Social Entrepreneurship, Creating Networks in Baja California. For consideration for ACASIA conference in Tijuana, BC May 2008.

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1 Social Entrepreneurship, Creating Networks in Baja California For consideration for ACASIA conference in Tijuana, BC May Louise Kelly, Alliant international University, San Diego, California David Felsen, Alliant international University, San Diego, California Jennifer Roney, Willamette University, Salem, Oregon Maximo Cervantes, Universidad Iberoamericana, Tijuana, Baja California Introduction In the current climate, social entrepreneurship has been receiving a great deal of attention. In the twenty-first century, faced with challenges associated with globalization and continued underdevelopment, a greater number of philanthropists, academics, and private sector firms are turning to social entrepreneurship. That is, instead of seeking profits and return on investment, individuals and companies are investing seeking to have an impact on society and measuring its impact on society as a return. One of the keys to sustaining projects in social entrepreneurship is the development of networks at different levels of society. The focus of a traditional entrepreneur is to understand and make the most of the market. The focus of the social entrepreneur is to understand how to impact and change society. This involves developing connections with the constituent parts of society. In the case of developing countries, social entrepreneurship faces several important challenges. First, by definition, developing country institutions tend to be weaker than in developed countries that includes financial institutions, political institutions of government, and social institutions that provide assistance. Another difficulty is the weak presence of NGOs both domestic and foreign in developing countries. In short, these factors make it more difficult to connect, begin a program, obtain government approval, obtain domestic capital, market, sell, and grow businesses for the purpose of impacting society. That is why in order to focus on social entrepreneurship it is vital to focus on building networks that can support social entrepreneurship. This paper will focus on what these networks are and how to build them. It further identifies three levels of networks that must be constructed regional networks that are constructed at the grass roots local or regional level; national networks that connect regions to the central governments of the developing country in which they are situated; finally, and as importantly, international networks to link and sustain domestic networks and projects of social entrepreneurship. The following paper will illustrate the role of building social networks plays in social entrepreneurship. It will use the case study of Baja California to discuss networks and social entrepreneurship.

2 Social Entrepreneurship: Literature Review Social entrepreneurs have innovated for social good for centuries, but the study of these individuals as the force that moves the ideas of positive social change is relatively new. Bornstein in his detailed look at social entrepreneurship notes that the reason for the lack of attention to the individual s role is due to the attention on how ideas move people rather than how people move ideas (2004, p.91). In addition, the literature and practice have captured both a growing interest in systemic social change and sustainability. First we turn to a review of the history of social entrepreneurship and then to contemporary definitions which we draw from in our paper. Solving social problems has been the pursuit of varied players and has taken many forms over the last 400 years. In late eighteenth-century Europe the prevailing system of charity, which was typically practiced by churches, led to only temporary relief and did not reach much of the needy. Leading political thinkers such as Thomas Paine and Marquis de Condorcet began to carve out a role for government in resolving social problems and addressing the void that the system of charity left. This approach grew and took many forms, most notably socialism advocated by Karl Marx in the late 19th and early 20th century. The history of government involvement in addressing social problems has been mixed. For example, government funded education and healthcare have had success in providing access to vast numbers of citizens but problems remain. Likewise, government aid agencies have generated very innovative approaches and invested billions of dollars to addressing the needs of society but often these initiatives are neither effective nor sustainable (Cernea, 1987, Tendlar, 1989). Government approaches tend to be bureaucratic, wasteful, too political and antithetical to innovation. Most detrimental perhaps, is the tendency for society to become dependent on government support. Instead of developing communities that emerge from the poverty and need with initiative to tackle their own problems, the result is often people that have developed a addiction to external funds (Dees, 2007). As the failings of government to adequately address social problems became apparent in the 1980s some focused attention on for-profit business and specifically the idea of entrepreneurship for solutions. Jean Baptiste Say a French economist in the turn of the 19th century is credited with popularizing the term entrepreneur. The term originates from French economics and it means to find new and better ways of doing things and undertaking a significant project. In the 20th century Joseph Schumpeter wrote that entrepreneurs were both creative and disruptive but more generally the change agents of capitalism. They create value and shift economic resources out of an area of lower and into an area of higher productivity and greater yield (Schumpter, 1934). Peter Drucker follows on the work of Say and Schumpeter in his work on entrepreneurship and is among those who turn attention to the application of entrepreneurship to the social sector. In his book Innovation and Entrepreneurship Drucker introduces several examples where the objective of

