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Socio-Economic Return of Start-Up Companies: An Advantage of Entrepreneurship

In: New Challenges in Entrepreneurship and Finance

Author

Listed:
  • José Luis Retolaza

    (Deusto Business School and AURKILAN Action Research Centre and ECRI)

  • Leire San-José

    (University of the Basque Country (UPV/EHU) ECRI Research Group and University of Huddersfield)

  • José Torres Pruñonosa

    (Universitat Internacional de Catalunya)

Abstract

Over recent years the value of start-ups has been changing rapidly. This paper presents a methodological and quantitative model of the emergent valued practices. Using the SABI data in 2012 it is shown the social value of start-up and consolidate companies; at least in two of its aspects: generation of economic value with social impact and socio-economic return. The application of this model makes possible the quantitative and monetized comparison of integrated value between companies, which would involve more efficient decision-making. Quantitative analysis revealed that this model makes possible the comparison between start-up and consolidated companies. The results indicate that there are differences between them and the created value of start-up companies is bigger than that created by consolidated ones; at least in relation to suppliers, administration and shareholders. It reinforces the importance of the start-up companies in our society from the value point of view and reflects the need by authorities to improve the quality and process of value quantification using the social frameworks. Moreover this model could be used as a tool to value the benchmarking process of the social entrepreneurship.

Suggested Citation

  • José Luis Retolaza & Leire San-José & José Torres Pruñonosa, 2015. "Socio-Economic Return of Start-Up Companies: An Advantage of Entrepreneurship," Springer Books, in: Marta Peris-Ortiz & Jean-Michel Sahut (ed.), New Challenges in Entrepreneurship and Finance, edition 127, chapter 0, pages 259-271, Springer.
    • Handle: RePEc:spr:sprchp:978-3-319-08888-4_19
    DOI: 10.1007/978-3-319-08888-4_19
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