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Corresponding Author

Hagai Katz

Abstract

Changing norms in the organizational world drive new hybrid organizational phenomena that reflect an expectation that businesses will be more values-driven and values-driven social organizations will be more businesslike. However, mixing moral values and hard-nosed business creates contradictions. Indeed, research on social/business hybrids has revealed tensions and challenges. Yet, not enough is known about how social entrepreneurs address these inherent contradictions. We explore this question qualitatively through 25 interviews with two types of social/business hybrid organization leaders and their seconds in command: social entrepreneurs who work solely in the social sector (‘exclusive’) and businesspeople who start social ventures (‘dual’).

Analysis using the Selection Mechanisms method revealed that while all social entrepreneurs remain loyal to a values-based mission, they apply three different adaptive styles ranging from a relatively rigid response of uniformity through restrained adaptation to relative flexibility. The latter is more likely among ‘dual’ entrepreneurs, who appear more responsive to context than “exclusive’ social entrepreneurs.

The adaptive styles are associated with increased complexity levels and the capacity to manage complexity. However, even for the most adaptive dual entrepreneurs, the driving force behind their strategic decisions remains consistent with a steady moral vision of creating a better world/society. By depicting the social/business hybrid leaders as “consistent chameleons,” we contribute to the growing body of theory on social leadership and social/business hybridity.

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