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Stepping towards the Green Transition: Challenges and Opportunities of Estonian Companies

Author

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  • Aleksandra Kekkonen

    (Estonian Business School, A. Lauteri 3, 10114 Tallinn, Estonia)

  • Renee Pesor

    (Estonian Business School, A. Lauteri 3, 10114 Tallinn, Estonia)

  • Marge Täks

    (Estonian Business School, A. Lauteri 3, 10114 Tallinn, Estonia)

Abstract

Addressing the sustainability crisis requires innovative approaches such as sustainable technological entrepreneurship. The case of Estonia, as an example of a twin (digital and green) transition, is examined. We explored Estonian entrepreneurs’ perceptions of challenges and opportunities related to the green transition. The data were collected via an online survey from 532 Estonian companies, focus groups, and individual semi-structured interviews with 42 experts. Survey data were analyzed using proportional odds logistic regression, and interview data were examined using thematic analysis. Based on the interview findings, the main perceived entrepreneurial opportunities related to green transitions were increasing production efficiency and favoring taxation for green products and services. The main challenges included losing competitive advantage, coping with crises, and the need for long-term planning and significant investments. Survey findings revealed that too much pressure only from politicians and a lack of innovation might increase the likelihood of perceived company cost increases. More pressure from other stakeholders and increased innovation were associated with higher odds of viewing the green transition as an opportunity. This study provides valuable insights into the perceptions of Estonian entrepreneurs regarding the challenges and opportunities of the green transition and contributes to their categorization.

Suggested Citation

  • Aleksandra Kekkonen & Renee Pesor & Marge Täks, 2023. "Stepping towards the Green Transition: Challenges and Opportunities of Estonian Companies," Sustainability, MDPI, vol. 15(5), pages 1-27, February.
    • Handle: RePEc:gam:jsusta:v:15:y:2023:i:5:p:4172-:d:1080487
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    Cited by:

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    3. Cai Li & Agyemang Kwasi Sampene & Adnan Khan & John Wiredu, 2025. "Environmental orientations to Innovation Ecosystem: the role of green transition, perceived environmental uncertainty and green transformational leadership," Operations Management Research, Springer, vol. 18(1), pages 48-71, March.
    4. Renee Pesor & Marge Täks & Aleksandra Kekkonen, 2024. "Factors shaping Estonian entrepreneurs' green transition awareness," Business Strategy and the Environment, Wiley Blackwell, vol. 33(8), pages 8436-8455, December.
    5. Asep Marfu & Agung Purwanto & Nadiroh & Hafid Abbas & Bagus Sumargo & Septantri Shinta Wulandari & Daiman & Christin A. Malaihollo & Syakyakirti & David Tanubrata & Dewi Indah Pratiwi, 2025. "Psychological Factors Influencing Environmental Knowledge and their Impact on Indonesian Circular Economy Adoption," Circular Economy and Sustainability, Springer, vol. 5(4), pages 3369-3399, August.

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