Sustainable Innovation Strategies Research Articles

Leveraging Six Values for Company Performance: Adaptation of Sustainable Business Model Innovation Strategies in Chinese Electric Vehicle Brand Enterprises

Business model innovation is crucial for enhancing company performance. This study aims to investigate the relationship between the six dimensions of sustainable business model innovation and company performance among Chinese electric vehicle brands. A structural equation model is constructed based on a comprehensive literature review and hypothesis development. Using PLS-SEM, this study empirically analyzes questionnaire data collected from the top 12 electric vehicle brands in China to explore the relationship between these six core dimensions and company performance. The results indicate that innovation in “value proposition to customers”, value creation, value delivery, and “value of residual” have a significantly positive impact on the performance of Chinese electric vehicle brands. However, value capture innovation and “value of after-sales service” innovation were not found to be statistically significant. This paper provides an in-depth analysis of the mechanism through which sustainable business model innovation impacts company performance, enriching the theoretical foundation of academic research in this field and broadening its practical applications in management.

Innovating smart cities in Latin America: Addressing regional urban challenges and opportunities

This study analyzes the role of innovation in the development of smart cities in Latin America. It focuses on how emerging technologies and sustainable strategies are being integrated into urban planning and urban development. In this sense, this study seeks to contribute to the smart city literature by answering the following research questions: (i) To what extent smart city innovative initiatives have been addressed in Latin America? and (ii) To what extent scholars have addressed sustainable innovation strategies in the smart city literature? To this end, this is the first comprehensive bibliometric analysis of smart city research in Latin America, with a structured and systematized review of the available literature. This methodological approach allows cluster visualization and detailed analysis of inter-node relationships using the VOSViewer software. The research comprises 4 stages: (a) search criteria; (b) selection of documents; (c) software and data extraction; and (d) analysis of results and trends. Results indicate that studies on the Latin America region began to develop in 2012, with Brazil as a leader in this field and the tourism sector as the most relevant. Nevertheless, strong international collaboration was identified in co-authoring studies, underscoring a cooperative approach to solving common urban problems. The most active research area is technological innovation and sustainability, with focus on solutions for urban mobility, quality of life and smart governance. Finally, this work underlines the need to continue exploring the integration of technology in urban development, suggesting an agenda to guide future research to evaluate the sustainability and long-term impacts of smart city initiatives in Latin America. From the policy perspective, smart city initiatives need to be human-centered to boost smart solutions adoption and to guarantee long term local impacts.

The Impact of Sustainable Innovation on Environment, Social and Governance (ESG) Framework: A Moderating Paradigm from Research and Development (R&D) Expenses

In recent years, businesses are giving more and more emphasis to create sustainable innovations that balance economic, environmental, and social objectives. The objective of this paper is to investigate the impacts of sustainable innovation on Environmental, social and governance (ESG) performance. This paper also examines the moderating effect of Research and Development (R&D) expenses on sustainable innovation and ESG. The analysis makes use of information from 34 Bangladeshi listed firms from 2018 to 2022. A content analysis method was applied to collect the panel data from secondary sources. To test the study hypotheses, multiple regression analysis is employed. The result shows that sustainable innovation has a positive impact on ESG performance. In addition, the study also found that R&D has no significant effect on the relationship between sustainable innovation and ESG performance. The results could assist managers and policymakers in developing nations in establishing sustainable innovation strategies to attain ESG performance. This is the yardstick study towards SDGSs to examine the impacts of Sustainable innovation and ESG performance considering R&D expenses as a moderating variable in the context of Bangladesh, an emerging country.

