Social Economy Business Models and Sustainable Growth: An Analysis of Emerging Regional Dynamics

Abstract

This paper analyses how social economy business models contribute to sustainable growth by reinforcing regional competitiveness and supporting inclusive development. It examines the mechanisms through which these organisations enhance labour market participation, diversify local production systems and generate resource efficient activities that strengthen long term economic resilience. Evidence from Romania’s North-West Region illustrates how such models operate in territories shaped by mixed urban-rural structures, demographic pressures and cross border economic interactions. The analysis shows that social economy organisations complement traditional market actors, consolidate local value chains and create favourable conditions for territorially embedded development. The paper argues that systematically integrating the social economy into regional strategies can generate significant economic spillovers and support more balanced and resilient growth trajectories.