Toward a Theory of Community-Based Enterprise

In this article we develop the concept of community-based enterprise (CBE) and argue that it provides a potential strategy for sustainable local development in poor populations. We maintain that in this emerging form of entrepreneurship, typically rooted in community culture, natural and social capi...

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Bibliographic Details
Published in:The Academy of Management review 2006-04, Vol.31 (2), p.309-328
Main Authors: Peredo, Ana María, Chrisman, James J.
Format: Article
Language:English
Subjects:
Business economics
Business management
Business studies
Communities
Community
Community development
Community structure
Corporations
Cultural values
Economic development
Economic theory
Entrepreneurs
Entrepreneurship
Low income groups
Poverty
Regional development
Social capital
Studies
Sustainable communities
Sustainable development
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Summary:In this article we develop the concept of community-based enterprise (CBE) and argue that it provides a potential strategy for sustainable local development in poor populations. We maintain that in this emerging form of entrepreneurship, typically rooted in community culture, natural and social capital are integral and inseparable from economic considerations, transforming the community into an entrepreneur and an enterprise. Drawing on interdisciplinary and multilevel approaches, we propose a theoretical model of the determinants, characteristics, and consequences of CBEs.
ISSN:0363-7425
1930-3807
DOI:10.5465/amr.2006.20208683