This presentation was shown on the 23rd July 2013 in the Social Entrepreneurship Research Colloquium organized by Skool Centre at the Säid Business School, University of Oxford (UK). The starting point is the Mondragon case from the Social Innovation published in the Edward Elgar's International Handbook, but the main purpose is presenting some initial ideas to highlight the importance of the Territory as the main asset in order to Social Entrepreneurship can be flourished among the collaboration of the territorial agents.

1. Territories
&
Entrepreneurs:
Ini0al
ideas
for
a
Compara0ve
Territorial
Benchmarking
Dr.
Igor
Calzada,
Ph.D.
PostDoctoral
Research
Fellow
at
the
University
of
Oxford
(UK).
Future
of
Ci?es
FoC
Programme,
COMPAS
&
InSIS.
&
Ikerbasque,
Basque
Founda?on
for
Science.
Lecturer
&
Senior
Researcher
at
the
University
of
Mondragon
(Spain).
2013
Research
Colloquium
on
Social
Entrepreneurship
Skoll
Centre
for
Social
Entrepreneurship,
Säid
Business
School.
University
of
Oxford
(UK)
12:15-­‐13:00
23rd
July
2013.

2. INDEX:
0.-­‐
Bio/Background
1.-­‐
Research
Ques0on:
Territories
&
Entrepreneurs:
Place
MaYers
2.-­‐
Case
study:
Descrip0on
&
Interpreta0on.
Mondragon
case,
published
in
the
Interna?onal
Handbook
on
Social
Innova?on.
3.-­‐
Current
PostDoc
Research:
(Work-­‐In-­‐Progress)
Ini?al
ideas
for
a
Compara?ve
Territorial
Benchmarking

3. hYp://about.me/icalzada
0.-­‐
Bio/Background
• Sociologist
+
MBA
by
Deusto
University
• 10
years
in
Mondragon
Group
– Innova?on
field
– University:
Lecture
and
Senior
Researcher.
• Also
ins?tu?onal
and
poli?cal
arena
• PhD
in
the
west
of
USA
• Thesis:
– Comparing
Basque
Country,
Portland
(Oregon)
and
Dublin
(Ireland)
• Right
now:
Doble
affilia?on
– University
of
Oxford
(UK)
Future
of
Ci?es
Programme
– Ikerbasque,
Basque
Founda?on
for
Science
• PostDoc:
– Comparing
Oresund
(SE&DK),
Liverpool/Manchester
(UK)
and
Basque
Country.

4. 1.-­‐
Research
Ques0on
Why
should
we
link
Territories
&
Entrepreneurs?
Because,
PLACE
MATTERS

5. 1.-­‐
Research
Ques0on:
Overview
about
Time,
Space,
Place
and
Territory
• David
Harvey
(1990):
“Time
had
destroyed
Space”
• Daniel
Innerarity
(2013):
“An
economic
geography
of
crea7vity
is
established
that
requires
a
significant
number
of
modifica7ons
in
a
way
territories
are
governed”
• Ulrick
Beck
(2007):
“Territories
are
not
longer
‘container
spaces’”
• Anne
Lee
Saxenian
(2007):
“There
is
a
linkage
between
the
way
technology
entrepreneurs
build
regional
advantage
in
order
to
compete
in
global
markets”
• Heather
Haveman
(2013):
”As
spa7al
barriers
decline,
compe77on
expands
geographically
(space
maEers
less)
and
site
of
produc7on
becomes
more
relevant
(place
maEers
more)”

6. 2.-­‐
Case
study:
Mondragon
(Basque
Country,
Spain).
Why
should
we
highlight
(nowadays)
the
Territory
&
Social
Entrepreneurship,
(both
together)
when
refers
to
Mondragon
case?

7. 2.-­‐
Case
study:
Mondragon
(Basque
Country,
Spain).
DESCRIPTION
INTERPRETATION

8. 2.-­‐
Case
study:
Mondragon
(Basque
Country,
Spain).
Descrip0on

9. by Fran Castill
2.-­‐
Case
study:
Mondragon
(Basque
Country,
Spain).
Descrip0on

10.
Type
Worker
coopera?ve
federa?on
Founded
1956
Founder(s)
José
María
Arizmendiarrieta
Headquarters
Mondragón,
Basque
Country,
Spain
Area
served
Interna?onal
Key
people
Txema
Gisasola
(Chairman)
Revenue
14,832
million
€
(2011)[1]
Employees
80,321
(2012)
Divisions
Finance,
Industry,
Retail,
Knowledge
Website
www.mondragon-­‐corpora?on.com
2.-­‐
Case
study:
Mondragon
(Basque
Country,
Spain).
Descrip0on

