PUBLIC ENTREPRENEURSHIP AS A TRANSFORMATIONAL PARADIGM: FROM BUREAUCRATIC RATIONALITY TO PUBLIC VALUE CREATION
Keywords:
public entrepreneurship, public value, governance, innovation, institutional cultureAbstract
This article examines public entrepreneurship as a transformational paradigm that redefines the role of public administration in conditions of increasing societal complexity. Contemporary public institutions operate in an environment characterized by dynamic, interdependent and unpredictable processes, which challenge the adequacy of traditional bureaucratic models. The study argues that classical bureaucratic rationality, while ensuring stability and legality, is insufficient to address complex public problems that require adaptability, innovation and strategic orientation.The research applies a theoretical and comparative analytical approach, drawing on contemporary literature in public administration, institutional theory and innovation economics. It traces the evolution of governance paradigms from bureaucratic administration through New Public Management to the theory of public value. The analysis demonstrates that public entrepreneurship emerges as a synthetic framework that integrates these paradigms by combining stability, efficiency, legitimacy and strategic vision.The findings highlight that public entrepreneurship is characterized by proactiveness, innovation, risk management and network-based interaction. It shifts the focus of public management from execution of predefined policies to the creation of public value. In this context, the role of the state is reinterpreted from a passive regulator to an active agent capable of shaping socio-economic development.The article further emphasizes the critical role of institutional culture as a determining factor for entrepreneurial transformation. Dominant bureaucratic cultures, oriented towards control and risk avoidance, often limit innovation, while supportive cultures based on trust and learning can facilitate entrepreneurial behavior. Particular attention is given to the Bulgarian context, where formal reforms frequently coexist with persistent institutional inertia, leading to fragmented and unsustainable innovation practices.In conclusion, public entrepreneurship is identified as a necessary transformation of public governance rather than an optional reform. It provides a conceptual and practical framework for transitioning from administrative compliance to the creation of sustainable public value in complex and uncertain environments
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