IDEAS home Printed from https://ideas.repec.org/a/kap/jbuset/v166y2020i4d10.1007_s10551-020-04578-2.html
   My bibliography  Save this article

A Commons Strategy for Promoting Entrepreneurship and Social Capital: Implications for Community Currencies, Cryptocurrencies, and Value Exchange

Author

Listed:
  • Ana Cristina O. Siqueira

    () (Cotsakos College of Business, William Paterson University)

  • Benson Honig

    () (McMaster University, DeGroote School of Business)

  • Sandra Mariano

    () (Universidade Federal Fluminense)

  • Joysi Moraes

    () (Universidade Federal Fluminense)

Abstract

Examining how new forms of currencies diffuse is important to uncover their impact on the organization of communities, and thus motivates our study of community currencies. Community currencies provide a medium of exchange by using alternative banknotes or electronic money, which circulates only within particular communities, allowing members to trade goods, increase social cohesion, and achieve collective goals. In this study, we examine how community currencies help facilitate social commons by serving as a setting for building community relationships and a catalyst for other social activities beyond market relations. We analyze cases of community banks that provide microfinance and issue community currencies in Brazil. We find that microfinance entrepreneurs who involve a greater diversity of stakeholders from public, private, and nonprofit sectors in decision making even prior to startup, while also facilitating the formation of supportive social capital from diverse cross-sector stakeholders, increase opportunities for developing new community currencies. By exploring the implications of entrepreneurial actions that promote inclusive participation of diverse stakeholders for accomplishing collective goals, our findings are relevant for other activities that create a common pool of resources while also developing the vitality of the community, including initiatives that use cryptocurrencies and other emerging forms of currencies for building social commons.

Suggested Citation

  • Ana Cristina O. Siqueira & Benson Honig & Sandra Mariano & Joysi Moraes, 2020. "A Commons Strategy for Promoting Entrepreneurship and Social Capital: Implications for Community Currencies, Cryptocurrencies, and Value Exchange," Journal of Business Ethics, Springer, vol. 166(4), pages 711-726, November.
  • Handle: RePEc:kap:jbuset:v:166:y:2020:i:4:d:10.1007_s10551-020-04578-2
    DOI: 10.1007/s10551-020-04578-2
    as