3 entrepreneurship is a social and not a profit motive (1993). In practice, Mohammad Yunus highly successful Grameen Bank is cited as the most striking of many examples of social entrepreneurship in action. Where entrepreneurship is applied to social problems several streams of thought have emerged. Generally, definitions of social entrepreneurship include innovation applied to opportunities that meet a social need in a sustainable manner (Mair & Marti, 2004). More specific definitions of social entrepreneurship have emerged with two dominating the literature and practice. One definition popularized by Edward Skloot of New Ventures refers to the process of nonprofits generating income as a means of supporting their social mission (Dees, 2007, Desa, 2007). Using business expertise and market based skills, social entrepreneurs develop social enterprises that are, at least in part, economically viable. (Alvord, Brown & Letts 2004, Frumkin 2002; Thompson et al. 2000, Reis, 1999). This definition of social entrepreneurship leads easily to the concepts of sector-bending proposed by Dees and Anderson (2003) and Social Businesses by Mohammad Yunus (2008) founder of the Grameen Bank, to name just two. These ideas blur the traditional lines between nonprofit and for-profit business carving out a new playing field in which social innovation is the primary objective and new forms of organization are developed to produce needed social change. A second definition is represented in the conceptualization of social entrepreneur that Bill Drayton envisioned in his development of Ashoka: Innovators for the Public. Ashoka invests in social entrepreneurs like venture capitalists invest in firm start-ups. To Drayton the social entrepreneur has the same characteristics as the business entrepreneur in mental attitude, vision, bias for action, and skills but the social entrepreneur (seek) to better the world in specific ways (Shorters, 2007). Gregory Dees (2001) uses the same ideas to define social entrepreneurship, again building on the entrepreneurship concepts. His definition includes five behaviors that social entrepreneurs engage in to accomplish social change. First, social entrepreneurs must adopt a social mission that creates and sustains social value. The second behavior is identified as a critical behavior in the entrepreneurship literature; it is relentlessly pursuing new opportunities that create (in this case social) value. David Gergen (Dees, 2007) described social entrepreneurs are new engines of reform, which highlights the third behavior, which Dees calls engaging in a continuous process of innovation, adaptation, and learning. Fourth, entrepreneurs do not allow their resource constraints to limit their goals, or the action they pursue. Finally, Dees defines social entrepreneurs as those that exhibit heightened accountability for those that they serve, the social group that they seek to impact. This definition then focuses on the behaviors of the individual as social change agent. The previous definition highlighted the adoption of models and strategies from one sector that would influence the outcomes of the other, again toward the goal of a positive social impact. Mort, Weerawardena and Carnegie (2003) propose a multidimensional construct of social entrepreneurship that integrates the concept of the entrepreneur in commercial business with the unique purpose and context of the social entrepreneur. Their model combines