11. 2.-­‐
Case
study:
Mondragon
(Basque
Country,
Spain).
Descrip0on

12. by Fran Castill
• A.-­‐
The
Mondragon
coopera?ve
group,
named
officially
Mondragon:
Humanity
at
Work:
Finance-­‐Industry-­‐
Retail-­‐Knowledge,
has
aYracted
the
interest
of
many
researchers,
both
in
the
field
of
economic
democracy
as
well
as
in
business
in
general.
• B.-­‐
The
experience
launched
in
1943
with
the
founda?on
of
a
Polytechnic
School,
has
become
a
coopera?ve
network
of
more
147
coopera0ves,
structured
into
four
groups
—
industrial,
financial,
distribu0on
and
research
&
training
—
today
employing
almost
80,321
persons
with
a
turnover
of
over
14,832
million
Euros
in
2011
(Mondragon,
2012).
2.-­‐
Case
study:
Mondragon
(Basque
Country,
Spain).
Descrip0on

13. • C.-­‐
In
the
industrial
area
the
percentage
of
interna?onal
sales
in
2010
amounted
to
62.5%.
• D.-­‐
It
should
be
noted
that
of
the
3.594
million
Euros
in
interna?onal
sales,
2.309
million
(56.7%)
corresponded
to
exports
from
the
produc0on
plants
in
the
Basque
Country
and
the
rest
-­‐1.555
million,
43.2%
-­‐
corresponded
to
the
produc?on
on
in
the
foreign
subsidiaries.
2.-­‐
Case
study:
Mondragon
(Basque
Country,
Spain).
Descrip0on

14. • E.-­‐
The
Mondragon
group
reflects
the
concern
of
combining
the
basic
objec?ves
of
a
business
development
in
capitalist
markets
with
the
use
of
democra?c
methods
in
its
organiza?on,
job
crea?on,
promo?on
of
its
workers
in
human
and
professional
terms
and
commitment
to
the
development
of
its
social
environment
(Erras?,
2003).
• F.-­‐
The
development
of
this
experience
over
the
last
decade,
par?cularly
on
an
interna?onal
level,
has
thrown
up
ques?ons
regarding
the
viability
of
the
Mondragon
coopera0ve
model
and,
consequently,
of
the
coopera?ve
model
in
general.
2.-­‐
Case
study:
Mondragon
(Basque
Country,
Spain).
Decrip0on

15. • G.-­‐
The
Mondragon
coopera?ves
have
been
construc?ng
a
wide
network
of
subsidiaries
all
over
the
world,
93
subsidiaries
and
more
than
13.000
workers
in
2010,
mainly
in
emerging
na?ons
BRIC
(13
subsidiaries
in
China,
8
in
Czech
R.,
7
in
Mexico,
6
in
Poland
and
Brazil,
etc…).
• H.-­‐
The
strategy
has
involved
acquisi?on
of
businesses
and
the
cons?tu?on
of
private
capital
affiliated
companies
(Mondragon,
2011).
2.-­‐
Case
study:
Mondragon
(Basque
Country,
Spain).
Descrip0on

16. 2.-­‐
Case
study:
Mondragon
(Basque
Country,
Spain).
Interpreta0on
Download
the
chapter
here:
hYp://www.igorcalzada.com

17. by Fran Castill
1)
During
the
last
two
decades
many
coopera?ves
belonging
to
the
Mondragon
coopera?ve
group
have
pursued
a
strategy
of
interna0onal
growth
that
had
transformed
the
original
local
coopera0ves
into
mul0na0onals
groups
with
many
affiliated
companies
all
over
the
world.
2)
The
main
issues
are
how
long
Mondragon
mul0na0onals
will
remain
key
creators
of
jobs
and
wealth
in
the
Basque
country
and
whether
or
not
the
coopera0ve
democra0c
model
will
prevail
among
its
subsidiaries.
2.-­‐
Case
study:
Mondragon
(Basque
Country,
Spain).
Interpreta0on

