Social entrepreneurship has been attracting attention from researchers and practitioners for decades due to its crucial role in developing and empowering individuals, communities, and nations (Chamlee-Wright & Storr, 2010) and its ability to effectively solve social, economic, and environmental issues (Constantin, Stanescu, & Stanescu, 2020). For example, the Grameen Bank initiative in Bangladesh to provide microloans for the needy to start small businesses has been shown to have improved the locals’ quality of life (Ayob, Yap, Sapuan, & Rashid, 2013). In the United States of America, Hurricane Katrina caused serious devastation in August 2005, and much of the damage was still to be repaired even some years later; however, social entrepreneurship played a significant role in actively reconstructing communities and rebuilding homes during the recovery process (Chamlee-Wright & Storr, 2010).

Furthermore, social entrepreneurship has substantially contributed through the recreation and tourism sectors. In Romania, for example, a former Olympic athlete initiated social entrepreneurship through water sports and recreational activities to promote and empower his ethnic group (Constantin et al., 2020). In Mozambique, one of the poorest countries in the world, despite the unpromising social, economic, and environmental conditions, Carter-James and Dowling (2017) found that social entrepreneurship initiatives resulted in commendable community growth and significant transformation of the country through the national park lodging business.

Due to its significance, researchers across the globe have shown interest in exploring the phenomenon of social entrepreneurship, but most social entrepreneurship studies have been definitional and consist of case studies, whereas empirical studies are rare (Stenvall, Laven, & Gelbman, 2017). Moreover, the literature on social entrepreneurship motivation is primarily centered on developed countries (Ghalwash, Tolba, & Ismail, 2017; Littlewood & Holt; 2018). Therefore, an understanding of social entrepreneurship in different regions of the world with varied social, economic, and cultural backgrounds, especially in the context of undeveloped and developing countries, is critical to provide an in-depth insight into and an understanding of social entrepreneurship (Ghalwash et al., 2017; Sadeh, Aderet, & Fridkin, 2016; Wanyoike & Maseno, 2021).

The 2013 Malaysian government initiative to spur development in the social entrepreneurship sector has resulted in studies aimed at understanding the social entrepreneurship phenomenon (e.g., Ayob et al., 2013; Murphy, Murphy, & Liu, 2017; Sarif, Ismail, & Sarwar, 2013). However, studies on the motivational aspect of this phenomenon are somewhat limited; thus, a comprehensive and inclusive understanding of the motivational aspect of social entrepreneurship in the context of Malaysia is very much needed.

In Lundu District of Sarawak, Malaysia, socioeconomic conditions need to be improved. Based on data from the Department of Statistics Malaysia (2020), in 2019, the median monthly gross household income in Lundu District was recorded at RM 3,409 (c. USD 810), approximately 42% lower than the national figure (RM 5,873, c. USD 1,400). Within Sarawak, in Lundu District, the median gross household income is also far lower than in some other districts of Sarawak, such as RM 7,380 in Bintulu, RM 5,763 in Miri, and RM 5,740 in Kuching (Department of Statistics Malaysia, 2020). In addition, during the preliminary visit to Lundu District, several locals disclosed that they were dissatisfied with social and economic conditions and were hoping for improvement. Some of the issues that concerned them were job opportunities and education facilities, issues also emphasized in the State Planning Unit Government of Sarawak’s (2014) Master Plan for the Development of Lundu-Sematan Coastal Area (2014–2030) approved by the Sarawak Government in 2015.

This scenario invites the local community to become social entrepreneurs in creating more job opportunities or addressing other issues in the district, as social entrepreneurship has been proven to effectively enhance quality of life and resolve issues affecting local communities (Constantin et al., 2020). However, according to a former Lundu District officer, even though it would be best to develop social entrepreneurship in Lundu District, only a limited number of people have been participating as social entrepreneurs (A. P. A. Redzuan, personal communication, November 26, 2017). Therefore, understanding the reasons for social entrepreneurs engaging in this venture or the factors that motivate them is undeniably significant to enable the relevant authorities to plan strategies to encourage more locals to become involved.

