Business-as-usual is likely to drive us to an unsustainable world. To solve the problems human industrial activity has created, such as climate change, species extinction, and biodiversity loss, business leaders (CEOs, top managers, and boards of directors) must be central to the solution for corporate sustainability. In particular, “heroic” leaders are needed to transform their companies into business beyond usual. In this essay, we briefly outline what researchers already know about microfoundational or socio-cognitive and motivational underpinnings of leaders that affect corporate sustainability. However, gaps remain in our understanding of affective drivers and values of leaders. We question whether microfoundations research has the potential to understand true business transformation for positive deviance and suggest that positive organizational scholarship and research on sustainability change agents can provide insights. We next highlight how empirical and research design shortcomings might be addressed. Finally, we discuss how to identify, develop, and empower leaders with transformational potential so that we can proactively create heroic leaders rather than wait for them to magically appear.
Purpose
The paper enhances our understanding of how small businesses with a strong social mission undergo international expansion. Building on the theoretical arguments on social exchange theory (SET), specifically on the literature on reciprocity, the purpose of this paper is to investigate the applicability of the Uppsala Internationalization Model to the context of a social enterprise (SE). The propositions argue that the strong social orientation of SEs encourages a reciprocal exchange with the stakeholders of the host country that limits the number of obstacles they may face during the internationalizing process.
Design/methodology/approach
The conceptual development bridges SET with bodies of knowledge on SE, Uppsala Internationalization Model and organizational embeddedness.
Findings
The theoretical arguments provide evidence of how the socially oriented mission of a small business aids it with overcoming obstacles presented by internationalization. Specifically, the authors show that socially oriented enterprises are uniquely equipped to conquer the lack of adequate information about a foreign market and a lack of adequate public support in a host country. A social mission, which ignites positive reciprocity with the local stakeholders, serves as a valuable asset in the process of internationalization. Moreover, since the propositions recognize that the norms of reciprocity differ from one national culture to another, they unfold how reciprocal exchanges may be altered because of the nuances of national culture.
Originality/value
This work makes three important contributions. First, it extends our understanding of why SEs can potentially internationalize more rapidly than organizations without a strongly pronounced social mission. Second, the investigation on the applicability of the U-Model to the context of SE answers scholars’ recent call for continuous work on advancing the U-Model. Third, the authors equip practitioners with a thorough understanding of how they can capitalize on the social aspect of a SE in the unique setting of a specific national culture.
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