This study examines how individual-level compassion influences organizational decision-making regarding inclusiveness in impoverished countries. Surveying four types of Japan-based hybrid organizations that initiate market-based approaches to enhancing global health in developing countries, this paper explores how compassion affects the poverty level of the beneficiaries as a result of organizations’ targeting. Based on the prosocial cost-benefit analysis, compassion for a particular individual reduces risk aversion and increases the perceived benefit to commit to take an action at the expense of self-interest. Despite this contribution of compassion, organizational-level constraints prevent compassionate individuals to serve the extreme poor. Individuals in strategy-based hybrids have less influence on organizational decision on selecting a country as beneficiary. In contrast, compassion-based hybrids make decisions regarding target populations based on founders’ unintentional encountering, thus their beneficiaries are not always the extreme poor. Within these organizational constraints, individuals with compassion for a particular individual make every effort to involve the extreme poor in their business process.
Compassion, hybrid organization, Japan study, global health.
The author is with Graduate School of Arts and Sciences, Yale University, Connecticut, CT 06511 USA and she is also with Graduate School of Arts and Sciences, University of Tokyo, Tokyo, 153-8902 Japan (e-mail: email@example.com, firstname.lastname@example.org).
K. Tokuda, "
Compassion and Inclusiveness of Hybrid Organizations," Journal of Economics, Business and Management vol. 4, no. 6, pp.