These lacunae in both practice and the literature justify the need for this study. Adopting McClelland’s (1965) theory of needs, this study aims (1) to determine the levels of the different motivational dimensions of female social entrepreneurs in Lundu District and (2) to identify the factors that influence their motivation. This study focuses on the female population because studies have found that women are generally more active in the social entrepreneurship sector (Estrin, Mickiewicz, & Stephan, 2013) and have created social change in uncustomary ways (Christoff, Lewis, Lu, & Sommer, 2017). Rhouse, Ahmad, Ab Wahid, and Yunus (2015) also acknowledged that women play undeniable economic development roles and deserve more research attention to appreciate their contribution to the nation.

The outcomes of this study could help authorities understand what has motivated female social entrepreneurs in Lundu District to venture into what is essentially a new sector in Malaysia. Identifying the factors influencing each motivational dimension could help the authorities design effective strategies to encourage more locals to become involved in resolving or ameliorating issues of concern. Theoretically, this study’s outcomes contribute to the body of knowledge on social entrepreneurship motivation in developing countries, specifically in Malaysia. Its findings also make a significant contribution to the existing literature as a pioneering study exploring the application of McClelland’s theory of needs to social entrepreneurship.

The outline of this study is followed by a literature review, its methodology, results, discussion, and conclusion.

Social entrepreneurship is a type of entrepreneurship that effectively improves quality of life and resolves issues that concern communities. Compared to its practical development, its research development has been relatively slow, with research only taking on a systematic approach in 2011 and peaking in terms of number of publications in 2017 (Bansal, Garg, & Sharma, 2019). However, a standard definition of “social entrepreneurship” remains a topic of debate among scholars (Constantin et al., 2020; Kassem, Aldosari, Muddassir, & Kayani, 2018; Sengupta & Sahay, 2017). Their distinct cultural, societal, and geographical backgrounds mean scholars have quite varied interpretations of what constitutes social entrepreneurship (Kerlin, 2010) but it is generally seen as including two vital characteristics: a social mission and a business model (Wulleman & Hudon, 2015).

First, a social mission conveys the values that social entrepreneurs aim to achieve through their ventures, mostly focused on social, economic, and environmental goals (Constantin et al., 2020). Every social venture has its own social mission depending on the issues affecting the community that social entrepreneurs have identified as pressing (Constantin et al., 2020) and that remain unaddressed by either government or private agencies (Ayob et al., 2013). Social entrepreneurs adopt conventional business models to help generate revenue for the venture. Both characteristics are vital and interrelated. This is because the revenue from the business model sustains social entrepreneurship operations (Braga, Proença, & Ferreira, 2014) and, more importantly, it means the social mission can be realized with minimal or no dependence on outside funding (Sarif et al., 2013; Wulleman & Hudon, 2015). Scholars have also highlighted the difference between social entrepreneurship and conventional entrepreneurship because social entrepreneurship highlights social value and economic profit, whereas conventional entrepreneurship focuses exclusively on profit (Braga et al., 2014; Constantin et al., 2020).

Motivation is about knowing the needs or forces that lead to one’s actions, and in this case, the actions of social entrepreneurs (Ruskin & Webster, 2011). This is a vital aspect, as motivation affects the choice or direction of action, its intensity, and people’s persistence in pursuing the said action (Osabiya, 2015). The most prominent theories of motivation currently discussed in academic circles include Maslow’s hierarchy of needs, Herzberg’s two-factor theory, and McClelland’s theory of needs.

Maslow’s hierarchy of needs was developed in 1943, and suggests that people are usually motivated to perform certain life behaviors in a particular hierarchical order: physiological needs, safety needs, love needs, esteem needs, and need for self-actualization. Based on this theory, people are unable to fulfil their needs in a higher category before they have fulfilled those in a lower category (Louca, Esmailnia, & Thoma, 2021). However, the concept of linear hierarchy in Maslow's theory is unsuitable for the context of this study. For instance, people living in emerging nations are still capable of loving and being loved by their families and friends, although their physiological needs such as food sources are not always satisfied (Louca et al., 2021).

