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Green virus: Exploring the environmental product concept

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  • Janne Hukkinen

Abstract

Environmental issues expose firms to numerous threats from their ecological and institutional surroundings. Many enterprises today react to these threats with technical innovations designed to improve the company's green image and performance. However, the critical test of corporate greening is how effectively the firm deals with the organizational relationships that can support or undermine the technically conceived green artifact. Successful firms comprehensively fuse ecological awareness and environmental management procedures into their raison d'etre, namely, the product. Environmental regulators, competitors, customers, the public and the press become key formulators of the new environmental product concept. This paper explores what these concepts are and how they are conceived. Using the concept of industrial ecology as a starting point, three key areas of green product innovation are identified: competitors, regulators and customers. Competitive pressures reorientate firms towards dematerialization and services. Novel regulatory arrangements such as covenants and environmental product profiles are information‐gathering devices and add value to the product. Finally, the necessity to close material loops forces recycling firms to attract customers with reliable, long‐term input–output agreements. vir.us n., pl. ‐rus.es. …having the ability to replicate only inside a living cell (The American Heritage Dictionary, 1982).

Suggested Citation

  • Janne Hukkinen, 1995. "Green virus: Exploring the environmental product concept," Business Strategy and the Environment, Wiley Blackwell, vol. 4(3), pages 135-144, July.
    • Handle: RePEc:bla:bstrat:v:4:y:1995:i:3:p:135-144
    DOI: 10.1002/bse.3280040305
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    References listed on IDEAS

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    1. Professor Richard Welford, 1993. "Breaking the link between quality and the environment: Auditing for sustainability and life cycle assessment," Business Strategy and the Environment, Wiley Blackwell, vol. 2(4), pages 25-33, December.
    2. Ayres, Robert U & Kneese, Allen V, 1969. "Production , Consumption, and Externalities," American Economic Review, American Economic Association, vol. 59(3), pages 282-297, June.
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    Cited by:

    1. Eva Heiskanen, 2000. "Managers' interpretations of LCA: enlightenment and responsibility or confusion and denial?," Business Strategy and the Environment, Wiley Blackwell, vol. 9(4), pages 239-254, July.
    2. Peter Dobers & Rolf Wolff, 2000. "Competing with ‘soft’ issues – from managing the environment to sustainable business strategies," Business Strategy and the Environment, Wiley Blackwell, vol. 9(3), pages 143-150, May.

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