View
381
Download
1
Category
Preview:
Citation preview
Dr. Florian Lüdeke-FreundUniversity of Hamburg | Faculty of Business, Economics & Social Sciences Leuphana University | Centre for Sustainability Management (CSM) Research Fellow
Business Models for SustainabilityA Co-Evolutionary Perspective on Sustainable Entrepreneurship, Innovation, and Transformation
UN PRME Mini ConferenceJönköping International Business School, Sweden, 10 May 2016
www.SustainableBusinessModel.org 2
Based on:
Schaltegger, S.; Lüdeke-Freund, F. & Hansen, E. (2016, in press): Business Models for Sustainability: A Co-Evolutionary Analysis of Sustainable Entrepreneurship, Innovation, and Transformation, Organization & Environment, online first February 25, 2016. [ResearchGate, Organization & Environment]
www.SustainableBusinessModel.org 4
… but how to change the game? One against the world?
www.SustainableBusinessModel.org 5
A co-evolutionary perspective
Values
Technology
Organization
Environment
Knowledge
Based on Norgaard, 1994
Business model A
Business model B Business model N
www.SustainableBusinessModel.org 6
Markets- Complex, adaptive systems- Susceptible to changes by single actors/entrepreneurs- Not deterministic, predictable or mechanistic- Process-dependent, organic and always evolving
Sustainable entrepreneurs- Deliberately (co-)creating markets- Often starting in protected learning environments- Develop the micro behaviours that change macro patterns
“… the elements [sustainable entrepreneurs] adapt to the world – the aggregate pattern [the market] – they co-create”*
A co-evolutionary perspective
Based on *Arthur, 1999; Foxon, 2011
www.SustainableBusinessModel.org 7
Market transformation through sustainable entrepreneurship
Schaltegger et al., 2016
Upscaling
Upgrading
www.SustainableBusinessModel.org 8
Market transformation through sustainable entrepreneurship
www.SustainableBusinessModel.org 9
If “processes generating variation and retention are present in a system, and that system is subject to selection processes, evolution will occur.”*
Evolutionary processes
*Aldrich & Ruef, 2006; Schaltegger et al., 2016
www.SustainableBusinessModel.org 10
Retention is decisive for market transformations. It is a precondition for the diffusion of business models created by variation and affirmed by selection
Evolutionary processes
Schaltegger et al., 2016
www.SustainableBusinessModel.org 11
Market transformation through sustainable entrepreneurship
Schaltegger et al., 2016
GrowthReplication
M&AMimicry
www.SustainableBusinessModel.org 12
The challenge: achieving growth and replication – upscaling – without sacrificing the original sustainability qualities.
From sustainable niches to sustainable mass markets
Repn.
Gr.
M&A
Mim.
Integratability
Replicability
Imitability
ScalabilityEnteg
aEnteg
a
Bionade (as part of
Radeberger group)
Carlsberg, Oettinger
RWE Innogy, E.ON ClimRen
Lichtblick
Lichtblick
GP Energy, Energrün, etc.
Bionade
Stadtauto Berlin
StattAuto, BookNDrive, etc.
Replication
Growth
Merger &Acquisition
Mimicry
Int.
Repy.
Im.
Sc.
Abbreviations: Sc. = Scalability; Repy. = Replicability; Int. = Integrability; Im. = ImitabilityGr. = Growth; Repn. = Replication; Mim. = Mimicry; M&A = Merger and/or acquisition
* Not illustrated further.
RWE Eprimo, etc.
Car2Go
DriveNow, etc.
Evolutionary Processes of Sustainable Entrepreneurship
Variation Selection* Retention Variation Selection* RetentionInitial occurrence of new business models Further variation and co-evolution
www.SustainableBusinessModel.org 14
The challenge: engaging in M&A and mimicry – upgrading – without losing credibility and market shares.
From mass market offers to sustainable mass markets
Repn.
Gr.
M&A
Mim.
Integratability
Replicability
Imitability
ScalabilityEnteg
aEnteg
a
Bionade (as part of
Radeberger group)
Carlsberg, Oettinger
RWE Innogy, E.ON ClimRen
Lichtblick
Lichtblick
GP Energy, Energrün, etc.
Bionade
Stadtauto Berlin
StattAuto, BookNDrive, etc.
Replication
Growth
Merger &Acquisition
Mimicry
Int.
Repy.
Im.
Sc.
Abbreviations: Sc. = Scalability; Repy. = Replicability; Int. = Integrability; Im. = ImitabilityGr. = Growth; Repn. = Replication; Mim. = Mimicry; M&A = Merger and/or acquisition
* Not illustrated further.
RWE Eprimo, etc.
Car2Go
DriveNow, etc.
Evolutionary Processes of Sustainable Entrepreneurship
Variation Selection* Retention Variation Selection* RetentionInitial occurrence of new business models Further variation and co-evolution
www.SustainableBusinessModel.org 16
Summary
Market transformation through sustainable entrepreneurship …
- … involves different strategies of upscaling and upgrading the business models of niche and mass market players.