18. by Fran Castill
3)
Mul0na0onal
companies
and
democracy
seem
to
be
antagonis?c
terms:
mul?na?onal
refers
to
the
capacity
for
control
by
a
centralised
unit
distant
from
the
various
units
spread
over
a
number
of
countries
(hetero-­‐
management),
while
the
concept
of
democracy
refers
to
the
direct
control
by
those
involved
in
the
process
(self-­‐
management),
as
it
happens
in
the
coopera?ves.
2.-­‐
Case
study:
Mondragon
(Basque
Country,
Spain).
Interpreta0on

19. by Fran Castill
4)
However,
exploring
and
innova?ng
different
ways
that
exist
to
democra?se
companies,
even
mul?na?onals,
is
a
challenge
which
cannot
be
ignored
by
society
nor
by
companies
if
they
wish
to
con?nue
producing
goods
and
services
in
a
way
that
is
dis?nct
from
the
tradi?onal
capitalist
enterprises.
Seeking
produc0ve
mul0na0onal
business
models,
ones
as
democra0c
as
possible,
is
a
challenge,
above
all
for
those
democra0c
companies,
as
Mondragon
coopera0ves,
that
have
had
to
become
mul0na0onals.
2.-­‐
Case
study:
Mondragon
(Basque
Country,
Spain).
Interpreta0on

20. by Fran Castill
To
sum
up:
1.-­‐
The
increased
presence
of
mul?na?onal
corpora?ons
impose
a
series
of
obliga?ons
on
industrial
companies:
size
and
be
located
in
the
most
favourable
places.
2.-­‐
M
has
transformed
in
the
last
decade:
Basque
Country
based-­‐
produc?on
coopera?ves
è
To
a
large
mul?na?onal
group
with
coopera?ve
plants
and
mul?ple
non-­‐coopera?ve
produc?on
subsidiaries
in
Eastern
Europe,
La?n
America
and
especially
China.
3.-­‐
M
has
seen
the
challenge
of
interna?onal
expansion
as
a
way
to
improving
compe??veness
for
the
preserva?on
of
the
local
and
coopera?ve
employment:
3.1.-­‐
Re-­‐loca?ons
may
be
a
loose
of
local
jobs.
3.2.-­‐
Investment
in
gradual
transforma?on
of
low
value-­‐added
jobs.
4.-­‐
In
spite
of
this,
re-­‐loca?on
has
just
only
begun.
5.-­‐
Industrial
coops
wonder:
Not
loosing
their
iden?ty,
deeply
rooted
in
the
community
and
based
on
a
democra?c
business
model.

21. by Fran Castill
Three
complimentary
approaches:
1.-­‐
Objec?ve
2.-­‐
Realis?c
3.-­‐
Cri?cally
Construc?ve

22. 1.-­‐
OBJECTIVE
approach:
• The
Mondragon
group
reflects
the
concern
of
combining
the
basic
objec7ves
of
a
business
development
in
capitalist
markets
with
the
use
of
democra?c
methods
in
its
organiza?on,
job
crea?on,
promo?on
of
its
workers
in
human
and
professional
terms
and
commitment
to
the
development
of
its
social
environment
(Erras?,
2003).
• This
strategy
has
reinforced
the
compe00ve
posi0on
of
the
companies
but
has
produced
contradic0ons
between
the
basic
objec?ves
of
a
business
organisa?on
compe?ng
in
interna?onal
markets
and
the
historical
core
principles
and
values
of
the
Mondragon
coopera?ves
(Erras?,
2003)

23. 2.-­‐
REALISTIC
approach:
• We
are
not
some
paradise,
but
rather
a
family
of
co-­‐opera7ve
enterprises
struggling
to
build
a
different
kind
of
life
around
a
different
way
of
working.
• Nonetheless,
given
the
performance
of
Spanish
capitalism
these
days
–
25%
unemployment,
a
broken
banking
system,
and
government-­‐imposed
austerity
(as
if
there
were
no
alterna7ve
to
that
either)
–
Mondragon
seems
a
welcome
oasis
in
a
capitalist
desert.
hYp://www.guardian.co.uk/commen?sfree/2012/jun/24/alterna?ve-­‐capitalism-­‐mondragon
24th
June
2012
The
Guardian

