Reading social enterprises through Sen’s notion of commitment

Abstract This paper examines social enterprises (SEs) through the lens of Amartya Sen’s notion of commitment. The hybrid nature of SEs combines social objectives with profit maximisation, often privileging the social dimension over the financial one. For this reason, SEs appear paradoxical within a neoclassical framework. The paper brings together the open definitional debate surrounding the nature of SEs and an interpretation grounded in the capability approach. Its aim is to demonstrate that the paradoxes identified within the neoclassical framework tend to dissolve once SEs are understood as capabilities-oriented firms. This methodological perspective makes it possible to illuminate how SEs take decisions, with particular reference to Sen’s concept of commitment. It also enables a clearer analytical distinction between SEs and neoclassical firms, while preserving the complexity of motives and objectives that characterises both, thereby helping to define the boundaries between these two distinct types of firm.