4 four dimensions, two of which emerge from the entrepreneurship literature and two that are added in the social entrepreneurship context. First, they recognize the importance of behavioral characteristics of decision making. They draw on the work of Covin and Slevin (1986) who have identified tolerance for risk, proactiveness and innovativeness behaviors as key to entrepreneurial decision making. In addition, they include social opportunity recognition (Shane & Venkataraman, 2000) that integrates the importance of the ability to identify opportunities to create social value in their communities previously noted by Drucker and others. The two dimensions that Mort, Weerawardena and Carnegie include as unique to the social context are judgment capacity and virtues. Judgment capacity refers to an ability to operate in a context of complexity with multiple stakeholders, to balance the needs of stakeholders but to prioritize using the social mission as the central and primary criteria to judge competing interests. Finally, the authors contend that social entrepreneurs must have virtuous attitudes and behaviors. They define virtues as positive and morally good values such as love, integrity, honesty and empathy. These four elements social opportunity recognition, behavior characteristics, judgment capacity and virtues define entrepreneurialism with a decidedly social flavor. This social context becomes crucially important when we are considering the case of transnational social entrepreneurs. The literature addressing social entrepreneurship that occurs across borders is sparse. There is ample evidence of social innovation, problem solving and entrepreneurship operating across borders, for only one example, Medcins Sans Frontieres (Doctors Without Borders) whose name highlights the cross-border nature of the endeavor. There is evidence, however that social entrepreneurship may be uniquely suited to address problems that arise in cross-border regions such as the one examined in this paper. Many social problems are not limited to government levels or jurisdictional boundaries. Social entrepreneurs with the qualities of a willingness to break free of established structures and to cross disciplinary boundaries which Bornstein concludes are essential for success social change have the personal characteristics that are ideally suited to addressing cross-border social issues (2004). He writes one of the primary functions of the social entrepreneur is to serve as a kind of social alchemist: to create new resources in configurations that society is not naturally aligned to produce (2004, p236). In addition, with the limitations identified in government-based social engagement, the complexity of two national governments compounds the potential for the individuals who need the help the most to be lost in the shuffle of red tape (Dees, 2007).

5 Transnational Social Entrepreneurship Following from the above discussion of the context of social entrepreneurship, this paper will address the phenomenon transnational social entrepreneurship (TSE) is a rapidly emerging aspect of international business expansion. The TSE process involves entrepreneurial activities that are carried out across national contexts with the view to solving social problems, or externalities, as the economist like to label them. These TSEs are actors who are embedded in at least two different social and economic arenas. We are specifically interested in TSEs who are operating in the regions of Baja California, Mexico and San Diego, California. These transnational social entrepreneurs are able to navigate to the two social and economic systems without necessarily having to migrate from one country to another. They can concurrently maintain business-related linkages with both countries, their country of origin and their country of operation. They can link perhaps their adopted country, with communities from their country of origin. By traveling both physically and virtually, these border transnational social entrepreneurs are engaging simultaneously in two or more socially embedded environments. This allows them to maintain critical global relations that enhance their ability to creatively and efficiently recognize and exploit opportunities and to maximize their resource base. Our research objective is to explore how TS entrepreneurs who apply their social networks to maintain social and economic ties on both sides of the border and how this impacts their ability to pursue innovation in multiple environments. We are developing a conceptual framework to look at the cultural institutional, political and economic features of this complex cross national arena in which these TSEs operates and to understand what influences their entrepreneurial strategies and actions they undertake. By integrating micro social network analysis with macro political complexity theory analysis, we aim to develop a practice-based analytical framework through which we can better understand the dynamic nature of transnational social entrepreneurship. This will result in a set of informed recommendations regarding public policy vis-à-vis cross-border entrepreneurship, technology transfer, and community and economic development. The findings of this study will inform public policy actors on both sides of the board in regarding how to best leverage the San Diego Baja California region s unique multicultural multi-linguist resources through transnational social entrepreneurship as a means of promoting economic growth and employment and for the creation of new transnational organizations. Usually transnational entrepreneurs migrate from one country to another, concurrently maintaining business related linkages with their countries of origin and currently adopted countries and communities. They did this by traveling both physically and virtually and these transnational entrepreneurs act simultaneously in two or more socially embedded environments. In the case of the Baja San Diego region, there is a unique opportunity for

