Making Causal Claims with Two-level theory QCA on Social Innovation Scaling by Multinationals

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Abstract

Introduction: Corporate Social Innovation (CSI) is a vital component of firms' efforts to address societal issues by integrating social concerns into business operations. Multinational enterprises (MNEs) play a significant role in CSI initiatives, influencing their creation, sustainability, and global diffusion. The effectiveness of CSIs depends on various factors, including the capabilities and resources of MNE subsidiaries, partnerships, and connections to business portfolios.
Goals and Methods: While it is clear that effective supply and demand for CSIs, growth models, and stakeholder collaboration are essential, there's limited understanding of the specific combinations of conditions needed for successful scaling and the narrow focus on short-term deliverables. This gap necessitates an exploration of the conditions under which MNEs scale their CSIs and how these conditions interact. A two-level theory, differentiating between remote and proximate conditions, is applied using fuzzy-set Qualitative Comparative Analysis on 32 initiatives.
Results: The findings reveal that MNEs can achieve impact by scaling through either institutionalization or goal alignment, complemented by a balanced emphasis on moral and strategic motives. Scaling through goal alignment, supported by equal moral and strategic motives, opens pathways for enhancing absorptive capacity, engaging in tripartite stakeholder partnerships, and other strategies, indicating multiple approaches for MNEs to scale their initiatives effectively.
Conclusions: This study bridges gaps in the current understanding of CSI by shedding light on the interplay of various conditions for MNEs to scale their initiatives. Rather than focusing solely on short-term effects, it emphasizes the conditions for successful scaling and impact, shedding light on the potential strategies employed by multinationals to expand their initiatives. It showcases that MNEs can attain impact through a range of methods, providing insights for organizations seeking to expand the reach and impact of their CSIs by considering different pathways and the interaction of distinct conditions throughout the scaling process.

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Institutions
  • 1 Radboud University
Track
  • 3. Qualitative Research in Social Science
Keywords
Qualitative Comparative Analysis; Multinationals; Social Innovation