Madan Lal, Ramesh Kumar, Rakesh Kumar and Rajender Kumar
This paper aims to probe if the capability approach is fit for studying social value and social value creation in the context of social entrepreneurship. Well-being is considered to be the prerequisite for understanding the concept of social value and social value creation. Moreover, Sen’s capability approach is widely used to examine the concept of well-being. To empirically examine the relevance of the capability approach in social entrepreneurship, this study focuses on a case study of India’s first Certified B-Corporation eKutir and its associates. The primary data has been collected through in-depth interviews conducted on an online platform during the month of July 2020 to November 2020. This study is centred on qualitative research design using theory elaboration approach to comprehend the application of capability approach for social value creation. The researchers have used Gioia methodology to strengthen the argument and processed data through NVivo 1.2 software. The results show that eKutir and its associates are engaged in developing and dispersing eighteen types of capabilities that help build social value and social value creation. The study recommends that social enterprise can enhance social value creation for the beneficiaries by focusing on their individual incapability.