6 these TSE is to operate in a way that not necessarily includes migration, but instead the traveling, both physical and virtua,l can be done without changing resident status. We argue that those TSE that maintain global relation, or transnational relations, enhance their ability to creatively and effectively recognize and exploit opportunities and mobilize and maximize their resources. We have identified a structural hole, although there are many, between the San Diego and Tijuana social and economic systems. Specifically, there is a well documented fact that the San Diego economy has largely failed to globalize. San Diego is an ideal geographic location on the border with Mexico and on the Pacific Rim ocean border. Deus should allow San Diego to pursue numerous international business opportunities. However, what we find is that San Diego in the city that has to some extent resisted globalization, or perhaps more merely failed to globalize. Some argue that that this derives from its history as a naval town. Although the Navy is international in its operations in the past it has maintained perhaps an ethnocentric view in its different international ventures. So perhaps this historical roots of Navy town mentality has created a mindset that was resistant to globalization. Furthermore, the fact that the San Diego port is largely a tourist rather than a commercial port has also curtailed the pace of globalization. There is one industry of no recently that has increased the global profile San Diego and that would be the telecommunications industry with firms such as QUALCOMM, Sony Ericsson and Nokia leading the way to a more globalized mindset. Now let us turn our attention to the other socially embedded system of to Tijuana. But we look at Tijuana we see a highly globalized city of 2 million or so inhabitants. It is noteworthy that Tijuana has, through Mexican Airlines, has daily flights to Tokyo. San Diego has no such direct linkages, all the flights go through LA. So, we see a socially embedded system entity in Tijuana that has a largely international profile. The maquiladoras have their head office in Japan, Korea and China, principally and the managers who work in the maquiladoras as in Tijuana are continually shuttling back and forth to these countries. It is also worthy of note that Mexico as a country has the most free-trade agreements signed in the world [David is this true?]. However we can identify a structural hole, indeed the decoupling of the two systems, when we look at entrepreneurial opportunities, abilities and networks between the two San Diego and Tijuana. San Diego has venture capitalist networks. It has a thriving Biotech industry fat is largely entrepreneurial in nature, it has regular investments conferences from different stock exchanges encouraging IPOs, it has universities like UCSD, SDSU and Alliant international University that spawn entrepreneurial ventures, incubation centers at these various educational institutes that support entrepreneurs, it has the SBA network, and has banks and financial institutions that support entrepreneurship, it has philanthropic and community development institutions that support social entrepreneurship-a surplus of resources and networking opportunities for a budding entrepreneur social or otherwise.

7 We can contrast this with the young entrepreneurs in Baja California, or specifically the one social entrepreneur lacks access to venture capital or perhaps even to bank loans due to a more rigid financial system. The entrepreneur lacks role models, the social entrepreneur lacks a network of philanthropic individuals and organizations to plug into, lacks the universities that are as involved in spawning entrepreneurial ventures. It is clear that the Baja entrepreneur, social or otherwise, is somewhat bereft of networks and resources to launch a new venture. So we can identify this as a structural hole that can be linked. The San Diego social and economic system lacks a global integration, while the Baja California social and economic system lacks an entrepreneurial framework of support. It is our argument that the cross-border or transnational social entrepreneur is uniquely positioned to fill that structural hole. We know from previous research in social network analysis that filling, structural holes can be a very great source of power and influence for those agents that are uniquely qualified or situated to fill that hole. Let us turn for a moment to the cultural questions of these two socially embedded systems that are to a large extent decoupled. One would think that in San Diego, with its30% population of Hispanics, that these Hispanics would in fact be well networked over the border in the Baja/ Tijuana region. However, a closer look reveals that the majority of the residents of Tijuana have migrated from other parts of Mexico to come and work in the maquiladoras, this is what has in fact driven the phenomenal growth of the city of Tijuana. So this disparate sets internal migrants, internal to Mexico, ended up in Tijuana and do not necessarily have links to the entrepreneurs San Diego who themselves are migrations from various parts of Mexico. There are a small percentage of those who moved to San Diego, who had previously lived in Tijuana. Culturally, we are also aware due to our research consulting and participation in the two centers, San Diego and Tijuana, that there is a phenomenon where the more recently arrived immigrants actually prefer this to distance themselves from those would-be immigrants from their country of origin. So, when the immigration debate rages in the US, it is not uncommon to find recently naturalized Hispanic immigrants being unsympathetic to immigrants from their country would like to legally emigrate. So from a cultural perspective, this also creates a a structural hole between the recently arrived, first or second generation Mexican immigrants and the would-be immigrants over the border in Tijuana. Our argument is that by creating a new social networks through the founding of social ventures to solve problems is in Baja California, that the structural hole will in fact be filled. By failing the structural hole and connecting to decouple social and economic systems, that this also allows the opportunity for the pursuit of other entrepreneurial ventures, whether social in nature or not, that would allow the greater mobilization of transnational resources and capabilities in the region.

