IDEAS home Printed from https://ideas.repec.org/a/bla/annpce/v97y2026i2p267-290.html

Extending the firm versus industry debate into social enterprises: A multilevel analysis on Spanish cooperatives 2008–2023

Author

Listed:
  • Pablo Doucet
  • Marta Solórzano‐García

Abstract

An important debate in the field of strategy and industrial organization economics has long focused on whether the industry environment or firm idiosyncrasies have a greater impact on firm performance. However, cooperatives have been excluded from this inquiry, despite profits being the primary means to achieve their social objectives. This article examines the relative impact of firm and industry effects on cooperative profitability and compares these effects with those in investor‐owned firms (IOFs). Additionally, it analyses how generalized economic adversity impacts the relative importance of firm and industry effects on cooperative profitability and compares these changes with those in IOFs. Using multilevel modelling, the study analyses around 8,678 Spanish cooperatives and equivalent IOFs from 2008 to 2023. The findings indicate that industry‐level factors account for a greater share of profitability variation in cooperatives than in IOFs, whereas firm‐specific effects are comparatively weaker. These patterns are accentuated during periods of economic recession, suggesting that cooperatives are more sensitive to sectoral conditions under adverse macroeconomic contexts.

Suggested Citation

  • Pablo Doucet & Marta Solórzano‐García, 2026. "Extending the firm versus industry debate into social enterprises: A multilevel analysis on Spanish cooperatives 2008–2023," Annals of Public and Cooperative Economics, Wiley Blackwell, vol. 97(2), pages 267-290, June.
  • Handle: RePEc:bla:annpce:v:97:y:2026:i:2:p:267-290
    DOI: 10.1111/apce.70010
    as