Sustainability, business strategy and innovation: a thematic literature review

Purpose Challenges related to sustainability have increasingly become pivotal in the realm of business strategy and innovation. Nevertheless, the incorporation of sustainability principles into business strategies and innovative practices remains a subject of ongoing scholarly debate. This paper aims to undertake a thematic literature review on this theme. Design/methodology/approach Data were gathered from the Scopus, Web of Science and Science Direct databases. The final sample comprised 85 papers. For analytical purposes, this study adopted topic modeling using Latent Dirichlet Allocation (LDA) methodology. Findings The authors identified five dominant topics concerning the relationship between sustainability, innovation and business strategy. Through a cross-analysis of these topics, the authors theorize that a sustainable innovation strategy encompasses three complementary and interdependent dimensions: capabilities, management and firm. Building on this analysis, the authors outline a research agenda aimed at further exploration and advancement of this theme. Practical implications This review enhances the synthesis of research on the theme, prompting reflections on how companies can initiate innovative sustainable actions that align with their business strategy. Additionally, the authors identify specific elements that require improvement to enhance each of the three dimensions of sustainable innovation strategies, such as eco-efficiency, circular economy and the adoption of innovative business models oriented toward services/servitization. Social implications By interweaving sustainability with innovation and business strategy, this study underscores the critical topics that companies and public policymakers should address to support sustainable development at the national level. Originality/value While previous literature reviews have focused on the dyadic relationships between sustainability and strategy, or sustainability and innovation, this study extends the boundaries of knowledge by integrating these three concepts into a hybrid theoretical stream.

The Determinants of Sustainable Innovation Expansion Strategy: the Case Study of Companies from a Declining Industry

Stimulation and improvement of innovative development is an extremely important component of economic growth in an economy, along with the companies’ competitiveness in stagnating industries, which is especially relevant for companies at the maturity stage of the life cycle, where the risk of transition to the decline stage is highest. Without new developments and a sustainable innovation strategy, a company loses its leading position in the industry and misses new opportunities, leading it to the stage of stability and decline. Thus, it is important to study the factors that contribute to R&D intensity and encourage innovations in detail. This study investigates the impact of high level and quality of companies’ patent activityon their financial potential in order to maintain stable innovation performance in the medium term. The sample comprises companies from the printer and camera sector between 2007 and 2020. The determinants of innovation expansion that characterize the technological readiness and market potential of firms to maintain their leading position in a highly competitive market are identified, using a case study method using the example of Canon and its competitor Xerox. The data are collected from Bloomberg and Orbis Patent Database. The results show that while high innovation activity is an important driver of growth, it does not always lead to better financial performance in the earlier stages of the life cycle. The study contributes to the literature by examining different characteristics of innovation activity and life cycle stages through the lens of external economic changes, which brings transparency and clarity in understanding the possible problems that may result from using already disclosed innovations of competitors as well as disclosing one’s own intellectual property rights. The study proves that the greatest effect of innovation activity is observed in companies whose R&D expenditures are close to the industry average values along with diversification of revenue. The results of the study can help policy makers, managers and shareholders to build effective corporate governance to achieve strategic goals and minimize the risks of making wrong management decisions in R&D investments.

The impact of detergent performance on sustainable consumer laundry behavior: a socio-technical challenge

Abstract The laundry process is energy-intensive and an important target for reducing residential environmental impacts. Category life-cycle analysis (LCA) studies show the primary environmental impact is due to the energy consumed during the use phase, mainly for heating water. However, doing the laundry is a complex socio-technical system, where addressing sustainability requires not only technical levers but also an understanding of users’ habits, practices, and belief systems. This study investigates if and how consumers change their laundry habits and product satisfaction when using a technically lower-performing eco-brand detergent compared to a heavy duty high-performance detergent. These represent two distinct sustainable innovation strategies within the detergent industry, i) high-performance detergents formulated to provide excellent cleaning performance at lower wash temperatures and ii) eco-brand detergents optimized for a lower ingredient footprint but reducing cleaning performance. It is hypothesized that consumers may compensate in ways detrimental to the overall sustainability of the laundry lifecycle. The results showed significantly lower consumer satisfaction with the eco-brand performance which led to compensatory behavior including increased detergent dosing and higher wash temperatures. This study confirms the importance of detergent cleaning performance for sustainable consumer habit changes regarding lower wash temperatures.

Green innovation ecosystems: Spatial organization mode and associated network renewal under coupling effect

The coupling effect of green innovation participants, elements, and environments directly reflects the operation and evolution of a green innovation ecosystem. This paper studies the spatial organization mode of green innovation ecosystems and the structural evolution and self-organization mode of their associated networks under this coupling effect. By selecting relevant data from 286 cities in China from 2010 to 2021, the green innovation ecosystem coupling coordination index (GIECCI) is calculated using a coupling coordination model. The calculation result is used as a weight to modify a gravity model to construct an innovation ecological network. After analyzing the calculation results, the findings are as follows. (1) The polarization effect of the GIECCI is significantly alleviated, presenting a quantitative structure close to the normal distribution; However, the existence of the Matthew effect trap leads to great resistance to green innovation in some cities. (2) Cities with the same or a similar GIECCI are more likely to form agglomerations, including mature, cross-distribution, and budding agglomeration models. (3) The connectivity status of urban nodes significantly varies, and the mismatch between connectivity symmetry and the total strength of green innovation gravity is widespread. These findings may provide a reference for government departments to plan the layout of green innovation industries and choose sustainable innovation strategies for enterprises.

