Environmental sustainability–profitability beliefs among firm decision makers: Measurement and consequences

Research output: Contribution to journalArticleResearchpeer review

Authors

  • David B. Dose
  • Ronny Reinhardt
  • Maria Krämer (née Schwabe)
  • Gianfranco Walsh

External Research Organisations

  • University of Exeter Business School
  • Friedrich Schiller University Jena
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Details

Original languageEnglish
Article number102495
Number of pages23
JournalLong range planning
Volume58
Issue number1
Early online date10 Dec 2024
Publication statusPublished - Feb 2025

Abstract

Firms face a fundamental and persistent challenge in balancing the tensions between environmental sustainability and profitability, where elements that seem logical individually become contradictory when juxtaposed. Individual decision makers' beliefs about the tensions between environmental sustainability and profitability can shape decision outcomes, offering an intriguing micro-foundation for strategic choices. This article conceptualizes and proposes a scale to measure decision makers' beliefs about the tensions between environmental sustainability and profitability. Across three studies, we develop a reliable, valid, parsimonious 12-item environmental sustainability–profitability beliefs (ESPB) scale. Three further studies demonstrate its ability to predict evaluations of sustainable new product ideas, investment success in markets with different crowdfunding platforms, and information search efforts for sustainable new product ideas. Overall, the findings emphasize the important influence of individual-level beliefs about sustainability and profitability for determining strategic decision outcomes, enhancing the understanding of key micro-foundations of firms’ sustainability practices.

Keywords

    Environmental sustainability–profitability beliefs, Individual decision making, Paradox theory, Scale development, Validation

ASJC Scopus subject areas

Cite this

Environmental sustainability–profitability beliefs among firm decision makers: Measurement and consequences. / Dose, David B.; Reinhardt, Ronny; Krämer (née Schwabe), Maria et al.
In: Long range planning, Vol. 58, No. 1, 102495, 02.2025.

Research output: Contribution to journalArticleResearchpeer review

Dose DB, Reinhardt R, Krämer (née Schwabe) M, Walsh G. Environmental sustainability–profitability beliefs among firm decision makers: Measurement and consequences. Long range planning. 2025 Feb;58(1):102495. Epub 2024 Dec 10. doi: 10.1016/j.lrp.2024.102495
Dose, David B. ; Reinhardt, Ronny ; Krämer (née Schwabe), Maria et al. / Environmental sustainability–profitability beliefs among firm decision makers : Measurement and consequences. In: Long range planning. 2025 ; Vol. 58, No. 1.
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