Ethical Partnerships and Governance: Scaling Strategies for Social Enterprise Performance in Enugu Metropolis

Abstract

Purpose This study investigates ethical partnerships and governance (licensing partnerships, franchise partnerships, and strategic partnerships) influence on the financial performance of social enterprises in Enugu Metropolis, drawing on the relational view of competitive advantage to explain the role of partnership quality and alignment. Methodology The study adopts a descriptive survey design, employing survey data from social enterprises in Enugu Metropolis and applying regression analysis to test the statistical significance of the three partnership types on financial performance. Findings The results show that licensing partnerships have a statistically significant negative effect on financial performance (B = -0.320, p = 0.002), franchise partnerships exert a positive and highly significant effect (B = 0.770, p = 0.000), while strategic partnerships exhibit a negative but statistically insignificant relationship (B = -0.121, p = 0.348). These findings emphasize the importance of strategic alignment, mission complementarity, and governance structures in achieving financial outcomes. Originality This study extends the relational view by providing empirical evidence on how different forms of ethical contractual partnerships affect financial performance in social enterprises within an emerging economy context. It highlights the need for deliberate and mission-aligned partnerships, offering practical insights for policymakers and social enterprise leaders in sub-Saharan Africa