    Download full text from publisher

    File URL: https://doi.org/10.1111/apce.70010
    Download Restriction: no

    File URL: https://libkey.io/10.1111/apce.70010?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Dmitry Sharapov & Paul Kattuman & Diego Rodriguez & F. Javier Velazquez, 2021. "Using the SHAPLEY value approach to variance decomposition in strategy research: Diversification, internationalization, and corporate group effects on affiliate profitability," Strategic Management Journal, Wiley Blackwell, vol. 42(3), pages 608-623, March.
    2. Bart S. Vanneste, 2017. "How Much Do Industry, Corporation, and Business Matter, Really? A Meta-Analysis," Strategy Science, INFORMS, vol. 2(2), pages 121-139, June.
    3. R. E. Caves & M. E. Porter, 1977. "From Entry Barriers to Mobility Barriers: Conjectural Decisions and Contrived Deterrence to New Competition," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 91(2), pages 241-261.
    4. Wulandhari, Nur Baiti Ingga & Gölgeci, Ismail & Mishra, Nishikant & Sivarajah, Uthayasankar & Gupta, Suraksha, 2022. "Exploring the role of social capital mechanisms in cooperative resilience," Journal of Business Research, Elsevier, vol. 143(C), pages 375-386.
    5. Mill�n D�az-Foncea & Carmen Marcuello, 2014. "The Relation between Total Employment and Cooperative Employment: A Convergence and Causality Analysis," Spatial Economic Analysis, Taylor & Francis Journals, vol. 9(1), pages 71-92, March.
    6. Rey, Patrick & Tirole, Jean, 2007. "Financing and access in cooperatives," International Journal of Industrial Organization, Elsevier, vol. 25(5), pages 1061-1088, October.
    7. repec:bla:annpce:v:85:y:2014:i:4:p:683-684 is not listed on IDEAS
    8. Cecilia NAVARRA, 2016. "Employment Stabilization Inside Firms: An Empirical Investigation Of Worker Cooperatives," Annals of Public and Cooperative Economics, Wiley Blackwell, vol. 87(4), pages 563-585, December.
    9. Leckie, George & Charlton, Chris, 2013. "runmlwin: A Program to Run the MLwiN Multilevel Modeling Software from within Stata," Journal of Statistical Software, Foundation for Open Access Statistics, vol. 52(i11).
    10. Edward H. Bowman & Constance E. Helfat, 2001. "Does corporate strategy matter?," Strategic Management Journal, Wiley Blackwell, vol. 22(1), pages 1-23, January.
    11. John McGee & Howard Thomas, 1986. "Strategic groups: Theory, research and taxonomy," Strategic Management Journal, Wiley Blackwell, vol. 7(2), pages 141-160, March.
    12. Ekaterina V. Karniouchina & Stephen J. Carson & Jeremy C. Short & David J. Ketchen, 2013. "Extending the firm vs. industry debate: Does industry life cycle stage matter?," Strategic Management Journal, Wiley Blackwell, vol. 34(8), pages 1010-1018, August.
    13. Sea‐Jin Chang & Harbir Singh, 2000. "Corporate and industry effects on business unit competitive position," Strategic Management Journal, Wiley Blackwell, vol. 21(7), pages 739-752, July.
    14. David J. Teece & Gary Pisano & Amy Shuen, 1997. "Dynamic capabilities and strategic management," Strategic Management Journal, Wiley Blackwell, vol. 18(7), pages 509-533, August.
    15. Penrose, Edith, 2009. "The Theory of the Growth of the Firm," OUP Catalogue, Oxford University Press, edition 4, number 9780199573844.
    16. Spyridon Stavropoulos & Martijn J. Burger & Dimitris Skuras, 2015. "Data Sparseness and Variance in Accounting Profitability," Tinbergen Institute Discussion Papers 15-014/VII, Tinbergen Institute.
    17. Anita M. McGahan & Michael E. Porter, 2005. "Comment on ‘Industry, corporate and business‐segment effects and business performance: a non‐parametric approach’ by Ruefli and Wiggins," Strategic Management Journal, Wiley Blackwell, vol. 26(9), pages 873-880, September.
    18. Iacus, Stefano M. & King, Gary & Porro, Giuseppe, 2012. "Causal Inference without Balance Checking: Coarsened Exact Matching," Political Analysis, Cambridge University Press, vol. 20(1), pages 1-24, January.
    19. Ángel Luis Gómez Jiménez, 2016. "Protección del empleo y flujos del mercado de trabajo en España: Efectos de las reformas de 2010 y 2012," Revista de Economía Laboral - Spanish Journal of Labour Economics, Asociación Española de Economía Laboral - AEET, vol. 13, pages 34-62.
