Social Cooperative Model Choices in the Socially Unsustainable Environment: Evidence from Lithuania

Remigijus Civinskas (), Rimantas Stašys (), Asta Pancerovienė and Aušra Anužienė
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Remigijus Civinskas: Department of Public Administration, Faculty of Political Sciences and Diplomacy, Vytautas Magnus University, V. Putvinskio str. 23, 44243 Kaunas, Lithuania
Rimantas Stašys: Departament of Management, Faculty of Social Sciences and Humanities, Klaipeda University, S. Nėries str. 5, 92227 Klaipeda, Lithuania
Asta Pancerovienė: Department of Business and Administration, Faculty of Business, Klaipėda Valstybinė Kolegija, Jaunystės str. 1, 91274 Klaipeda, Lithuania
Aušra Anužienė: Department of Business and Administration, Faculty of Business, Klaipėda Valstybinė Kolegija, Jaunystės str. 1, 91274 Klaipeda, Lithuania

Sustainability, 2023, vol. 15, issue 15, 1-18

Abstract: This research analyses the establishment and development of social cooperatives exposed to adverse factors in socially unsustainable contexts. The study focuses on a Lithuanian case study, with participants having limited experience creating a socially resilient enterprise ecosystem. The study employed a qualitative approach using case study and comparative analysis methods. The study found that Lithuania’s opportunities to leverage the benefits of social cooperatives are held back by a weak cooperative movement, a socially unsustainable environment, and limited understanding among professionals. The involvement of public policy actors in debates on legalising social business models is also limited. The study participants had mixed opinions about the social cooperative model for business development. Some favoured its cooperative principles and profit-sharing advantages, while others preferred non-profit organisations or smaller communities. The study also found a contradiction in the concepts of social business. The researchers suggest that the conditions for establishing social cooperatives could be more favourable in Lithuania, but social business founders require help understanding cooperative companies’ organisation and finances, for which the current public and private resources available are insufficient. Lithuania’s current policy of support and regulation for social business prioritises several social business models, which complicates the decision-making process for prospective social cooperative founders.

Keywords: social economy; social cooperatives; sustainability; Lithuania (search for similar items in EconPapers)
JEL-codes: O13 Q Q0 Q2 Q3 Q5 Q56 (search for similar items in EconPapers)
Date: 2023
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Persistent link: https://EconPapers.repec.org/RePEc:gam:jsusta:v:15:y:2023:i:15:p:11566-:d:1203179

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