Influence of international ownership on the performance of local social enterprises: Evidence from the global microfinance industry

Influence of international ownership on the performance of local social enterprises: Evidence from the global microfinance industry

By Kwame Ohene DjanSamuel Anokye NyarkoRoy MerslandLeif Atle BeislandLinda Nakato

International ownership positively impacts the social performance of social enterprises at the expense of financial performance. International owners mostly use their resources and controlling rights to improve social performance at the expense of financial performance. Current ownership theories do not address how the multidimensional utility function might affect the governance and financing of a social enterprise. There is a need to develop theories for firms with conflicting objectives.