8 Context In recent years, the concept of transnational social ownership is a distinct attribute of globalization has been given onconsiderable attention in various disciplines of the social sciences to sociology and economics, economic jockey and regional planning. (Light, 1972; Portes, 1987; Portis, Heller, and Guarnizo, 2002; Portes and Zhou, 1996: Saxenian, 2000: 2006). These approaches to the study of transnational entrepreneurship are linked by a desire to understand all what and why of these individuals who build new businesses across more than one country. While relying on resources and opportunities that that stem from maintaining linkages with their country of origin. [Droro., Honig & and Ginsberg, 2006). TE exploits the possibility of managing and collaborating across time and space. Countries such as China and Mexico, Israel and Ireland and bring substantial advantages to their economies by those who return to their home countries and maintain physical linkages abroad leveraging experience and knowledge gained from working in destination countries such as the US, UK, or Canada. They do so by transferring technology, knowledge, information,know-how or business practices as well as by producing a new mindset and worldview gleaned from their experiences in the host country. The extent to which these TE can leverage the skills and knowledge in founding the ventures, including economic returns to the country of origin and destination countries, is dependent on integrating and aligning the local social and economic environment. It relies on government policy,availability of infrastructure or other conditions to develop the human capital (Saxenian, 2006). Collaboration with stakeholders such as the political parties, government bureaus and professional associations may affect how the creation of these effective networks for social ownership operate for the TE (Honig,, 2001; Grori, Honig & Ginsburg, 2006). The locus of reference for the transnational social is the international theater, where the transnational entrepreneur focuses explicitly on a significant opportunity of cross-border activities that are linked to the solving of social problems. TSE promote international trade, by taking advantage of globalization globalization and the entrepreneurs cosmopolitan way of life, which enables the acquisition resources for operating across national differences and the development of new institution across borders. This reflects the creation of the fusion of a distinct binational capabilities, the ability to operate on both sides of the border. These TSEs master key resources and can become, in fact, international business leaders. These TSE need not be privileged members of society, they that can come from above or from below. theoretical overview Theory of practice, (Bourdieu 1977, 1990; Schatki et al., 2001) focuses on the reasoning of actions, the goal of social actors to understand why certain actions are legitimate and what leads to social agreement. In particular, we are interested in the notion of field from Bourdieu. The field consists of a network or configuration of relations between different types of capital, social, cultural, economic, symbolic that form relations and

9 distributions resources(bourdieu1993:70-77). Typically fields are marked by tension or conflict among the interests of different groups that have struggled to gain power and control over the fields and their array of capital. We can see it is as a dynamic at work in the case of entrepreneurs based in Tijuana and those based in San Diego. Although the two systems are largely decoupled, there is some overlap, and there is can lead to a sense of competition among the recently arrived migrants entrepreneurs to those would be migrants or otherwise. We thus can look at the special case of the Baja/San Diego border and social entrepreneurship. For the purposes of this paper we define transnational social entrepreneurs adds social entrepreneurs with social network ties on both sides of the border. From a network perspective, it s important that we define structural holes. Structural holes arecar static holes can be strategically filled by connecting one or more links to link together other points. There are impressive social capital gains to be made by bridging the structural holes: if you link together two people who are not linked, you can shape communication. The underlying theory that informs this research is the concept of indebtedness embeddedness. Granovetter( 1985) and Polyani (1957) suggests that market and hierarchical relations are typically added in social relations, and to that extent, all three types of relations are essentially social and their distinctive content, thus, is secondary to their common social nature. To conclude, based on our previous discussion, we suggest the following propositions to understand transnational entrepreneurs in the Baja/San Diego region. 1. Transnational social entrepreneurs may serve as bridges for structural holes between Baja and San Diego s social and economic systems. 2. Transnational social entrepreneurs are more aware of and able to exploit social entrepreneurship opportunities in the Baja/San Diego region than entrepreneurs who lack transnational networks. 3. Baja social entrepreneurs who are not unduly constrained by their reliance on embedded networks will establish more sustainable social enterprises.

