Earlier research has asserted that public procurement presents a substantial challenge to social enterprises, effectively barring them from the sphere of public welfare. This study aims to explore the opposing position. It identifies public contracts awarded to social enterprises and uncovers the rationale for awarding them.
Through an inductive and exploratory design, data is drawn from public tender documents sourced from Doffin, the Norwegian national database for procurement announcements.
There is little evidence of using procurement to explicitly target social enterprises or generate social value. However, analysis reveals that with specific conditions, social enterprises secure public contracts through competition. They are also shown to secure public contracts through the uniqueness of their services and through alternative procurement routes focused on innovation.
The findings can inform policymakers and practitioners of the routes currently in use for engaging social enterprises in public procurement. This holds implications for future engagement, such as making greater use of social procurement mechanisms or procuring social enterprise services in non-profit or increasingly innovative frames.
Literature has established the obstacles that social enterprises experience in engaging in public procurement. This paper provides an alternative and new perspective on the public procurement barrier, revealing pathways for procuring from social enterprises. These findings can be used as an evidence base for practitioners and entrepreneurs, as well as to inform policy targeting social enterprises.