Another theory is Herzberg’s two-factor theory, developed by Frederick Herzberg in 1959. This theory proposes two consistent factors that shape people’s job satisfaction: hygiene and motivation. Hygiene factors, if lacking, lead to dissatisfaction, while motivation factors encourage people to work hard and increase their satisfaction (Osemeke & Adegboyega, 2017). This theory is, however, also less than suitable for this study because of its narrower focus, mainly explaining the factors that influence employees’ motivation and job satisfaction (Herzberg, 1968).

McClelland’s theory of needs comprises three motivational dimensions: need for achievement, need for affiliation, and need for power. McClelland stated that most people exhibit a mixture of these three needs with different dominance patterns, depending on each individual’s cultural differences and life experiences. In addition, the relative dominance of these three needs can be learned and changed if appropriate training programs are provided (McClelland, 1965). This theory has been popularly adopted in the entrepreneurship sector to understand entrepreneurs’ motivations (Handaru, Waspodo, & Carolina, 2013). The three needs suggested in this theory have also been applied in many studies (e.g., Caringal-Go & Hechanova, 2018; De Hoogh et al., 2005; Handaru et al., 2013) as a principal explanation for why people are motivated to engage in or start up business ventures (Handaru et al., 2013). Since many studies have been conducted on entrepreneurship, it is believed that this theory is sufficiently well established to be adapted and tested in the context of social entrepreneurship. Furthermore, scholars (e.g., Kolb & Boyatzis, 1970; Steinmann, Ötting, & Maier, 2016) have proven that people with moderately high need for achievement, need for affiliation, and need for power, would exhibit effective helping behaviors. Thus, this theory has been adopted in this study.

The need for achievement is the desire to accomplish according to the standards set and the will to strive for success. People with high achievement motivation tend to embrace new or unique ventures and work hard to accomplish challenging goals (Mazzarol & Reboud, 2020; Steinmann et al., 2016; Wanyoike & Maseno, 2021). Therefore, the need for achievement probably explains why social entrepreneurs choose to venture into this relatively new sector. This proposition is supported by previous studies (e.g., Caringal-Go & Hechanova, 2018; Christopoulos & Vogl, 2015; Wanyoike & Maseno, 2021).

The need for affiliation is the urge to have favorable social relationships (Steinmann et al., 2016). People with a high affiliation needs tend to be active in social groups that share the same interests and goals. They are likely to communicate, discuss, and collaborate with other people (Rhouse et al., 2015). They also attempt to understand and attend to people’s needs (Steinmann et al., 2016), where the need for affiliation can be observed through companionate gestures or nurturing deeds (De Hoogh et al., 2005). Referring to past studies (e.g., Boluk & Mottiar, 2014; Caringal-Go & Hechanova, 2018; Rhouse et al., 2015), the need for affiliation has been proven to be one of the motivations for engaging in social entrepreneurship.

The need for power is the desire to be influential, to influence and have control over the behavior of others, in that people who are motivated by power derive pleasure from regulating subordinates to accomplish their mission and goals (Steinmann et al., 2016). Studies (e.g., Fayolle, Liñán, & Moriano, 2014; Mazzarol & Reboud, 2020) have found that the need for power is one of the motivational dimensions for commercial entrepreneurs. In addition, De Hoogh et al. (2005) showed that social entrepreneurs (non-profit leaders) exhibit a similar level of need for power to traditional entrepreneurs.

Social entrepreneurship is, at its fundamental level, developing a business to resolve, improve, or ameliorate unaddressed issues in a community and women have been proven to be more active in social entrepreneurship. By focusing on Lundu District of Sarawak, this study has made a significant contribution to the relatively sparse body of knowledge regarding the motivation of female social entrepreneurs in Malaysia. In addition, it applies McClelland’s theory of needs in a novel and innovative fashion to the phenomenon of social entrepreneurship. The results show that female social entrepreneurs in Lundu District were highly motivated by the need for affiliation, followed by the need for achievement and the need for power, in their social entrepreneurship ventures. These results agree with those of previous studies (e.g., Kolb & Boyatzis, 1970; Steinmann et al., 2016) in which people who possess moderately high levels of all three needs tend to exhibit effective helping behaviors.