10 Case Study: An Example of Social Entrepreneurship in Tijuana, Baja California, México: Mauricio Flores Trejo and Children s Corporation - Child entrepreneurial leadership is the slogan of Mauricio Trejo s Children s Corporation. Background Early exposure to social change efforts, volunteer work and service organizations In many ways Mauricio Trejo is the best spokesperson for social entrepreneurship in Tijuana. A child of middle class Mexican society. Mauricio had a catholic education in a Marist school, one of the oldest in a young city. It was in this school that he first became aware of the social inequities of a border boomtown. As part of his education, the Marist brothers took groups of students to do volunteer work in underprivileged areas around town. For students who felt the call to service, there were apostolic groups that combined social activism with religious values. While in Gama Group, as it was called, he continued to participate in his first experiences in social change. Throughout junior high, high school and college, he participated in student government and got a job on a local television children s show ( Satelite Infantil ). In 1995, after graduating from high school, and struggling with between getting a degree in social work or marketing he entered the Autonomous State University of Baja California (UABC). As with many young middle-class people in the developing world, the pressure to get professional degrees in business, engineering, law or medicine is great. So, after graduating from UABC with a degree in Business, Mauricio started his own enterprise in the education industry while later continuing to get a certificate in entrepreneurship. Core values When asked to name the core values he thinks are most important, the list includes: Honesty Discipline Enthusiasm Dedication Vision Tenacity Leadership Synergy Service

11 College Life Catalyst for the merging of social conscience and entrepreneurial drive It s during his college years that his social networks took off in size and focus. While continuing to be active in student government and appearing in local T.V., he received an internship at CRECE. CRECE (Regional Center for Business Competiveness) is a Mexican government program to provide training and consulting services to start-up and small business. This proved to be pivotal in shaping his views on entrepreneurship and social activism, his two main interests. As part of the CRECE interns, Mauricio was exposed to businesspeople in a wide-range of business as well as the consultants assigned to help them. There he practiced writing business plans, filling-out loan applications and one-on-one contact with entrepreneurs. Participating in Junior Achievement provided the opportunity to see how not-forprofit corporation works and confirmed his desire to work with children. Social Entrepreneur After cementing his desire to work with children through volunteering in not-for-profit organizations, Mauricio started Children s corporation as the culmination of work he had been doing with Boys and Girls Club of Tijuana, local chapters of Rotary International and COPARMEX (Employers Confederation of Mexico). According to its mission statement, the company seeks to shape children into entrepreneurs and leaders through programs that foster abilities, values and habits for excellence. It works through schools that incorporate their educational programs and directly with society through its Entrepreneurial leaders club. Among its first products to be sold to schools and colleges were the Making cents and Junior Achievement educational programs. After that, came the summer camp in Canada for members of the Entrepreneurial leaders club and students participating in its other school-based programs. Later, Children s Corporation started getting hired to handle corporate social responsibility projects. One such example is Axtel who has been outsourcing with Children s Corporation for the last three years. Each time, the campaign has had a different theme (Entrepreneurship, Ecology and Security) but with the clear goal of promoting social change through child participation in social issues. This way, the company markets to schools, individuals and businesses. In a sense Mauricio Trejo has shown true entrepreneurial spirit, finding a unique market niche and crafting a economically viable business plan that promotes social change. In not becoming a charitable organization, this company becomes the first of its kind in Tijuana. Bi-national Social network As with many middle-class Tijuana residents, Mauricio has cross border as well as international ties. Although Mauricio crosses the Tijuana-San Diego border at only about once a month, his extended social network has many international components.

