Supporting Innovation Ecosystems with Microfinance: Evidence from Brazil and Implications for Social Entrepreneurship

Considering a social enterprise's relationships with complementors, suppliers, and customers within the broader context of an innovation ecosystem can help advance theory in the field of social entrepreneurship. Our qualitative study examines microfinance organizations in bottom-of-the-pyramid communities in Brazil. Our findings indicate that interactive relationships with complementors, suppliers, and customers can improve the microfinance organization's ability to support commercial transactions, manage financial capital, and educate customers, thereby improving its ability to facilitate economic development. These findings extend the literature on innovation ecosystems, microfinance, and social entrepreneurship.