Based on the findings, attendance at courses and training was the most important factor influencing the three motivational dimensions covered in this study. Collaboration between government authorities, educational institutes/training providers, and social entrepreneurs is crucial for enhancing social entrepreneurship growth (Kassem et al., 2018). Authorities could incorporate educational institutes, human resource managers, or other training providers to organize courses and training that are informative, constructive, and relevant to social entrepreneurship (Kassem et al., 2018).

Formal education and informal training and courses are crucial to strengthen social entrepreneurship-related skills, such as controlling and managing resources and company operations, which might stimulate locals’ need for power and need for achievement and thereby encourage them to engage in social entrepreneurship, noting that informal courses and training are especially good at promoting positive entrepreneurial attitudes (Urbano, Toledano, & Soriano, 2010). At the same time, by attending courses and training, the locals mingle, interact, and communicate with each other; thus, they can strengthen their relationships and understand more about each other, and perhaps also more about specific issues affecting them. This might enhance locals’ need for affiliation and lead them to become social entrepreneurs to address the unresolved issues.

The need for affiliation is closely related to the sense of belonging or involvement within a social group (Caringal-Go & Hechanova, 2018). Studies (e.g., Ahmad & Talib, 2016; Lardier Jr, 2018) have shown that community empowerment is associated with a sense of community. Thus, ethnic community leaders in Lundu District or governmental bodies could enhance the locals’ need for affiliation by empowering them through partnerships and engagement in community programs or bringing them together to participate in solving pressing community issues. Such measures might stimulate locals’ need for affiliation and impel them to engage in social entrepreneurship to help their community achieve a better quality of life. In addition to maintaining social relationships (Caringal-Go & Hechanova, 2018), people with affiliation motivation are prone to address others' needs (Steinmann et al., 2016) and contribute to companionate acts to help relieve the problems of others (De Hoogh et al., 2005).

This study also reveals that women who have never received formal education have a higher level of need for achievement and need for power. However, authorities should also identify strategies to focus on and foster interest in women with formal education, especially those who have received tertiary education. Trivedi (2016) mentioned that higher education levels convey higher competency in becoming entrepreneurs. In this case, campaigns or motivational talks could be organized to create awareness among educated locals about their crucial roles in contributing to the community through social entrepreneurship.

Even though involvement on the food/beverage products sector positively influences women’s need for affiliation, authorities should also promote other sectors as their business models in social entrepreneurship. This ensures revenue generation for female social entrepreneurs, as revenue is essential for sustaining operations and realizing social missions. Therefore, to avoid an overexpansion of the food/beverage products sector, which would result in stiff competition, women planning to engage in social entrepreneurship might consider getting involved in craft products, homestay activities, or health products and services. Alternatively, new product development or product differentiation could be a means of engaging in the food/beverage products sector without increasing the level of competition.

It should be noted that this study’s findings might not be generalizable to female social entrepreneurs in other locations or countries: it focused only on Lundu District of Sarawak, Malaysia, a rural area in a developing country. Future research should replicate this study in other contexts. For instance, a comparative study with different background settings, such as between rural and urban areas or between developed and developing countries, would be meaningful. In addition, this study focused solely on the female population, in which the majority had graduated from secondary schools but only 6% had accessed tertiary education. Thus, future research could investigate highly educated populations, particularly women. Comparative studies would also be interesting for future research to identify the differences in motivation between men and women, because both are motivated differently to engage in business (Stephan et al., 2015). Research has also observed the significant role that gender plays in affecting men and women's attitudes toward companies and their performance (Han, Ariza-Montes, Tirado-Valencia, & Lee, 2020). Finally, as motivation might change over time (Murnieks, Klotz, & Shepherd, 2020), longitudinal studies could also be conducted to understand the motivational changes among female social entrepreneurs in different phases of their venture.