ANALISIS STRATEGI INOVASI BERKELANJUTAN PADA UMKM DI KOTA JAMBI

Sustainable innovation is a process in which aspects of sustainable development (environmental, social, economic) are integrated into enterprise systems as ideas are developed through research, development and commercialization. This applies to products, services and technologies as well as new business and organizational models.With UMKM actors creating a new innovation from UMKM products, every 2 UMKM actors that researchers take in Danau Teluk District and Serving District, Jambi City can create opportunities to create new innovations in UMKM products themselves. This study aims to find out how sustainable innovation strategies work for UMKM in Jambi City. The number of informants in this study were 2 people to find out sustainable innovation strategies both in terms of innovation and the constraints faced. The type of this research is descriptive qualitative with primary and secondary data types. Data collection techniques in this study were observation, interviews and documentation techniques, while for data analysis the researchers used data reduction analysis, data presentation and verification. The results of this study explain that sustainable innovation strategies for UMKM in Jambi City can be seen from several aspects, namely the lack of innovation by UMKM actors in Jambi City in making innovations in taste, packaging, and technology used in marketing products due to limited capital and human resources. as well as a lack of skills in creating a new idea in making products so that the resulting product is underdeveloped, therefore UMKM actors need to take part in events held by the government to motivate UMKM actors to make new innovations in products, there needs to be continuous innovation so that can create a new innovation so that the business being run can be known to the wider community and increase business income.

Sustainability in the Future of Design Education

The Future of Design Education working group on sustainability developed recommendations for integrating sustainability into higher education design curricula. The recommendations provide a foundation for design instruction, using well-established evidence-based tools, methods, and mindsets that apply to professional practice and support designers as advocates for environmental and social responsibility. The document identifies core ideas for sustainable design, organized under a set of topics. These topics include sustainability fundamentals; circular economy; whole systems thinking; sustainable innovation strategies; impact assessment, and laws and standards; and communication, collaboration, and leadership. A summary table captures each idea, along with corresponding discussion and learning outcomes (things students should know and do). Recommendations are tailored to three levels of study: for all design students, students expecting to practice in sustainable design, and students in elective or advanced study. Resources for such study are also included.

A multi-objective optimisation of sustainable business model innovation strategies regarding the challenges of new and emerging technologies in service business

A multi-objective optimisation of sustainable business model innovation strategies regarding the challenges of new and emerging technologies in service business

Knowledge Management Pyramidal Synergy (KMPS) Model as A Novel Approach to a Post-Modern Sustainable Innovation Strategy

Knowledge Management Pyramidal Synergy (KMPS) Model as A Novel Approach to a Post-Modern Sustainable Innovation Strategy

Active listening to customers: eco-innovation through value co-creation in the textile industry

PurposeThis study contributes to current efforts to design and implement sustainable innovation strategies in organisations from the textile industry. This study aims to examine how businesses can overcome the current challenges (e.g. lack of resources) of sustainable innovation by the incorporation of green knowledge of customers into their value co-creation strategies. Such strategies are based on actively listening to customers and addressing their expectations with regard to environmental sustainability, in particular in the face of the negative environmental impact of the fast-fashion industry.Design/methodology/approachThe findings of this study are derived from the analysis of data collected from 208 small and medium enterprises (SMEs) in the Spanish textile sector. A partial least squares structural equation modeling analysis was conducted using version 3.3.3 of the SmartPLS software.FindingsThis paper contributes to the literature on environmental sustainability by informing SME eco-innovation through the active listening of their customers’ perceptions while implementing value co-creation strategies. The research has found that engaging with customers and actively listening and addressing their expectations can result in the creation of green knowledge that contributes to both incremental and radical eco-innovation in the textile sector.Practical implicationsThis study found that when organisations from the sector lack eco-innovation capabilities, their existing and often their potential customer base is able to acquire new environmental knowledge and transfer it to the business through a process of value co-creation. The research also found that such green knowledge has the potential to lead to eco-innovation in the sector. In other words, the value co-creation process between the textile industry and its customers is a driver of the eco-innovations required to reduce the environmental impact of the sector, helping it address both its sustainability and its ethical challenges.Originality/valueThis study proposes that co-creation challenges such as the lack of resources, funding, qualified staff or technologies motivate companies in the textile sector to collaborate with their customers to seek joint solutions.