24. 3.-­‐
CRITICALLY
CONSTRUCTIVE
approach:
• However,
Dr
Igor
Calzada,
in
his
chapter
featured
in
the
Interna7onal
Handbook
for
Social
Innova7on
on
Mondragón,
advises
innovators
in
Spain:
• To
reflect
a
homegrown
approach
to
social
entrepreneurship
that
steers
away
from
individualist
forms
imported
from
abroad
and
to
tend
more
towards
community-­‐inspired
approaches
as
that
taken
by
Mondragón
when
it
was
originally
established.
hEp://socialenterprise.guardian.co.uk/social-­‐enterprise-­‐network/2013/jan/02/spain-­‐enterpreneurs-­‐
economic-­‐enterprise-­‐coopera7ve
2nd
January
2013
The
Guardian

25. 2.-­‐
Chapter:
7/7.
1.-­‐
Bees
&
Trees
2.-­‐
Local
Communi0es
3.-­‐
Technocentric
èAnthropocentric
“Triumphalist
Talent”
èBiocentric
4.-­‐
Communitarian
Social
Capital
5.-­‐
IDeO
ORONA,
Innova0on
City
6.-­‐
LEINN
degree
7.-­‐
Challenge

26. 2.-­‐
Chapter:
1/7
Key
Idea
1) Bees
&
Trees
Alliance:
Entrepreneurs
&
Companies.
• To
contextualize
the
challenges
and
issues
that
the
Territory
&
Business
Nodes
confront
in
a
globalized
world.
• Offering
the
idea
of
building-­‐up
“Crea?ve
Ecosystems”
(Mulgan,
2007
&
Murray,
2010)
• We
call
it,
biocentric
approach:
cri?cal
value
of
land
and
Territory
as
primary
sources
of
Social
Innova?on.

27. 2.-­‐
Chapter:
1/7
Key
Idea
1)
Bees
&
Trees
Alliance.
©
Igor
Calzada
2013

28. 2.-­‐
Chapter:
2/7
Key
Idea
2)
Back
to
the
Local
Communi0es:
• It
is
not
likely
that
JMArizmendiarrieta
(1956)
&
had
heard
of
Jane
Jacobs
(1984)
ideas
about
Local
Communi?es.
• However,
Mondragon
town
had
all
of
the
community
characteris?cs
that
Jacobs
had
established
for
an
environment
to
be
fer?le
for
Social
Innova?on,
which
is
what
ocurred.

29. 2.-­‐
Chapter:
3/7
Key
Idea
3)
Technocentric
èAnthropocentric
èBiocentric
approach
of
Mondragon:
• In
the
past,
during
periods
of
growth,
a
Technocentric
approach
prevailed.
• Now,
from
the
more
holis?c
stance
of
corporate
social
iden?ty,
Mondragon
must
abandon
this
outdated
approach.
• Hence,
Social
Entrepreneurship:
– How
can
we
avoid
the
tempta?on
to
encourage
“Triumphalist
Talent”
(Anthropocentric)
at
the
University?
– How
can
we
establish
a
new
genera?on
of
Social
Entrepreneurs
according
to
the
coopera?ve
tradi?onal
synergy
with
the
Biocentric
approach,
who
can
respond
crea?vely
to
the
current
economic,
social
and
environmental
challenges?

30. 2.-­‐
Chapter:
4/7
Key
Idea
4)
ê
Communitarian
Social
Capital
(CSC):
• Interna?onaliza?on
and
individualism
have
lowered
the
levels
of
Communitarian
Social
Capital
(CSC)
• Therefore,
we
must
strike
a
balance
between
encouraging
individualist
and
triumphalist
forms
of
social
entrepreneurship
with
the
need
to
structure
communi?es,
which
are
the
basis
of
the
coopera?ve.

31. 2.-­‐
Chapter:
5/7
Key
Idea
5)
Case
1:
IDeO
ORONA,
Innova0on
City:
Good
current
prac?ce.
• Compa?ble
with
a
biocentric
perspec?ve
and
to
valorize
the
Territory.
• World
leader
in
eleva?on
systems.
• Stakeholders:
Companies,
University,
Entrepreneurs,
Public
Adm
and
Civic
Society.
hYp://www.orona.co.uk/en/sec?ons/we-­‐are-­‐orona/innova?on/orona-­‐ideo-­‐innova?on-­‐city.php

32. 2.-­‐
Chapter:
6/7
Key
Idea
6)
Case
2:
LEINN
degree.
Good
current
prac?ce.

33. 2.-­‐
Chapter:
6/7
Key
Idea.
6)
Case
2:
LEINN
degree.
Good
current
prac?ce.
• Is
contribu?ng
to
the
forma?on
of
a
new
homegrown
talent
pool
of
social
entrepreneurs
which
is
consistent
with
the
vision
of
the
Mondragon
experience
and
that
will
enhance
truly
re?cular
coopera?ve
entrepreneurial
business
models.
• The
future
of
Social
Innova?on
in
Mondragon
lies
not
with
large
companies
but
with
the
networked
structures
of
social
entrepreneurs.