    20. Haifeng Wang & Russell Coff, 2022. "On the Matter of How Much Industry Matters," Strategic Management Review, now publishers, vol. 3(2), pages 295-323, July.
    21. Carmen GUZMAN & Francisco J. SANTOS & María de la O BARROSO, 2020. "Cooperative Essence And Entrepreneurial Quality: A Comparative Contextual Analysis," Annals of Public and Cooperative Economics, Wiley Blackwell, vol. 91(1), pages 95-118, March.
    22. Sonja Novkovic, 2022. "Cooperative identity as a yardstick for transformative change," Annals of Public and Cooperative Economics, Wiley Blackwell, vol. 93(2), pages 313-336, June.
    23. Rafael Chaves & Jose Monzón, 2012. "Beyond the crisis: the social economy, prop of a new model of sustainable economic development," Service Business, Springer;Pan-Pacific Business Association, vol. 6(1), pages 5-26, March.
    24. Schmalensee, Richard, 1985. "Do Markets Differ Much?," American Economic Review, American Economic Association, vol. 75(3), pages 341-351, June.
    25. Guangrui Guo, 2017. "Demystifying variance in performance: A longitudinal multilevel perspective," Strategic Management Journal, Wiley Blackwell, vol. 38(6), pages 1327-1342, June.
    26. Richard P. Rumelt, 1991. "How much does industry matter?," Strategic Management Journal, Wiley Blackwell, vol. 12(3), pages 167-185, March.
    27. Iacus, Stefano M. & King, Gary & Porro, Giuseppe, 2011. "Multivariate Matching Methods That Are Monotonic Imbalance Bounding," Journal of the American Statistical Association, American Statistical Association, vol. 106(493), pages 345-361.
    28. Derek C. Jones & Panu Kalmi, 2012. "Economies of Scale Versus Participation: a Co-operative Dilemma?," Journal of Entrepreneurial and Organizational Diversity, European Research Institute on Cooperative and Social Enterprises, vol. 1(1), pages 37-64, December.
    29. Figueiredo, Vítor & Franco, Mário, 2018. "Wine cooperatives as a form of social entrepreneurship: Empirical evidence about their impact on society," Land Use Policy, Elsevier, vol. 79(C), pages 812-821.
    30. Carlo Borzaga & Chiara Carini & Ermanno Celeste Tortia, 2022. "Co‐operative enterprise anti‐cyclicality and the economic crisis: A comparative analysis of employment dynamics in Italy," Annals of Public and Cooperative Economics, Wiley Blackwell, vol. 93(3), pages 551-577, September.
    31. Dirk van der Krogt & Jerker Nilsson & Viggo Høst, 2007. "The impact of cooperatives' risk aversion and equity capital constraints on their inter-firm consolidation and collaboration strategies-with an empirical study of the European dairy industry," Agribusiness, John Wiley & Sons, Ltd., vol. 23(4), pages 453-472.
    32. Juan Ramón Ferrer & María‐Carmen García‐Cortijo & Juan‐Sebastián Castillo Valero & Vicente Pinilla & Raúl Serrano, 2024. "Cooperatives and sustainability drivers in the Spanish wine sector. What differences do we find with investor owner firms?," Annals of Public and Cooperative Economics, Wiley Blackwell, vol. 95(2), pages 505-526, June.
    33. Jos Bijman & Constantine Iliopoulos, 2014. "Farmers' Cooperatives in the Eu: Policies, Strategies, and Organization," Annals of Public and Cooperative Economics, Wiley Blackwell, vol. 85(4), pages 497-508, December.
    34. Chris Cornforth, 1995. "Patterns of Cooperative Management: Beyond the Degeneration Thesis," Economic and Industrial Democracy, Department of Economic History, Uppsala University, Sweden, vol. 16(4), pages 487-523, November.
    35. ANITA M. McGAHAN & MICHAEL E. PORTER, 1997. "How Much Does Industry Matter, Really?," Strategic Management Journal, Wiley Blackwell, vol. 18(S1), pages 15-30, July.
    36. Birger Wernerfelt, 1984. "A resource‐based view of the firm," Strategic Management Journal, Wiley Blackwell, vol. 5(2), pages 171-180, April.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Andrews, Daniel S. & Meyer, Klaus E., 2023. "How much does host country matter, really?," Journal of World Business, Elsevier, vol. 58(2).
    2. Ming zhu Wang, 2023. "Changes in industry and corporate effects in the United States, 1978–2019," Strategic Management Journal, Wiley Blackwell, vol. 44(2), pages 477-490, February.
    3. Pankaj Kumar & Xiaojin Liu & Akbar Zaheer, 2022. "How much does the firm's alliance network matter?," Strategic Management Journal, Wiley Blackwell, vol. 43(8), pages 1433-1468, August.
