Community Enterprises and Community Businesses: A Structural Analysis of Grassroots Economic Development
Main Article Content
Abstract
More and more individuals think that grassroots economic development is a smart method to alleviate inequality, make communities stronger, and support economic growth that benefits everyone. Government regulations in Thailand and many other developing nations have heavily supported community companies to help people in rural areas make a living and make things locally. But many of these groups have issues with their structure, like relying on institutions, having trouble with governance, and not being very competitive in the market. Consequently, the concept of community enterprises has emerged as an innovative model that integrates community ownership with entrepreneurial autonomy and market-driven methodologies. This research rigorously analyzes the structural characteristics of community enterprises and community businesses, evaluating their potential for enduring grassroots economic development. The study utilizes a qualitative documentary research methodology, analyzing policy documents, academic literature, legal frameworks, and development reports. The analysis utilizes thematic analysis, critical discourse analysis, and comparative structural analysis, guided by Critical Political Economy, Institutional, Social Enterprise, and Community-Based Development theories. The findings indicate that the two models have very divergent architectures. Community enterprises are usually part of state-supported institutional frameworks that are run by the community and have goals that are focused on welfare. These frameworks encourage people to get involved in their communities, but they may also make it harder for businesses to be flexible in their strategies. Community businesses, on the other hand, focus on being competitive in the market, producing money, and being led by entrepreneurs. This makes them more adaptable and able to recover. The research delineates a complete conceptual framework demonstrating that sustainable grassroots economic systems require the strategic integration of social objectives, market competitiveness, and entrepreneurial leadership.
Article Details

This work is licensed under a Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 International License.
References
Battilana, J., & Lee, M. (2014). Advancing research on hybrid organizing. Academy of Management Annals, 8(1), 397–441. https://doi.org/10.5465/19416520.2014.893615
Cavite, H. J. M., Kerdsriserm, C., & Suwanmaneepong, S. (2023). Strategic guidelines for community enterprise development: A case in rural Thailand. Journal of Enterprising Communities: People and Places in the Global Economy, 17(2), 284–304. https://doi.org/10.1108/JEC-05-2021-0062
Cavite, H. J., Cabahug, R. R., Almeria, M. L., & Lizarondo, L. M. (2023b). Strategic governance and sustainability of community enterprises in developing economies. Sustainability, 15(3), 2154. https://doi.org/10.3390/su15032154
DiMaggio, P. J., & Powell, W. W. (1983). The iron cage revisited: Institutional isomorphism and collective rationality. American Sociological Review, 48(2), 147–160. https://doi.org/10.2307/2095101
Doherty, B., Haugh, H., & Lyon, F. (2014). Social enterprises as hybrid organizations. International Journal of Management Reviews, 16(4), 417–436. https://doi.org/10. 1111/ijmr.12028
Evans, P. (1995). Embedded autonomy: States and industrial transformation. Princeton University Press.
Jarusen, J., & Cheunkamon, E. (2024). Measurement model for community enterprise management strategies. Heliyon, 10(19), e38744. https://doi.org/10.1016/j.heliyon. 2024.e38744
Kemavuthanon, S., & Duberley, J. (2009). A Buddhist view of leadership: The case of the OTOP project. Leadership & Organization Development Journal, 30(8), 737–758. https://doi.org/10.1108/01437730911003902
Khiawnoi, P., Nakudom, S. S., Noobutr, P., & Kaewzang, U. (2025). Empowering communities: The strategic role of community enterprise entrepreneurs in sustainable development. Sustainability, 17(12), 5483. https://doi.org/10.3390/su17125483
Kwangsawad, A., & Jattamart, A. (2022). Overcoming customer innovation resistance to the sustainable adoption of chatbot services: A community-enterprise perspective in Thailand. Journal of Innovation & Knowledge, 7(3), 100211. https://doi.org/10.1016/ j.jik.2022.100211
Mair, J., & Martí, I. (2006). Social entrepreneurship research: A source of explanation, prediction, and delight. Journal of World Business, 41(1), 36–44. https://doi.org/10. 1016/j.jwb.2005.09.002
Mansuri, G., & Rao, V. (2013). Localizing development: Does participation work? World Bank.
Mettathamrong, J., Upping, P., & Deeudom, S. (2023). Approach to applying Sufficiency Economy Philosophy in community enterprise management towards sustainability. Sustainability, 15(6), 5338. https://doi.org/10.3390/su15065338
Raungpaka, V., Khemthong, S., & Sukcharoensin, S. (2017). Information orientation of small-scale farmers’ community enterprises in Northern Thailand. Kasetsart Journal of Social Sciences, 38(3), 196–203. https://doi.org/10.1016/j.kjss.2016.07.002
Scott, W. R. (2014). Institutions and organizations: Ideas, interests, and identities (4th ed.). Sage Publications.
Singhasenee, N., & Na-Nan, K. (2025). From reporting to reality: Measuring ESG-aligned sustainable behaviors in Thai textile communities. Environmental Challenges, 21, 101324. https://doi.org/10.1016/j.envc.2025.101324
Sitabutr, V. (2017). Thai entrepreneur and community-based enterprises’ OTOP-branded handicraft export performance: A SEM analysis. SAGE Open, 7(1), 1–15. https://doi.org/10.1177/2158244016684911
Smith, W. K., Gonin, M., & Besharov, M. L. (2013). Managing social–business tensions: A review and research agenda for social enterprise. Business Ethics Quarterly, 23(3), 407–442. https://doi.org/10.5840/beq201323327
Somwethee, P., Aujirapongpan, S., & Ru-Zhue, J. (2023). The influence of entrepreneurial capability and innovation capability on sustainable organization performance: Evidence of community enterprise in Thailand. Journal of Open Innovation: Technology, Market, and Complexity, 9(2), 100082. https://doi.org/10.1016/j.joitmc.2023.100082
Somwethee, P., Ru-Zhue, J., Aujirapongpan, S., Chanthawong, A., & Usman, B. (2025). Developing social entrepreneurial capability in Thai community enterprises: The roles of intellectual capital, creating shared value, and organizational agility on sustainability. Social Sciences & Humanities Open, 11, 101269. https://doi.org/10.1016/j.ssaho.2024. 101269
Suriyankietkaew, S., & Avery, G. (2016). Sustainable leadership practices driving financial performance: Empirical evidence from Thai SMEs. Sustainability, 8(4), 327. https://doi.org/10.3390/su8040327
Suriyankietkaew, S., Krittayaruangroj, K., & Iamsawan, N. (2022). Sustainable leadership practices and competencies of SMEs for sustainability and resilience: A community-based social enterprise study. Sustainability, 14(10), 5762. https://doi.org/10.3390 /su14105762
Wongkumchai, T., & Kiattisin, S. (2021). Information analysis and evaluation model (IAEM) of Thai economy sustainability based on SEP and SDGs. Heliyon, 7(6), e07305. https://doi.org/10.1016/j.heliyon.2021.e07305