Sustainable Business Model: Implementation and Challenges in Manufacturing Benefit Corporations

Abstract

An enterprise´s perspective centered primarily on profit is insufficient for surplus challenges related to climate change and social and income inequalities. Conscious of their role in the Sustainable Development Goals, some enterprises modify their business models to align them with sustainable principles. It means that a sustainable business model considers more than customers as the target of value exchange. The environment, society, suppliers, and other stakeholders are part of the value cycle and must be positively impacted by the value exchange. This study analyzes how enterprises have implemented a sustainable business model. A multiple case study was performed with 14 Brazil manufacturing B Corps (Benefit Corporations). A framework for a sustainable business model was proposed. This study contributes to the literature by indicating that long-term planning, commitment to sustainability expressed by the mission, technological innovation, redesign of the value chain, redefinition of each actor’s role, and monitoring and improving the results are the main success factors. Also, it contributes by identifying that the studied enterprises need to compete by differentiation and face challenges in escalating the business due to this focus on specific groups of customers that value sustainable products and services. From the managerial perspective, it means that a sustainable business model requires resilience, amplifying the partnership and communication with all stakeholders to reinforce the role of each one in the value chain.

Presenters

Miriam Borchardt
Professor, Production Engineering, Vale do Rio dos Sinos University, Rio Grande do Sul, Brazil

Marcela Soares
Gerente de Operações , PPCP, São José Industrial , Rio Grande do Sul, Brazil

Renata Bianchi
Teacher, Administration, Universidade Franciscana, Rio Grande do Sul, Brazil

Giancarlo Pereira
Researcher, Industrial Engineering, Universidade do Vale do Rio dos Sinos - UNISINOS, Rio Grande do Sul, Brazil

Gabriel Sperandio Milan
Student, PhD, Unisinos - Vale do Rio dos Sinos University, Rio Grande do Sul, Brazil

Ronald Weber Kirst
Student, Programa de Pós Graduação em Engenharia de Produção e Sistemas, Unisinos, Rio Grande do Sul, Brazil

Details

Presentation Type

Paper Presentation in a Themed Session

Theme

Economic, Social, and Cultural Context

KEYWORDS

Sustainable Business Model, B Corp, Business Model, Sustainable Development Goals

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