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Business model based on strong sustainability: Insights from an empirical study

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  • Danilo Brozovic

Abstract

The extant literature on traditional and sustainable business models lacks insights into how strong sustainability—that is, constraining economic and social activities within the limitations of natural resources—can shape business models. Thus, the purpose of this article is to propose a business model framework based on the principles of strong sustainability (SSBM). The proposed framework is developed combining available literature and empirical insights from a qualitative abductive study of 12 permaculture business ventures in Sweden. The results identify nature as the primary stakeholder and recommend strong local anchorage, the creation of diversified income sources, deliberate limitations on economic growth, the infusion of the business model with a systemic and ecosystem perspective, and the design of value flows beyond financial aspects. The discussion reflects on the most important results, provides practical implications and managerial guidelines, and suggests future research in the SSBM.

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  • Danilo Brozovic, 2020. "Business model based on strong sustainability: Insights from an empirical study," Business Strategy and the Environment, Wiley Blackwell, vol. 29(2), pages 763-778, February.
    • Handle: RePEc:bla:bstrat:v:29:y:2020:i:2:p:763-778
    DOI: 10.1002/bse.2440
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    5. da Silva, Agostinho & Almeida, Isabel, 2020. "Towards INDUSTRY 4.0 | a case STUDY in ornamental stone sector," Resources Policy, Elsevier, vol. 67(C).
    6. Poul Houman Andersen & Lars Esbjerg, 2020. "Weaving a strategy for a base‐of‐the‐pyramid market: The case of Grundfos LIFELINK," Business Strategy and the Environment, Wiley Blackwell, vol. 29(8), pages 3687-3701, December.
    7. Nadia Preghenella & Cinzia Battistella, 2021. "Exploring business models for sustainability: A bibliographic investigation of the literature and future research directions," Business Strategy and the Environment, Wiley Blackwell, vol. 30(5), pages 2505-2522, July.
    8. Simon Norris & Julia Hagenbeck & Stefan Schaltegger, 2021. "Linking sustainable business models and supply chains — Toward an integrated value creation framework," Business Strategy and the Environment, Wiley Blackwell, vol. 30(8), pages 3960-3974, December.

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