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Building a Theoretical Model of Socially Sustainable Entrepreneurship through Comparative Case Analysis of Ethnic Entrepreneurial Communities By Omar Javaid (18094) Supervisor: Dr. Aamir Shamsi Co-Supervisor: Dr. Irfan Hyder A dissertation submitted in partial fulfillment of the requirement for the Degree of Ph.D. Institute of Business Management (IoBM) Dept. of Management Sciences Karachi 2018 Abstract Review of existing literature suggests that entrepreneurs in modern context often strive for economic sustainability at the expense of social sustainability in societies they operate. The review also suggests that there are alternative contexts, like the context of ethnic communities, where achieving social sustainability is also a primary goal of entrepreneurs. How social sustainability is balanced with economic sustainability within the context of ethnic entrepreneurial communities has not been sufficiently theorized in existing literature. So the aim of this study is to develop a theoretical model grounded in data to explain how this balance can be achieved through socially sustainable entrepreneurship as practiced in ethnic entrepreneurial communities. To achieve this aim, the study needed data from ethnic entrepreneurial communities which have balanced their economic sustainability with social sustainability for several generations. Three ethnic entrepreneurial communities were selected for data collection namely Memon, Delhi Saudagaran and Chinioti which appeared to have such characteristics. Eisenhardt’s research strategy (ERS) for theory building through comparative case analysis was employed to build cases from the data taken from the three communities and to perform a cross-case comparison to build a theoretical model. The data was taken in the form of in-depth interviews with respondents from each community, notes from direct observation and documentary sources published by each community. Data from each community was interpreted using the social constructivist paradigm. The interpretation of data was utilized to develop three case studies, one for each community. The three cases were then analyzed through a process of constant comparison which involved comparing data within and in between cases. The comparison helped in developing categories of codified data. Each category was further refined into a construct. The constructs and their relationships which were common in the three cases were used to build the theoretical model of socially sustainable entrepreneurship. The model was finally evaluated for external validity by reassessing the proposed constructs and their relationships in the light of existing literature. The case study developed for each community describes how historically evolved community and family cultures influence and are influenced by the process of starting, maintaining and sustaining a business using community and family resources. The cases also describe the emerging reasons for social disintegration as experienced by the three communities. The 1 common patterns emerging from the comparison of the cases were used to build a theoretical Model of Socially Sustainable Entrepreneurship (MSSE) which highlights the possible socio- cultural contexts, influencers, strategies and socio-economic consequences of socially sustainable entrepreneurship. The model proposes how economic, social and spiritual interdependence between members of the family and community can contribute towards a balance between social and economic sustainability of Muslim-ethnic entrepreneurial communities. The model can aid policymakers and community leaders to pursue economic sustainability without compromising the social sustainability of their entrepreneurial communities. The results can also contribute towards enhancing the socio-economic sustainability of communities similar to the ones studied for this dissertation. Business schools can also use the results to better explain the socially sustainable form of entrepreneurship to their students as an alternative to entrepreneurial activity in the modern free-market. Students and new entrepreneurs can use the results to strengthen the interdependence between their venture, family and community by striving for the social and economic well-being of all stakeholders as explained in the model. Future research will test the model for statistical generalizability within the three communities. The model once tested may also benefit communities other than the ones studied in this research. 2 Table of Content Abstract ________________________________________________________________________________ 1 Table of Content _________________________________________________________________________ 3 List of Figures ___________________________________________________________________________ 7 List of Tables ____________________________________________________________________________ 8 Definitions of Key Terms ___________________________________________________________________ 9 1. Introduction _______________________________________________________________________ 11 1.1. Background of the Research Problem______________________________________________________ 13 1.2. The Aim of the Study ___________________________________________________________________ 15 1.2.1. Research Questions ______________________________________________________________________________ 15 1.3. Delimitation and Design of Study _________________________________________________________ 16 1.4. Researcher’s Positionality _______________________________________________________________ 17 1.5. Organization of Dissertation’s Content ____________________________________________________ 19 2. Literature Review ___________________________________________________________________ 21 2.1. The Need of Context to Understand Entrepreneurship ________________________________________ 21 2.2. The Modern Context of Entrepreneurship __________________________________________________ 25 2.2.1. Historical conditions and meta-norms ________________________________________________________________ 28 2.2.2. Socio-cultural, economic and political context _________________________________________________________ 30 2.2.3. Design of the firm _______________________________________________________________________________ 32 2.2.4. Influence of modern entrepreneurship on collectivist societies _____________________________________________ 35 2.3. The Context of Social Embeddedness ______________________________________________________ 43 2.3.1. Entrepreneurship in socially embedded context ________________________________________________________ 44 2.3.2. Muslim-Ethnic Entrepreneurial communities in Karachi, Pakistan __________________________________________ 62 2.3.3. Detrimental effects of high social bonding ____________________________________________________________ 71 2.4. The Research Gap______________________________________________________________________ 74 3. Research Strategy for Theory Building __________________________________________________ 78 3.1. Scope and Delimitation of the Study _______________________________________________________ 78 3.2. Selected Paradigm _____________________________________________________________________ 79 3.3. Choice of Research Strategy _____________________________________________________________ 82 3.4. Eisenhardt’s Research Strategy of Building Theory from Cases ________________________________ 84 3.4.1. Determining the initial set of research questions and a-priori concepts _______________________________________ 85 3.4.2. Sampling criteria ________________________________________________________________________________ 85 3.4.3. Triangulation to reduce researcher’s bias _____________________________________________________________ 86 3.4.4. Data collection _________________________________________________________________________________ 86 3.4.5. Processing and analysis of the data __________________________________________________________________ 87 3.4.6. Searching for cross-case patterns ___________________________________________________________________ 88 3.4.7. Authenticating relationship between constructs ________________________________________________________ 89 3.4.8. Comparison with previous literature _________________________________________________________________ 89 3.4.9. Reaching closure ________________________________________________________________________________ 89 3.5. Application of The Research Strategy______________________________________________________ 90 3 3.5.1. Determining the initial set of research questions and a-priori concepts _______________________________________ 90 3.5.2. Sampling criteria ________________________________________________________________________________ 91 3.5.3. Data collection _________________________________________________________________________________ 91 3.5.4. Triangulation and reduction of researcher’s bias ________________________________________________________ 95 3.5.5. Processing and analysis of the data __________________________________________________________________ 96 3.5.6. Searching for cross-case patterns __________________________________________________________________ 100 3.5.7. External validity through comparison with previous literature ____________________________________________ 102 3.6. Validity and Reliability ________________________________________________________________ 103 3.7. Chapter Summary ____________________________________________________________________ 103 4. Case Studies ______________________________________________________________________

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