1. Opportunity Identification and Creation: Using the Capability Approach in Social Entrepreneurship Practice and Research
Rasheda L. Weaver
PhD Candidate in Public Affairs-Community Development
Rutgers University
ARNOVA 44th Annual Conference in Chicago, Illinois

2. Motivation
Limited empirical research of how social enterprises combat social problems.
Present the capability approach as a tool for identifying and creating opportunities pertaining the alleviation of social problems.

3. Overview Role of Social Enterprises in Opportunity Creation
Presentation of Capability Approach as a Social Value Measure
Literature Review of Operationalizations of the Capability Approach
Using the Capability Approach in Social Enterprise Research and Practice
Limitations of the Capability Approach
Conclusion

4. The Role of Social Enterprise in Opportunity Creation
Social enterprise has emerged as an “innovative” institutional form (The Social Enterprise Alliance, 2015; Katz & Page, 2010; Seelos & Mair, 2005 )
Creation of four social enterprise laws since 2008.
The social and economic bottom-line structure of social enterprises is often promoted as a more sustainable method for solving social problems.
Few empirical studies have been conducted on social enterprises, particularly in the United States, to assess its impact on social problems.
Source: The Social Enterprise Alliance (2015)

5. The Capability Approach
The capability approach asserts that human life is multidimensional and thus can be enriched or deprived in a variety of ways (Sen, 1992).
Capabilities
Functionings
The capability approach is used to examine the efficacy of social interventions and policies pertaining to human well-being (Nussbaum, 2004).
No set list of capabilities.
Central Human Capabilities
Life
Bodily Integrity
Senses, Imagination, and Thought
Emotions
Practical Reason
Social Affiliations
Contact with other species
Play
Control over environment
Central Human Capabilities (Nussbaum, 2003)

6. The Capability Approach and Social Value Measurement
Kato, Weaver, & Ashley (forthcoming) suggest the capability approach supersedes popular social value measures by offering a multidimensional, qualitative understanding of social value.
This current research explores this idea in the context of social entrepreneurship by examining characteristics in operationlizations of the capability approach.

7. Literature Review of Capability Approach Applications
In order to foster understanding of how the capability approach can be used to measure social value, this study reviewed its application in research and practice.
Sample
64 articles on the capability approach.
28 conceptual and 36 empirical.

8. Findings
Findings revealed the following five main characteristics in applications of the capability approach:
Diverse research purposes and in various contexts.
Individual, community, and societal units of analysis.
Quantitative and qualitative methods.
Various statistical tools.
Used in practice for program performance assessment and recruiting efforts.

9. Diverse Research Purposes and Contexts
The capability approach has been used to examine a variety of social concerns such as poverty, life-satisfaction, and human development.
Research Purpose
Frequency
Multidimensional Poverty Assessment 9
Well-Being Assessment 6
Quality of Life Evaluation 3
Life Satisfaction
Child Poverty Assessment 2
Disability Evaluation
Governance Measurement 1
Conditional Cash Transfer Recruitment
Educational Opportunity Assessment
Employment Opportunity Assessment
Community Capability Assessment

10. Multiple Units of Analysis
The units of analysis in applications of the capability approach have been individuals, communities, organizations, and societies.
Focused on capabilities
Individuals
Focused on functionings
Households
Communities
Nations (Individually and Collectively)

11. Quantitative and Qualitative Research Methods
While most empirical applications used quantitative methods, qualitative methods have also been used when operationalizing the capability approach.
Method
Quantitative – 32
All used secondary data and focused on functionings.
Qualitative- 7
3 used mixed-method
4 focused on program assessments in practice.

12. Diverse Statistical Techniques
Over a dozen statistical techniques were used in empirical studies. Two techniques were developed specifically for the using the approach.
Statistical Technique
Frequency
Fuzzy Set Theory 8
Cutoffs with/without weights
Alkire-Foster 7
Regression 5
Correlation 4
Multiple Correspondence Analysis 2
Frequencies
Factor Analysis
Rankings
Clustering 1
Structural Equations Model
Community Capability Index

13. 5. Use in Practice
The capability approach has been used in practice to:
Identify participants for social interventions (Azevedo & Robles, 2013) and to understand the core needs of particular communities (El Harizi & Klemick, 2007)
To assess the impact of:
Single programs (DeJaeghere & Baxter, 2014; Grunfield, Hak, & Pin, 2011; Schischka, Dalzel, & Saunders, 2008)
Multiple organizations (Anich, Biggeri, Libanora, & Mariani, 2011)

14. Using the Capability Approach in Social Entrepreneurship
Stakeholder Standpoint
Utilizing the Capability Approach
Value for Practice/ Research
Social Entrepreneur
Identify areas of opportunity for new and existing ventures.
Aid in recruitment efforts for programs
Designing programs based on beneficiary needs
Comparing program outcomes to needs to assess value creation.
Employees
Examine the impact of social enterprises on their employees well-being.
Understanding how employment at social enterprise influences employees can provide insight into unique influences, challenges, and strengths it presents for human resources.
Beneficiaries
Understand the impact of services and programs on beneficiaries.
Enables social entrepreneurs to understand the impact of their business. Investors, seed funders, and policy makers can utilize information.

15. Limitations
Monetary/quantitative social impact assessments are often desired in practice and research.
Can be used in conjunction with other social value measurement tools (Kato et al. forthcoming).
Complex operationalization due to choosing dimensions.
Understanding capabilities often takes a ground- level approach.

16. Conclusion
This study was conducted to highlight how the capability approach could be used in practical and research efforts in the field of social entrepreneurship.
Implications
Practice
Opportunity Identification
Employee Well-Being Assessment
Program Performance Assessment
Research
Methods and purposes for operationalizing the capability approach.

17. Thank You!
Contact Information Rasheda L. Weaver Doctoral Candidate in Public Affairs Rutgers University-Camden