    Download full text from publisher

    File URL: http://link.springer.com/10.1007/s10551-020-04578-2
    File Function: Abstract
    Download Restriction: Access to full text is restricted to subscribers.
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Luca Fantacci, 2019. "Cryptocurrencies and the Denationalization of Money," International Journal of Political Economy, Taylor & Francis Journals, vol. 48(2), pages 105-126, April.
    2. Léo Malherbe & Matthieu Montalban & Nicolas Bédu & Caroline Granier, 2019. "Cryptocurrencies and Blockchain: Opportunities and Limits of a New Monetary Regime," International Journal of Political Economy, Taylor & Francis Journals, vol. 48(2), pages 127-152, April.
    3. Gill Seyfang, 2006. "Sustainable consumption, the new economics and community currencies: Developing new institutions for environmental governance," Regional Studies, Taylor & Francis Journals, vol. 40(7), pages 781-791.
    4. Gill Seyfang & Ruth Pearson, 2000. "Time for Change: International experience in community currencies," Development, Palgrave Macmillan;Society for International Deveopment, vol. 43(4), pages 56-60, December.
    5. Seyfang, Gill & Longhurst, Noel, 2013. "Growing green money? Mapping community currencies for sustainable development," Ecological Economics, Elsevier, vol. 86(C), pages 65-77.
    6. Marco Fama & Andrea Fumagalli & Stefano Lucarelli, 2019. "Cryptocurrencies, Monetary Policy, and New Forms of Monetary Sovereignty," International Journal of Political Economy, Taylor & Francis Journals, vol. 48(2), pages 174-194, April.
    7. Bell, Stephanie, 2001. "The Role of the State and the Hierarchy of Money," Cambridge Journal of Economics, Oxford University Press, vol. 25(2), pages 149-163, March.
    8. Ivan Light & Léo–Paul Dana, 2013. "Boundaries of Social Capital in Entrepreneurship," Entrepreneurship Theory and Practice, , vol. 37(3), pages 603-624, May.
    9. Camille Meyer & Marek Hudon, 2017. "Alternative organizations in finance: Commoning in complementary currencies," ULB Institutional Repository 2013/259111, ULB -- Universite Libre de Bruxelles.
    10. Williams, Colin C., 1996. "The New Barter Economy: An Appraisal of Local Exchange and Trading Systems (LETS)," Journal of Public Policy, Cambridge University Press, vol. 16(1), pages 85-101, January.
    11. Diana Stuart & Ryan Gunderson & Brian Petersen, 2019. "Climate Change and the Polanyian Counter-movement: Carbon Markets or Degrowth?," New Political Economy, Taylor & Francis Journals, vol. 24(1), pages 89-102, January.
    12. Camille Meyer & Marek Hudon, 2018. "Money and the Commons: An Investigation of Complementary Currencies and their Ethical Implications," Working Papers CEB 18-019, ULB -- Universite Libre de Bruxelles.
    13. Geovana Mercado & Carsten Nico Hjortsø & Benson Honig, 2018. "Decoupling from international food safety standards: how small-scale indigenous farmers cope with conflicting institutions to ensure market participation," Agriculture and Human Values, Springer;The Agriculture, Food, & Human Values Society (AFHVS), vol. 35(3), pages 651-669, September.
    14. Orsola Costantini, 2019. "Cryptocurrencies: Will Machines Replace Your Banker?," International Journal of Political Economy, Taylor & Francis Journals, vol. 48(2), pages 101-104, April.
    15. Jayanth Rama Varma, 2019. "Blockchain in Finance," Vikalpa: The Journal for Decision Makers, , vol. 44(1), pages 1-11, March.
    16. Johanna Mair & Ignasi Marti & Marc Ventresca, 2012. "Building Inclusive Markets in Rural Bangladesh : How Intermediaries Work Institutional Voids," Post-Print hal-02276707, HAL.
    17. Ana Cristina O. Siqueira & Sandra R. H. Mariano & Joysi Moraes, 2014. "Supporting Innovation Ecosystems with Microfinance: Evidence from Brazil and Implications for Social Entrepreneurship," Journal of Social Entrepreneurship, Taylor & Francis Journals, vol. 5(3), pages 318-338, November.
    18. Antulio Rosales, 2019. "Radical rentierism: gold mining, cryptocurrency and commodity collateralization in Venezuela," Review of International Political Economy, Taylor & Francis Journals, vol. 26(6), pages 1311-1332, November.
    19. Johanna Mair & Ignasi Marti & Marc Ventresca, 2012. "Building Inclusive Markets in Rural Bangladesh : How Intermediaries Work Institutional Voids," Post-Print hal-02312706, HAL.
    20. Sean Richey & Ken'ichi Ikeda, 2009. "Institutional Incentives and Trust: Marginalized Groups and the Creation of Trust in Local Government," Social Science Quarterly, Southwestern Social Science Association, vol. 90(4), pages 911-926, December.
    21. Camille Meyer & Marek Hudon, 2017. "Alternative organizations in finance: commoning in complementary currencies," Working Papers CEB 17-015, ULB -- Universite Libre de Bruxelles.
    22. Jonatan Pinkse & Koen Groot, 2015. "Sustainable Entrepreneurship and Corporate Political Activity: Overcoming Market Barriers in the Clean Energy Sector," Entrepreneurship Theory and Practice, , vol. 39(3), pages 633-654, May.
