Private sector engagement (PSE) is increasingly acknowledged in both literature and practice as a necessary mechanism to sustainably address development challenges. Despite increased practitioner and academic interest in these partnerships, there have been negligible attempts to systematically investigate cross-sector partnerships to distill best practices from the multiple environments in which they are employed. This manuscript presents a robust review of the social science and business literatures on cross-sector partnerships, yielding an interdisciplinary, evidence-based framework detailing archetypes of three prominent partnership characteristics (...) of purpose, context, and relationship enablers. This work integrates a wide range of best practices and values pertinent to businesses and society, enabling researchers, practitioners, and partnership managers to characterize and evaluate partnerships systematically. The introduced framework also enables partners to situate and evaluate their partnership activities to optimize outcomes for each partner and impact on the challenge at hand. (shrink)

Despite the acknowledged importance of the meanings that people attach to places (e.g., homes, businesses, communities), the literature on cross-sector partnerships (CSPs) provides few insights into how place influences CSPs and how CSPs influence the places where they are enacted. To address this oversight, we explore the role of place using an inductive comparative study of nine CSPs, split across five rural cooperative enterprises and four urban social enterprises that have a common private-sector partner. We inductively derive a process model (...) of place renewal that occurs through CSP growth, and changes the meanings that individuals give to their places. We utilize Penrose’s theory of firm growth to explain how rural CSPs grew in different ways than urban CSPs, and the changed meanings of place that emerged. Both rural and urban CSPs overcome initial perceived restrictions of place through a process of realizing the potential for change, reconfiguring the organization through physical and process changes, and ultimately experiencing renewal that changes how they view their places. Our study contributes to the CSP literature by acknowledging the role of place in theorizing on CSPs, and by including the agency and voice of traditionally marginalized actors in the CSP process. It also contributes to the theory of firm growth by explicitly incorporating place as an outcome of the organizational growth process. (shrink)

In emerging countries such as China where the government is gradually withdrawing from involvement in social affairs, firms face dilemmas around relational risks of partnering with different forms of nongovernmental organizations (NGOs). Affiliated NGOs (those with close relationships with government) are more likely to sabotage the social partnership through misconduct, and are also capable of higher standards of collaborative social performance compared with independent NGOs (those with few such relationships). This study proposes that firms’ political embeddedness helps mitigate relational risks (...) in cross-sector partner selection, and finds that politically connected firms are more likely to partner with affiliated NGOs than with independent NGOs in China. This effect is more pronounced for private firms that are less socially oriented or are located in regions with less-developed formal institutions and social trust. Our findings highlight relational risks relevant to cross-sector partner selection literature and offer important insights into how relational risks can be reduced in cross-sector partner selection in emerging countries. (shrink)

This study assessed whether and how government–business partnerships offer a unique platform that targets profound environmental impacts via the promotion of radical eco-innovation. It applied transactional cost and complementary logics to explain the rationale of GBP formation for radical eco-innovation, and further assessed the operation of GBPs from governance, learning, and rulemaking aspects. This study applied propensity score matching technique to empirically test these theoretical associations using 225 observations representing 166 U.S. firms’ participation in 192 environmental alliances between 1985 and (...) 2013. The study results confirmed GBPs’ role in channeling public and private efforts in pursuing transformative environmental change via the adoption of radical eco-innovation goals. Results highlight four critical elements of GBP operation—effective governance, exploration learning, cognitive learning, and rulemaking—that enable participants to embrace these radical environmental solutions. (shrink)

Much research has examined the positive effects of legitimacy spillover. However, negative events may reduce the extent of legitimacy, which may in turn spillover to affect the legitimacy of important stakeholders including alliance partners. This study examines incidents of regulative legitimacy violation and focuses on the effect such incidents have on the alliance partners of the perpetrating organizations. We specifically examine three types of such violations—administrative law, criminal law, and civil law—to show that the loss of regulative legitimacy negatively influences (...) the stock market performance of alliance partners. More interestingly, not all corrective actions and repair efforts are equally impactful. We show that the effect of repair efforts by the perpetrating firm on the alliance partner differ depending on the nature of those violating incidents. (shrink)

This article investigates how firms address the stability-change paradox inherent in sustainability transitions through the maintenance and utilization of a portfolio of sustainability-oriented partnerships. Drawing on a retrospective case study of Dong/Ørsted, a Danish energy company, we demonstrate the varying manifestations of the stability-change paradox during different phases of the company’s transition, influenced by both exogenous and endogenous factors. Furthermore, our findings reveal how Dong/Ørsted employed their partnership portfolio to implement diverse responses to manage the paradox. Based on these findings, (...) we argue that partnership portfolios can serve as spatiotemporal pockets, enabling organizations to effectively address and leverage the temporal and spatial aspects inherent in sustainability paradoxes. In addition, we highlight how partnership portfolios facilitate sustainability transitions by creating and leveraging different forms of collaborative value. (shrink)

Cross-sector social partnerships (CSSPs) are relevant units of analysis for understanding sustainable business models (SBMs). This research examines how organizations value their motivations to participate in large sustainability-focused partnerships, how they perceive the value captured, and their structures implemented to address sustainability partnerships. Two hundred and twenty-four organizations partnering within four large sustainability CSSPs were surveyed using an augmented resource-based view (RBV) theoretical framework. Results show that partners were motivated by and captured value related to sustainability-, organizational-, and human-oriented resources, (...) and that organizations prefer more informal than formal structural elements to implement their partnerships’ sustainability strategies. Contributions to SBM and CSSP fields are revealed. SBM thinking is a provocation toward seeking integrated sustainable value creation, helping show the value of large CSSPs. Conversely, by conceiving of large, pluralistic CSSPs as “collaborative SBMs,” we extend the idea of the “business model” to the societal level, exploring how value is captured in partnership. (shrink)