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Achieving social and economic sustainability through innovations in transformative services: A case of healthcare organizations in an emerging market

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Abstract

Resource-poor organizations serve a significant portion of emerging markets’ healthcare industries. Such organizations engage in transformative services. However, given emerging markets’ ever-changing dynamics, it is unclear whether transformative services suffice for such organizations to move towards economic and social sustainability. We present two studies undertaken in the context of missionary hospitals in India. Study 1 identifies that hospitals rely on innovations in transformative services, driven by the co-creation of knowledge by various stakeholders, to remain socially and economically sustainable. Study 2 develops and tests hypotheses using data from 183 hospitals, showing that employee voice, community engagement, and diversity of organizational expertise increase innovation in transformative services at a decreasing rate, while resource munificence and commercialization emphasis moderate the antecedents’ effects. Post hoc analyses show that innovation in transformative services positively affect economic and social sustainability, and that awareness creating efforts moderate these relationships. More broadly, innovations in transformative services are critical for emerging markets’ resource-poor organizations’ economic and social sustainability.

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Notes

  1. CMAI (Producer). (2016). About Us. Retrieved from https://cmai.org/who-we-are/about-cmai.html

  2. https://data.worldbank.org/indicator/SH.STA.MMRT?end=2017&start=2017&view=map

  3. https://indianexpress.com/article/news-archive/print/the-doctor-is-in-3/lite/

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Acknowledgements

We would like to thank Christian Medical Association of India (CMAI) for supporting and guiding us with information on various fronts. We would also like to thank the administration of the eight hospitals that allowed us to interview them. We thank the participants of the exploratory study for their support and insights. We also thank the hospitals for providing us the data. We thank Mays Innovation Lab for partial funding. Authors sincerely thank Shrihari Sridhar and Vikas Mittal for their valuable guidance, comments, and suggestions on a previous draft of a related manuscript.

Authors thank the Editor, the Associate Editor, and the anonymous Reviewers for their valuable feedback and suggestions in the review process.

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  1. Amalesh Sharma, Sourav Bikash Borah and Aditya Christopher Moses contributed equally to this work.

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  1. Mays Business School, Texas A&M University, College Station, TX, USA

    Amalesh Sharma

  2. Indian Institute of Management Ahmedabad, Ahmedabad, India

    Sourav Bikash Borah & Aditya Christopher Moses

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Sharma, A., Borah, S.B. & Moses, A.C. Achieving social and economic sustainability through innovations in transformative services: A case of healthcare organizations in an emerging market. J. of the Acad. Mark. Sci. (2023). https://doi.org/10.1007/s11747-023-00968-w

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