Carbon trading and local communities’ income: does social enterprise embeddedness moderate? Evidence from Tanzania

This study examines the influence of carbon trading on local communities’ income and the moderating effects of social enterprise embeddedness among carbon trading communities in Tanzania. Based on the resource-based view and social capital theories, a cross-sectional survey design was applied to col...

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Bibliographic Details
Main Authors: Charles K. Matekele, Julieth S. Mambosho, Prisca P. Rutatola, Joel M. Chongela
Format: Article
Language:English
Published: Taylor & Francis Group 2025-12-01
Series:Cogent Social Sciences
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Online Access:https://www.tandfonline.com/doi/10.1080/23311886.2025.2456503
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Summary:This study examines the influence of carbon trading on local communities’ income and the moderating effects of social enterprise embeddedness among carbon trading communities in Tanzania. Based on the resource-based view and social capital theories, a cross-sectional survey design was applied to collect data from 206 respondents. The hypothesised relationship was established and tested using partial least squares structural equation modelling (PLS-SEM) enriched by SMARTPLS4. The findings indicated that carbon trading and social enterprise embeddedness are essential drivers for improving the income of local communities. The study also revealed that social enterprise embeddedness did not significantly moderate the positive link between carbon trading and local communities’ income. Furthermore, this study offers theoretical and practical implications for local communities, decision-makers, and local governments.
ISSN:2331-1886