Regional convergence analysis of sustainable innovation efficiency in European Union countries

Sustainable innovation strategies have been taken very seriously by the European Union (EU), which aims to reduce energy consumption and environmental pollutants emissions. For the sake of testing the sustainable performance of EU countries empirically, this research evaluates the sustainable innovation efficiency (SIE) of EU countries through a DEA-SBM model and analyzes the convergence trends of the EU regions by convergence analysis. The results show that the EU has attached great importance to sustainable innovation efficiency, indicating that the EU makes a concerted effort in technological innovation, energy saving, and environmental protection. Significant differences exist in SIE among EU regions, even though the southern region has the highest efficiency. In addition, there are distinct convergence trends in regional sustainable innovation efficiency. Control variables have significant impacts on the convergence of SIE in the EU regions. Furthermore, policymakers are also provided with useful decision support for regional sustainable innovation, energy conservation, and emission reduction policies.

Sustainable business models and innovation strategies to realize them: A review of 87 empirical cases

AbstractThe importance of developing sustainable business models has recently received increased interest in society and among scholars. While firms attempt to innovate their business models towards sustainability or create new businesses to address sustainability issues, it becomes clear that there is no one‐size‐fits‐all model when it comes to sustainable business models. Consequently, firms often struggle to identify, develop, and implement sustainable business models that suit them. This paper aims to address this problem by drawing on the wealth of recently published empirical studies and reviewing 87 cases where firms have performed business model innovation to achieve sustainable business models. Four main sustainable business models are identified that have been achieved through different business model innovation strategies. The review contributes to managers by offering a portfolio of strategies to achieve sustainable business models and to research by clarifying the relation between the business model innovation and sustainable business model concepts.

PENGARUH SUSTAINABLE ENTREPRENEURIAL ORIENTATION TERHADAP INNOVATION CAPABILITY DAN KINERJA USAHA (Studi pada UMKM di Kabupaten Banyuwangi)

This study aims to determine the factors that influence the business performance of tourism-based SMEs in the Banyuwangi Regency. The magnitude of the failure of MSME actors to maintain business sustainability due to increasingly fierce market competition is the reason to focus on this research. As MSME actors who are still pioneering, it is essential to support entrepreneurship skills and innovation to achieve sustainable business performance. The difficulties entrepreneurs face often stem from lack of knowledge or skills, lack of finance or capital, lack of mastery of information technology, and distribution of services/products produced. The data collected in this study was conducted through a survey of 94 MSME actors working in the tourism sector in the Banyuwangi Regency. Data analysis used Structural Equation Model (SEM) with Partial Least Square (PLS) approach. This study's results show a significant effect of Sustainable Entrepreneurial Orientation on Innovation Capability and Business Performance; Innovation Capability Directly Affects Business Performance on MSMEs in Banyuwangi Regency. This means that the improvement of MSME business performance in Banyuwangi is strongly influenced by the ability of business actors to carry out sustainable development and innovation strategies DOI : https://doi.org/10.33005/jbi.v13i1.3071

Critical Factors in Promoting Sustainable Innovation in Bahrain

Despite many initiatives to help foster innovation over the last decade, Bahrain has yet to realise its full potential, indicated by low levels of published research, patent registrations, and entrepreneurial activities. The COVID-19 pandemic highlighted the importance of sustainable innovation for economic recovery. This study aimed to identify the critical factors needed to stimulate innovation, as well as any barriers. Using a case study approach, emerging findings from an online survey of participants from a range of private and government organizations were explored through in-depth interviews with selected "innovation influencers". It was found that the economic and cultural environments in Bahrain favor a conservative approach to innovation, with the opening of new market opportunities with existing products the most reported form applied. The need for a sustainable economic recovery post-pandemic has raised awareness of the importance of innovation in all its forms. The environmental factors influencing innovation are charted in an ecosystem model, with effective leadership and a national strategy identified as key components. The Innovation Ecosystem derived from this case study of Bahrain has wider applicability as a benchmarking framework. By mapping the local context against framework elements, identified gaps can usefully inform a sustainable innovation strategy at both a national and organizational level.

