wi hin a company. In u n he label “boa d o managemen ” a Coop could be misin e p e ed as an indica o o “ma ke -d i ” i we do no ake in o accoun who was hi ed, why and how. In his sense, he in en ions and pe cep ions o o ganiza ions a e also a key dimension o unde s anding hyb idi y in social en e p ises. A he same ime, his o ces us o ake he people and o ganiza ions we s udy se iously, including hei own c i e ia and local si ua ion, no only he concep s we place upon hem. 6. Conclusions: con ex ualizing social en e p ises In his pape we ha e discussed academic li e a u e add essing social en e p ises as hyb id o ganiza ions. We a gued ha many au ho s ei he o e es ima e he o mal indica o s o hyb idi y in o ganiza ions o o he con a y ocus on empi ical e idence ha suppo s ha he “hyb id social en e p ise” is a lawed concep no in line wi h on- he-g ound p ac ices. Some au ho s expand his a gumen by saying ha social en e p ising is jus ano he a emp o ex end he capi alis discipline owa ds socie y (P es a, 2007: 179). We ha e explo ed hese wo ways o looking a social en e p ises when p esen ing he wo o ganiza ions o his pape . On he one hand we ha e discussed how bo h ARTE and Coop display o mal and legal ea u es associa ed wi h hyb id o ganiza ions. They a e legally cons i u ed as o ganiza ions pu suing a social goal elying simul aneously on ma ke ac i i y and public unding o ul il hei mission. On he o he hand, despi e hei o mal independence, bo h o ganiza ions a e close o being “a c ea u e o public unding” (Pea ie and Mo ley, 2008: 43 quo ed in Teasdale, 2011: 106). Fo ins ance, Coop swi ched i s ocus o e he yea s om p e ious e o s o c ea e local communi y en e p ises ha could p o ide jobs di ec ly, o a ocus on he di ec implemen a ion o employabili y p og ammes and he deli e y o ela ed se ices. This dependence, as one o he Coop manage s poin ed ou , some imes “na ows down he deli e y o wha you do wi hou he c ea i e oppo uni ies o doing di e en hings a he same ime”. In he case o ARTE, we ha e an o ganiza ion ha is displaying high-end design p oduc s in a lagship s o e in he Aus ian capi al’s ci y-cen e, wi h a s ong p esence in he local media h ough he sale, o ins ance, o can as bags, as discussed in he p e ious sec ion. This display o ARTE as an inno a i e p oduc -selling en e p ise con as s P eils e e , R.; Gómez Ca asco, I. Re esco (134) 2020: 1-10 9 la gely wi h he s uc u al dependence on he money om he public employmen se ice and he ci y council. Ne e heless, hese a gumen s o e “ alse o eal” hyb idi y in social en e p ises sha e a common expec a ion o an absolu e answe o his ques ion any ime and anywhe e. These uni e sal claims on pa icula o ganiza ions a e challenged once we admi ha he meaning and o m o hyb idi y in social en e p ises is also nego ia ed locally. The o ganiza ions’ poin o iew as well as he his o ically e ol ed pa icula ins i u ional a angemen s o he s a e, he ma ke and he ci il socie y, se he condi ions o he ways in which hyb idi y migh be pe cei ed and enac ed. This is exac ly he poin o depa u e o he p ojec p esen ed in he me hodology sec ion o which we ha e con ibu ed. Ke lin is one o he majo exponen s o his unde ep esen ed compa a i e h ead in he li e a u e. Fo he he common o ganiza ional ypes o social en e p ise in wes e n-Eu ope a e associa ions o coope a i es wi h a ocus on employmen and wi h a social economy sphe e ha is di e en o he ma ke economy (Ke lin 2010: 170). While in o he egions o he wo ld he main sou ce o unding o social en e p ises a e he p i a e sec o , he ci il socie y o in e na ional dono o ganiza ions, in Eu ope he main sou ces a e he S a e and he Eu opean Union (Ke lin, 2010: 171). The expe iences p esen ed in his pape i well in o his speci ic wes e n Eu opean model o social en e p ise. Gi en he absence o employmen oppo uni ies ailo ed o mee he needs o ce ain g oups acing ba ie s o access he egula job ma ke , Coop and ARTE s epped in o ill his gap. The ac ha hey a e suppo ed la gely by he adminis a ion o do so is, om his compa a i e pe spec i e, less an exp ession o ailed hyb idi y han o he pa icula i ies o he wes e n Eu opean wel a e s a e. Bu we ha e pu o wa d a gumen s ha suppo an e en mo e con ex -speci ic analysis o he hyb id cha ac e o social en e p ises. In he Aus ian case, we ind ha he social economy is mainly domina ed by la ge, adi ionally e ol ed wel a e co po a ions and he ma ke economy is inc easingly c owded wi h co po a ions displaying hei social and ecological esponsibili y, especially in p ospe ous places such as Vienna. The hyb idi y o ARTE, as exempla ily shown by i s ole in he ma ke o ecological can as bags in he ci y cen e, can bes be app ecia ed aking in o accoun his place- ela ed ins i u ional “in-be weenness”. In he Sco ish case, Coop has na iga ed changing poli ical con ex s wi h h ee di e en go e nmen se -ups. The adap abili y o o ganiza ions ha succeed in analysing he local con ex and mi iga ing any e ec s on hei ope a ion a e wo cha ac e is ics ha clea ly esona e wi h he hyb idi y discou se. The e o e, he diach onic eading o o ganiza ions ha adap o changing local en i onmen s, and al e na e hei ocus o ope a ions on he ma ke and on public ende s, calls in o ques ion judgmen s o ailed hyb idi y based on synch onic analysis. In conclusion, each o he wo expe iences compa ed in his a icle was deeply condi ioned by i s con ex in a a ie y o ways, wi h ins i u ional, poli ical, social, economic and cul u al ac o s all playing a ole in he con igu a ion o each o ganiza ional s uc u e and on i s o e all pe o mance and pe cep ion as a “hyb id o ganiza ion” o “social en e p ise”. Ou con ibu ion does no sugges ha his case-sensi i e way o app oaching hyb idi y in o ganiza ions is he only o he mos accu a e me hod o s udying hese o ganiza ional phenomena. We acknowledge ha placing emphasis on he his o ical and local pa icula i ies o he meaning o social en e p ising, complica es gene aliza ions o s a is ical app oxima ions, ha a e ce ainly also necessa y. 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