- These strategies depend on the initial market position of a company.
- … is a co-evolutionary process involving business model variation, selection, and retention.
- Retention is crucial for market transformation and it depends on the scalability, replicability, integrability, and imitability of business models.
www.SustainableBusinessModel.org 17
THANK YOU!
More about SBMs on
www.SustainableBusinessModel.org
www.SustainableBusinessModel.org 18
Additional case: Aravind Eye Care Systems
www.SustainableBusinessModel.org 19
The “freemium” model
http://www.klgadgetguy.com; http://assets.slate.wvu.edu
Free basic service
Chargedpremium service
www.SustainableBusinessModel.org 20
The “social freemium” model
http://www.aravind.org; http://assets.slate.wvu.edu
Free basic service
Chargedpremium service
www.SustainableBusinessModel.org 21
Inclusive business model innovation : Aravind Eye Care Systems
http://www.aravind.org
www.SustainableBusinessModel.org 23
Business model for sustainability
“A business model for sustainability helps describing, analyzing, managing, and communicating (i) a company’s sustainable value proposition to its customers, and all other stakeholders, (ii) how it creates and delivers this value, (iii) and how it captures economic value while maintaining or regenerating natural, social, and economic capital beyond its organizational boundaries.”
Schaltegger et al., 2016, p. 6
www.SustainableBusinessModel.org 24
Latest news on BMfS publications, projects, events 16 researchers from 10 countries
www.SustainableBusinessModel.org
?
www.SustainableBusinessModel.org 25
Organization & Environment, Vol. 29, No. 1, March 2016
Schaltegger, S.; Hansen, E. & Lüdeke-Freund, F. (2016): Business Models for Sustainability: Origins, Present Research, and Future Avenues, Organization & Environment, Vol. 29, No. 1, 3-10, DOI
Roome, N. & Louche, C. (2016): Journeying Toward Business Models for Sustainability: A Conceptual Model Found Inside the Black Box of Organisational Transformation, Organization & Environment, Vol. 29, No. 1, 11-35, DOI
Wells, P. (2016): Economies of Scale Versus Small Is Beautiful: A Business Model Approach Based on Architecture, Principles and Components in the Beer Industry, Organization & Environment, Vol. 29, No. 1, 36-52, DOI
Randles, S. & Laasch, O. (2016): Theorising the Normative Business Model, Organization & Environment, Vol. 29, No. 1, 53-73, DOI
Abdelkafi, N. & Täuscher, K. (2016): Business Models for Sustainability From a System Dynamics Perspective, Organization & Environment, Vol. 29, No. 1, 74-96, DOI
Upward, A. & Jones, P. (2016): An Ontology for Strongly Sustainable Business Models: Defining an Enterprise Framework Compatible With Natural and Social Science, Organization & Environment, Vol. 29, No. 1, 97-123, DOI
Gauthier, C. & Gilomen, B. (2016): Business Models for Sustainability: Energy Efficiency in Urban Districts, Organization & Environment, Vol. 29, No. 1, 124-144, DOI
Special issue on “Business Models for Sustainability”
www.SustainableBusinessModel.org 26
Slide 3- Forest: http://solfront.org/wp-content/uploads/2014/04/environmental-disaster-rainforest1.jpg- Ships: http://greenerideal.com/wp-content/uploads/2010/05/05-24-aral-sea-disaster.jpg- Woman: http://i.dailymail.co.uk/i/pix/2014/04/30/article-2616932-1D78902E00000578-358_964x640.jpg
Slide 4- Chess: https://japnamsingh.files.wordpress.com/2015/05/one-pawn-against-the-world.jpg
Slide 8- Elon Musk: http://t3n.de/news/wp-content/uploads/2016/04/2016-04-01-08_43_17-Tesla-Unveils-Model-3-
YouTube-595x337.png- Model 3: http://cdn.slashgear.com/wp-content/uploads/2016/04/tesla-model-3-25-1.jpg - Nissan: http://bestcarmag.com/sites/default/files/1358911Nissan-Leaf.jpg- GM: http://buyersguide.caranddriver.com/media/assets/submodel/5535.jpg- BMW: http://cdn.macrumors.com/article-new/2015/07/bmwi3.png
Slide 12- Whole Foods: http://www.wholefoodsmarket.com/sites/default/files/styles/large/public/media/Stores/D-M/LNF/
TeamPhoto2013.jpg?itok=e03MHORN Slide 14
- Coal: https://gyemgh.files.wordpress.com/2013/07/coal-plant.jpg- Coal: http://blogs.scientificamerican.com/media/inline/blog/Image/coal-power-plant%282%29.jpg- Solarwind: http://www.nrcm.org/wp-content/uploads/2013/09/solar-wind-high-res-1150x400.jpg
Photo credits
Recommended