12 Starting immediately after college, Mauricio attended meetings of professional groups, chambers of commerce, and alumni organizations. Also, he has family living in San Diego and stays in contact with people he met while in a study abroad program in Canada where he has a sibling. When asked to name the most significant people in his life, the list of 12 includes 4 members of his immediate family plus a girlfriend. Of the 7 remaining people, 6 are friends from school and one former teacher. Of the 12 significant people on his list, all but 2 live in Tijuana. One is in Canada and the other passed away. In fact, seven of the 12 live within an hour s drive of his house plus two that live in the same house. In length of relationships, all but one on the list has been an acquaintance for at least 12 years. With regard to frequency of interaction, he has near daily contact with four significant others, monthly with another four. Even with such a close knit group of significant others, Mauricio continues to be active in many groups such as: Marist alumni association COPARMEX State Council on education Morelos Park volunteers Children s Foundation volunteers Telmex Scholars Rotary International Boy s and Girl s Club of Tijuana It could be argued that part of his success in carving out a niche for his company as a social entrepreneur can be attributed to his wide array of personal, social and professional contacts. It s interesting to note that although his extended social network probably numbers in the thousands, his core group is very close knit.

13 Conclusion Transnational entrepreneurship (TE) is a rapidly emerging aspect of international business expansion, and TSE is an interesting subset of this area. The TSE process involves entrepreneur activities with a virtuous social goal that are carried out across national context, initiated by actors who are embedded in at least two different social and economic arenas. TSE need not migrate from one country to another, to concurrently maintaining business-related linkages that their countries of origin and currently adopted countries and communities. By traveling both physically and virtually, TSEs engage simultaneously in two or more socially embedded environments, while maintaining critical global relations that enhance their ability to creatively and efficiently recognize and exploit opportunities to maximize the resource base Questions of interest are how TSEs apply different strategies in founding new businesses with a virtuous social objectives in their home or other country while maintaining social and economic ties to a second country, thus impacting innovation processes in multiple environments. There are multiple cultural, institutional and economic features of these complex cross- national domains in which TSEs operate. These cultural, institutional, and economic factors influencing the TSEs choice of strategies and actions To really understand the TSE it s important to do micro and macro levels of analysis: to build a framework that understands the micro networks of the TSE as well as the macro level institutions and political and economic structures that allow them to engage in TSE. This area merits study, in order to have informed recommendations regarding public policy vis-à-vis immigration, business development, technology transfer and commercialization and community economic development. By extending the social networks between their country of origin their adopted country, TSE. s in some ways transplant institutions and relations through technology entrepreneurship and are reshaping global technology competition (Saxenian, 2006:14) The concept of TSE is a fascinating product globalization that merits attention in social science disciplines such as sociology, anthropology, economics, economic geography and regional planning (light, 1972; Cortez, 1987; Cortez, howler and who are needs so, 2002; Portes and Zhu, 1996 Sexanian, 2000; 2006).A desire to understand how why and when individuals and organizations build new businesses and currently adopted countries while relying on resources opportunities that stem from maintaining linkages with their countries of origin (Torrey, coordinate, and Ginsburg, 2006). TSE s exploit the ever greater possibility of managing collaborating across time and space that globalization and new technologies and transnational networks allows for. Countries such as China, Israel, Ireland and Taiwan have just demonstrate substantial advantages to their economies by transnational to return to the home countries and maintain physical linkage the broad, leveraging the experience and knowledge gained from working in destination countries such as Canada, the USA and UK. These individuals can be prime catalyst for the emergence of innovative industries. We believes

14 there is significant insight to be gained by looking at the special case of the Baja/San Diego border and social entrepreneurship.

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