International scaling of social innovations through digitalization: A 3D framework

Social enterprises that embed social innovations (SIs) play a critical role in advancing the UN Sustainable Development Goals (SDGs), representing an estimated US$12 trillion market opportunity. Yet, how SIs internationalize in the presence of institutional voids remains underexplored in international business research. Using a history-to-theory and history-in-theory approach, this study examines how dynamic capabilities and digitalization enable the international scaling of SIs. We find that international diffusion depends on capabilities such as boundary spanning, international sensing, legitimacy building, business diplomacy, and market shaping. Digitalization accelerates scaling, contingent on factors including timing, resources, intellectual property ownership, purpose, and technology scope. Our findings also suggest that traditional internationalization metrics—such as exports, FDI, subsidiaries, and foreign sales—do not adequately capture SI internationalization. Instead, internationalization is reflected in the cross-border diffusion of innovations and social impact, alongside the ability to attract international funding, partnerships, talent, and legitimacy while balancing social impact with financial sustainability.