    4. Filip Lestan & Tommy H. Clausen & Sajal Kabiraj, 2025. "Why Do R&D Superstars Differ? An Empirical Analysis of the World’s Top R&D Investors," International Journal of Global Business and Competitiveness, Springer, vol. 20(1), pages 1-15, December.
    5. Siddharth Vedula & Markus Fitza & Anish Purkayastha & Florian Ellsaesser, 2026. "Under the spotlight: contextualizing the firm vs. industry debate through the introduction of neighborhood effects," Asia Pacific Journal of Management, Springer, vol. 43(1), pages 239-268, March.
    6. Bart S. Vanneste, 2017. "How Much Do Industry, Corporation, and Business Matter, Really? A Meta-Analysis," Strategy Science, INFORMS, vol. 2(2), pages 121-139, June.
    7. Andrews, Daniel S. & Fainshmidt, Stav & Cuervo-Cazurra, Alvaro, 2025. "The home country effect on between- and within-firm performance differences," Journal of World Business, Elsevier, vol. 60(1).
    8. Mena, Jeannette A. & Hult, G. Tomas M. & Ferrell, O.C. & Zhang, Yufei, 2019. "Competing assessments of market-driven, sustainability-centered, and stakeholder-focused approaches to the customer-brand relationships and performance," Journal of Business Research, Elsevier, vol. 95(C), pages 531-543.
    9. Daniel S. Andrews & Stav Fainshmidt & Markus Fitza & Sumit Kundu, 2023. "Disentangling the corporate effect on subsidiary performance," Strategic Management Journal, Wiley Blackwell, vol. 44(12), pages 2986-3011, December.
    10. Eduardo González-Fidalgo & Juan Ventura-Victoria, 2002. "How Much Do Strategic Groups Matter?," Review of Industrial Organization, Springer;The Industrial Organization Society, vol. 21(1), pages 55-71, August.
    11. Yi-Min Chen, 2008. "How Much Does Country Matter?," International Regional Science Review, , vol. 31(4), pages 404-435, October.
    12. Mercè Sala‐Ríos, 2024. "What are the determinants affecting cooperatives’ profitability? Evidence from Spain," Annals of Public and Cooperative Economics, Wiley Blackwell, vol. 95(1), pages 85-111, March.
    13. N. Houthoofd & S. Desmidt & G. Fidalgo, 2009. "Analyzing Firm Performance Heterogeneity: The Relative Effect Of Business Definition," Working Papers of Faculty of Economics and Business Administration, Ghent University, Belgium 09/580, Ghent University, Faculty of Economics and Business Administration.
    14. Ghahhar Zavosh & Olivier Bertrand & Samira Fallah, 2025. "Revisiting Internal Capital Market Efficiency: A Strategic View," Strategy Science, INFORMS, vol. 10(4), pages 388-403, December.
    15. Eriksen, Bo & Knudsen, Thorbjorn, 2003. "Industry and firm level interaction: Implications for profitability," Journal of Business Research, Elsevier, vol. 56(3), pages 191-199, March.
    16. Dmitry Sharapov & Paul Kattuman & Diego Rodriguez & F. Javier Velazquez, 2021. "Using the SHAPLEY value approach to variance decomposition in strategy research: Diversification, internationalization, and corporate group effects on affiliate profitability," Strategic Management Journal, Wiley Blackwell, vol. 42(3), pages 608-623, March.
    17. Chen, Yi-Min, 2010. "The continuing debate on firm performance: A multilevel approach to the IT sectors of Taiwan and South Korea," Journal of Business Research, Elsevier, vol. 63(5), pages 471-478, May.
    18. Stoelhorst, J. W. & van Raaij, Erik M., 2004. "On explaining performance differentials: Marketing and the managerial theory of the firm," Journal of Business Research, Elsevier, vol. 57(5), pages 462-477, May.
    19. Kohls, Tobias & Mager, Ferdinand & Regele, Tobias, 2023. "Competitive advantage and firm, industry, and country effects: An asset pricing perspective," Journal of Economics and Business, Elsevier, vol. 127(C).
    20. Tobias Keller & Martin Glaum & Andreas Bausch & Thorsten Bunz, 2023. "The “CEO in context” technique revisited: A replication and extension of Hambrick and Quigley (2014)," Strategic Management Journal, Wiley Blackwell, vol. 44(4), pages 1111-1138, April.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bla:annpce:v:97:y:2026:i:2:p:267-290. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Wiley Content Delivery (email available below). General contact details of provider: http://www.blackwellpublishing.com/journal.asp?ref=1370-4788 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.