Introduction
Non-Profit Organization (NPO)-business collaborations have significantly increased as a means of addressing complex social issues. These collaborations range from philanthropic donations to transformational value co-creation, with the latter generating more substantial social impact. Partnerships between NPOs and social enterprises hold particular promise due to the alignment of their social and economic goals. However, research on the determinants of transformational collaborations and their cause-and-effect relationships remains limited. This study aims to analyze the impact of technological factors (innovation orientation, omnichannel, and ICTs) on societal welfare through value co-creation processes between NPOs and social enterprises. By focusing on co-production, a key aspect of value co-creation, the research seeks to understand how technology enhances the transformative capacity of these collaborations and contributes to improving social well-being.
Literature Review
The paper reviews existing literature on cross-sector social interactions, NPO-business collaborations, and value co-creation. It highlights the 'collaboration continuum' ranging from philanthropic to transformational collaborations. The concept of value co-creation is discussed, emphasizing its co-productive nature and the importance of customer/stakeholder participation. Existing research on the antecedents of value co-creation is examined, including structural (environmental context) and individualistic (agent characteristics) perspectives. The literature highlights the role of innovation orientation, ICT adoption, and omnichannel strategies in various sectors but lacks a comprehensive study of their impact on NPO-social enterprise collaborations. The authors identify a gap in understanding the causal relationships between technological factors and value co-creation in this specific context.
Methodology
To test the research model, a census of Spanish NPOs potentially collaborating with social enterprises was created from various sources. A tailored design method was used to contact NPOs and encourage participation in an online questionnaire. Of 497 contacted NPOs, 222 valid responses were obtained, with 104 indicating collaboration with social enterprises. The methodology employed partial least squares structural equation modeling (PLS-SEM) using SmartPLS 4.0.9. The constructs of the model included innovation orientation (measured using a scale adapted from previous research and validated by Valero-Amaro et al., 2021), ICT use (adapted from Sanzo et al., 2015a), omnichannel strategy (based on Mato-Santiso et al., 2021), value co-creation (based on Díaz-Perdomo et al., 2021), and social impact (based on Sanzo et al., 2015a and Díaz-Perdomo et al., 2021). Value co-creation was modeled as a second-order composite construct with four dimensions (engagement, learning, participation, and reciprocity). PLS-SEM was chosen due to its suitability for handling composite constructs, its predictive nature, and its robustness in handling multicollinearity. The measurement model was evaluated for reliability and validity using criteria such as composite reliability, average variance extracted (AVE), and the heterotrait-monotrait ratio of correlations (HTMT). The structural model was then analyzed to assess the hypothesized relationships between the constructs.
Key Findings
The study found a strong positive relationship between NPO-social enterprise value co-creation and social impact (β = 0.785, R² = 0.617), indicating that collaborations involving value co-creation have a significant positive effect on societal well-being. This impact was substantially larger than that observed in similar collaborations with commercial enterprises in previous research. However, the hypotheses suggesting direct positive relationships between innovation orientation and value co-creation, and between ICT use and value co-creation, were not supported. Innovation orientation and ICT use only explained a small percentage of the variance in value co-creation (5.5% and 2.9%, respectively). Conversely, the hypothesis suggesting a positive impact of omnichannel on value co-creation was supported (β = 0.577, R² = 0.387). The study also confirmed the influence of innovation orientation (β = 0.305, R² = 0.139) and ICT use (β = 0.324, R² = 0.150) on the adoption of omnichannel strategies by NPOs. Finally, a positive and significant relationship was found between innovation orientation and ICT adoption (β = 0.457, R² = 0.209). The predictive power of the model was evaluated using the Q² coefficient and PLS-Predict, confirming the model's ability to predict both value co-creation and its impact on social outcomes.
Discussion
The findings suggest that while innovation orientation and ICT adoption are not direct drivers of value co-creation in NPO-social enterprise collaborations, they indirectly influence it by promoting the adoption of omnichannel strategies. This highlights the importance of integrated, multi-channel communication and interaction in facilitating value co-creation processes. The stronger impact of NPO-social enterprise collaborations compared to NPO-business collaborations underscores the benefits of aligning social and economic objectives. The study contributes to the field by providing empirical evidence on the role of technological factors in driving value co-creation and its impact on societal welfare. It also offers insights into the complexities of implementing omnichannel strategies in the non-profit sector.
Conclusion
This study provides quantitative evidence on the impact of technological factors on value co-creation between NPOs and social enterprises, highlighting the mediating role of omnichannel strategies. It contributes to the literature by offering a comprehensive model and generalizable findings in a field dominated by qualitative research. The results offer practical recommendations for NPO managers seeking to enhance social impact through collaborative partnerships. Future research should investigate the impact of value co-creation on various aspects of societal well-being, the stability of the model under different environmental conditions, and the role of relational norms in mediating the effects of technological factors.
Limitations
The study's scope is limited to Spanish NPOs, limiting the generalizability of the findings to other contexts. The cross-sectional nature of the data limits causal inferences. Future research could incorporate longitudinal studies or explore the model's applicability across diverse cultural and institutional settings. The model did not explicitly incorporate relational norms, which could be a significant factor mediating the relationship between technological factors and value co-creation.
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