34. 2.-­‐
Chapter:
7/7.
7)
Challenge:
• The
great
challenge
for
Social
Innova?on
research
for
the
Mondragon
case
lies
in
the
formulae,
methodologies,
case
studies
and
lessons
to
be
learned
from
the
processes
of
interna0onalizing
the
coopera0ves
that
currently
form
the
flagship
of
Mondragon.
• Thus,
we
must
explore
a
new
concept
of
Social
Entrepreneurship
in
different
emerging
industries:
entrepreneurs
with
large
glocal
networks
who
are
highly
specialized
and
prepared
to
form
or
lead
culturally
and
thema?cally
diverse
teams.
• To
sum
up:
The
real
issue
for
the
Mondragon
experience
today
is
that:
No
coopera0ve
forms
of
society
currently
ar0culate
the
new
economic
ecosystem
on
a
systema0c
basis.

35. 2.-­‐
Chapter:
7/7.
1.-­‐
Bees
&
Trees
2.-­‐
Local
Communi0es
3.-­‐
Technocentric
èAnthropocentric
“Triumphalist
Talent”
èBiocentric
4.-­‐
Communitarian
Social
Capital
5.-­‐
IDeO
ORONA,
Innova0on
City
6.-­‐
LEINN
degree
7.-­‐
Challenge

36. 3.- Current PostDoc Research:
• Aims:
1.- To design a Systemic Analytical Framework to diagnose/intervene
Territories:
Basic Research.
2.- While carrying out field work case-study research:
Applied Research.

37. 3.- Current PostDoc Research:
• Methodological phases:
Organizing the research in two complementary phases:
– The Future of the City-Regions: Basic Research.
– Comparative Territorial Benchmarking: Applied Research.
• Content’s elements:
Modelling an Analytical Systemic Framework consist of:
– 5 Systems.
– 3 Scales.
• Field work research:
Carrying out case-studies:
– Dublin, Portland and Basque.
– Oresund, Manchester/Liverpool and Basque.

38. Methodological phases:
Conceptual
Approach
Analy?cal
Approach
Empirical
Approach
Applied
Approach
The
Future
of
the
City-­‐Regions
Compara0ve
Territorial
Benchmarking
Basic
Research
Applied
Research
©
Igor
Calzada
2013

39. 5-­‐System
Analy0cal
Systemic
Framework
è
Content’s elements: 5 Systems
©
Igor
Calzada
2013

40. Content’s elements: 3 Scales
©
Igor
Calzada
2013

41. Content’s elements: 3 Scales
#PROJECT
©
Igor
Calzada
2013

42. Territory
è #Macro
Content’s elements: 3 Scales
©
Igor
Calzada
2013

43. Territory
è #Micro
Content’s elements: 3 Scales
©
Igor
Calzada
2013

44. Territory
è #Meso
Content’s elements: 3 Scales
©
Igor
Calzada
2013

45. Territory
è 3
Case
studies:
PhD
DUBLIN
PORTLAND
BASQUE

46. Territory
è 3
Case
studies:
PostDoc
LIVERPOOL/MANCHESTER
BASQUE
ORESUND

47. City-Region cases Typology
Oresund:
Malmö + Copenhagen
• Transborder
• high territorial sinergies
• in-between two Nation-States (Sweden & Denmark)
Liverpool & Manchester • Two twin City-Regions
• with physical proximity
• but low territorial sinergy
Basque • Transborder
• low territorial sinergies
• in-between two Nation-States (Spain & France)
Territory
è 3
Case
studies:
PostDoc
©
Igor
Calzada
2013

48. Territory
è 3
Case
studies
PostDoc
©
Igor
Calzada
2013

49. 3.- Current PostDoc Research:
Conclusions:
1. · Territory seen as City-Region
2. · Approached from Social Innovation Analytical Systemic Framework
3. · Social Entrepreneurship is just a factor into the whole Framework;
and depends on the rest of the Territorial composition’s factors.
4. · Carried out by Action Research.

50. Thanks
for
your
alen0on
Dr
Igor
Calzada
hYp://www.igorcalzada.com
hYp://about.me/icalzada
@icalzada