    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. Alexandra Lenis Escobar & Ramón Rueda López & Miguel Ángel Solano-Sánchez & María de los Baños García-Moreno García, 2020. "The Role of Complementary Monetary System as an Instrument to Innovate the Local Financial System," Journal of Open Innovation: Technology, Market, and Complexity, MDPI, Open Access Journal, vol. 6(4), pages 1-19, November.
    2. Alexandra Lenis Escobar & Ramón Rueda López & Jorge E. García Guerrero & Enrique Salinas Cuadrado, 2020. "Design of Strategies for the Implementation and Management of a Complementary Monetary System Using the SWOT-AHP Methodology," Sustainability, MDPI, Open Access Journal, vol. 12(17), pages 1-23, August.
    3. Aniruddha Dutta & Saket Kumar & Meheli Basu, 2020. "A Gated Recurrent Unit Approach to Bitcoin Price Prediction," Journal of Risk and Financial Management, MDPI, Open Access Journal, vol. 13(2), pages 1-16, February.
    4. Emmanouela Mandalaki & Marianna Fotaki, 2020. "The Bodies of the Commons: Towards a Relational Embodied Ethics of the Commons," Journal of Business Ethics, Springer, vol. 166(4), pages 745-760, November.
    5. Michel, Arnaud & Hudon, Marek, 2015. "Community currencies and sustainable development: A systematic review," Ecological Economics, Elsevier, vol. 116(C), pages 160-171.
    6. Camille Meyer & Marek Hudon, 2019. "Money and the Commons: An Investigation of Complementary Currencies and Their Ethical Implications," Journal of Business Ethics, Springer, vol. 160(1), pages 277-292, November.
    7. Francisco Javier García-Corral & Jaime de Pablo-Valenciano & Juan Milán-García & José Antonio Cordero-García, 2020. "Complementary Currencies: An Analysis of the Creation Process Based on Sustainable Local Development Principles," Sustainability, MDPI, Open Access Journal, vol. 12(14), pages 1-22, July.
    8. Justin W. Webb & Theodore A. Khoury & Michael A. Hitt, 2020. "The Influence of Formal and Informal Institutional Voids on Entrepreneurship," Entrepreneurship Theory and Practice, , vol. 44(3), pages 504-526, May.
    9. Meagher, Kate, 2015. "Leaving no-one behind? Informal economies, economic inclusion, and Islamic extremism in Nigeria," LSE Research Online Documents on Economics 62140, London School of Economics and Political Science, LSE Library.
    10. Meagher, Kate, 2019. "Working in chains: African informal workers and global value chains," LSE Research Online Documents on Economics 91590, London School of Economics and Political Science, LSE Library.
    11. Meyer, Camille, 2020. "The commons: A model for understanding collective action and entrepreneurship in communities," Journal of Business Venturing, Elsevier, vol. 35(5).
    12. Chatterjee, Ira & Cornelissen, Joep & Wincent, Joakim, 2021. "Social entrepreneurship and values work: The role of practices in shaping values and negotiating change," Journal of Business Venturing, Elsevier, vol. 36(1).
    13. Juan M. Gil-Barragan & María José López-Sánchez, 2021. "The Fast Lane of Internationalization of Latin American SMEs: A Location-Based Approach," Sustainability, MDPI, Open Access Journal, vol. 13(6), pages 1-20, March.
    14. Abrar Chaudhury, 2020. "Role of Intermediaries in Shaping Climate Finance in Developing Countries—Lessons from the Green Climate Fund," Sustainability, MDPI, Open Access Journal, vol. 12(14), pages 1-17, July.
    15. Saul Estrin & Tomasz Mickiewicz & Ute Stephan, 2013. "Entrepreneurship, Social Capital, and Institutions: Social and Commercial Entrepreneurship across Nations," Entrepreneurship Theory and Practice, , vol. 37(3), pages 479-504, May.
    16. Vershinina, Natalia & Rodgers, Peter & Tarba, Shlomo & Khan, Zaheer & Stokes, Peter, 2020. "Gaining legitimacy through proactive stakeholder management: The experiences of high-tech women entrepreneurs in Russia," Journal of Business Research, Elsevier, vol. 119(C), pages 111-121.
    17. Sietze Vellema & Greetje Schouten & Rob Van Tulder, 2020. "Partnering capacities for inclusive development in food provisioning," Development Policy Review, Overseas Development Institute, vol. 38(6), pages 710-727, November.
    18. Colin Williams, 2020. "An Institutional Theory of Tax Non- Compliance in Bulgaria: a Tax Morale Approach," Economic Alternatives, University of National and World Economy, Sofia, Bulgaria, issue 1, pages 33-49, March.
    19. Sun, Sunny Li & Liang, Hao, 2021. "Globalization and affordability of microfinance," Journal of Business Venturing, Elsevier, vol. 36(1).
    20. Liedong, Tahiru Azaaviele & Peprah, Augustine Awuah & Amartey, Abednego Okoe & Rajwani, Tazeeb, 2020. "Institutional voids and firms' resource commitment in emerging markets: A review and future research agenda," Journal of International Management, Elsevier, vol. 26(3).

    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:kap:jbuset:v:166:y:2020:i:4:d:10.1007_s10551-020-04578-2. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Sonal Shukla) or (Springer Nature Abstracting and Indexing). General contact details of provider: http://www.springer.com .

    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 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.

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

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.