Critical Factors in Promoting Sustainable Innovation in Bahrain

Despite many initiatives to help foster innovation over the last decade, Bahrain has yet to realise its full potential, indicated by low levels of published research, patent registrations, and entrepreneurial activities. The COVID-19 pandemic highlighted the importance of sustainable innovation for economic recovery. This study aimed to identify the critical factors needed to stimulate innovation, as well as any barriers. Using a case study approach, emerging findings from an online survey of participants from a range of private and government organizations were explored through in-depth interviews with selected "innovation influencers". It was found that the economic and cultural environments in Bahrain favor a conservative approach to innovation, with the opening of new market opportunities with existing products the most reported form applied. The need for a sustainable economic recovery post-pandemic has raised awareness of the importance of innovation in all its forms. The environmental factors influencing innovation are charted in an ecosystem model, with effective leadership and a national strategy identified as key components. The Innovation Ecosystem derived from this case study of Bahrain has wider applicability as a benchmarking framework. By mapping the local context against framework elements, identified gaps can usefully inform a sustainable innovation strategy at both a national and organizational level.

Drivers of Sustainable Innovation Strategies for Increased Competition among Companies

The present study aims to analyse the sustainable innovation strategies that companies can implement in their business models in order to improve their economic performance and become more competitive in the marketplace. This study uses a qualitative methodology based on the case method of nine companies. It was concluded that companies have concerns about environmental issues, translated into the implementation of sustainable practices in their business models, not because they are legal obligations, but because they incorporate sustainability in their strategic vision. Thus, companies add considerable value to their value chain and obtain a better strategic positioning in relation to competitors. It was also found that companies intend to implement innovative sustainable practices and that some companies have a business model that already incorporates sustainability strategies. Additionally, concerning sustainable innovation, we concluded that companies innovate in the manufacturing process (producing more with less) and with the product (modifying their product to make it more sustainable and greener). However, companies generally adopt a defensive sustainability strategy. This article is original because it simultaneously contributes to the development of the literature on sustainable innovation, sustainable strategies and company performance. It also recommends that companies improve their sustainable innovation strategies in business models to obtain a sustainable competitive advantage.

A Sustainable Innovation Strategy Oriented toward Complex Product Servitization

Enterprises performing complex product servitization are more vulnerable to the 2019 coronavirus disease (COVID-19) pandemic because of their large number of suppliers and wide coverage, among other things. The present research focuses on how to promote the sustainable innovation of complex product servitization. We investigate complex products and sustainable innovation—factors influencing the sustainable innovation of complex product servitization—based on the characteristics of product servitization and by combining the definitions of product servitization. We find that inadequate innovation ability and poor technical research and development (R&D) competence are the primary concerns in the sustainable innovation of complex product servitization. Specific to innovation ability improvement, the sustainable innovation of complex product servitization must follow an innovation-driven development strategy, a hard power cultivation strategy, and a soft power cultivation strategy. In terms of technical R&D competence enhancement, technological innovation strategies, integrated outsourcing of technical R&D competence, and independent improvement of technical R&D competence must be implemented to facilitate the sustainable innovation of complex product servitization.

PENGEMBANGAN INOVASI PRODUK BERKELANJUTAN PADA UKM BU ERMA DI JAMBI


 An entrepreneur must always innovate, so that the products created can face increasingly tough competitive conditions. The partner who became the venue for the activity was Ms. Erma's SME, which is located in Jambi. From the results of initial online observations, it can be seen that the main problem faced by partners is innovation, there is no partner understanding about the importance of sustainable innovation strategies in doing business. This condition occurs because partners lack knowledge about innovation. So that the products produced by partners are monotonous and less innovative, even many are similar to competitors. The activity method is carried out by socializing or providing training to partners online via Zoom. Submission of materials is presented in the form of PPT related to the innovation strategy. The results of the activity showed that the provision of knowledge about innovation had run smoothly, partners were enthusiastic in listening to the material and discussing with the PKM (Student Creativity Program) Team. Furthermore, through innovation, partners can create products into products that can improve business sustainability.