Defining the nature of the social entrepreneurship ecosystem and its modeling

Abstract

The purpose of this article is to explores the social entrepreneurship ecosystem by analyzing its various components. The entrepreneurial ecosystem is a complex and adaptable system that requires both practical and theoretical examination. As new societal challenges emerge, scholars and practitioners are rethinking the role of entrepreneurship not just in terms of economic growth, but also in enhancing social well-being.

Through an analysis of the actions of all stakeholders involved, both internal and external, this study identifies the key pillars of the ecosystem: a platform for goods and services that develops and attracts a diverse group of participants through its operations.

 The article places significant emphasis on examining the resources that support ecosystem activities. It considers aspects such as physical infrastructure, demand, stakeholders, human resources, knowledge, leadership, and finance. In addition to outlining the steps necessary to build an ecosystem, this paper also investigates the factors that contribute to its effective functioning.

Moreover, the activities of the ecosystem are closely linked to their context. A representative analysis reveals that entrepreneurial ecosystem activities, irrespective of their scale, are interconnected with networking and both formal and informal institutions.

Based on this analysis, an integrated model of the entrepreneurial ecosystem has been developed. The social entrepreneurship ecosystem is characterized by social orientation. At all levels, both external and internal, businesses focus on sustainable development and addressing societal challenges. It's important to note that there isn't a single method for effectively building an entrepreneurial ecosystem; however, the study highlights aspects that both entrepreneurs and other stakeholders should consider.

This article is particularly relevant to the Ukrainian context, as it analyzes ecosystems across multiple stages and levels. Even at the inception stage, businesses can adopt effective practices that can scale from local to regional and, eventually, national levels.