Focusing on the two ‘ecos’in ecopreneurship : how ecopreneurial hybrid firms implement ecological and economic logics to solve environmental challenges
Abstract
The pressure that humanity is putting on the natural environment is causing serious challenges,
such as overuse of natural resources and climate change. There is a growing recognition that
businesses have to be more responsible, however this often stops at insufficient win-win
actions. More focus on solution-oriented business practices is needed for continued economic
development without putting our planet at risk.
The object of this paper is to outline how ecological and economic logics can exist within the
same firms and by that create a better understanding of how truly sustainable businesses
function. To meet the objective, need the ecopreneurial firm is studied, which has as a mission
to both solve an environmental problem and be a financially viable business. I conduct an
exploratory multiple case-study, which gives an in-depth understanding of how the two
traditionally conflicting institutional logics can exist within the same business.
The findings show that the commitment to institutional pluralism is in some respects generative
and in others the commitment creates complexity, which is mainly created by the field. The
findings identify a set of strategic actions taken within the business and suggest three kinds of
business model solutions; process, purpose and product solver. The study also highlights that
the ecopreneurs actively work to affect their field by increasing institutional complexity within
the field by making ecological logics more salient and by being the solution to the complexity.
The research contributes to two streams of literature. It contributes to ecopreneurial literature
through the inclusion of institutional theory, resulting in a broader understanding of the
ecopreneurial business and its interaction with the surroundings. Within the institutional
literature the study of hybridity gives a more diverse understanding of institutional pluralism
and complexity and the implementation of dual logics. The intention is to put current and future
ecopreneurs, decision makers and academia in a better position for creating a sustainable future.