Inderscience Publishers

A problem–solving perspective on strategies for appropriating environmental value – some implications from considering institutional solutions to social dilemmas

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The paper outlines a framework of value creation and appropriation strategies available to firms that address environmental problems. It does so by utilising the idea that valuable problem–solution pairs correspond to opportunities and by describing why many environmental problems are 'valuable' problems as defined by the problem–solving perspective of the firm. Considering social dilemmas as the main hurdle for the appropriation of environmental value by firms, the paper derives four appropriation strategies for environmental innovations by drawing on the literature on economic institutions. The appropriation strategies are labelled eco–lean, eco–branding, eco–lobbyism and eco–transaction design.

Keywords: environmental innovation, green innovation, value appropriation, value creation, business cases, social dilemmas, economic institutions, problem formulation, problem–solving perspectives, appropriation strategies, environmental value, institutional solutions, environmental problems, opportunities, valuable problems, eco–lean, eco–branding, eco–lobbyism, eco–transactions, transaction design, ecology, ecological perspectives, sustainable development, sustainability

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