Cited by 64Environmental Sustainability in BusinessEntrepreneurship Studies and InfluencesSustainability and Innovation in Business

The sustainable start‐up paradox: Predicting the business and climate performance of start‐ups

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Leendertse, Jip, van Rijnsoever, Frank J., Eveleens, Chris P.·2021·Business Strategy and the Environment

Abstract

Sustainable start‐ups introduce new sustainable technologies and business models that facilitate the transition to a carbon neutral economy. To understand how to create viable sustainable start‐ups, we study what factors predict their business performance and climate performance (i.e., the ability of the start‐up to reduce CO 2 equivalent [CO 2 e] emissions) and if these contradict. A critical factor we consider is technology, which is commonly at the root of climate performance, and important for business performance because it influences a start‐up's competitive advantage. Using a sample of 197 sustainable start‐ups, we find a paradox between business and potential climate performance. Start‐ups that exploit hardware technologies have a lower business performance but a higher potential climate performance. Through the use of mediating effects, we show that the sustainable start‐up paradox is context specific. Start‐ups can partly escape this paradox by focusing on novel and hardware technologies. We discuss implications for theory and practice.

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Cited by

Authors
Leendertse, J., van Rijnsoever, F. J., & Eveleens, C. P.
Affiliations
  • Utrecht University (NL)
  • Innovation Studies, Copernicus Institute of Sustainable Development Utrecht University Utrecht The Netherlands
Corresponding author
Leendertse, Jip
Venue
Business Strategy and the Environment
Publisher
Wiley
Published
2020-11-05
Volume
30
Issue
2
Pages
1019-1036
ISSN
  • 0964-4733 (ISSN-L)
  • 1099-0836
OpenAlex
W3096172004
Cited by
64
References
5
Citations by year
2026: 11 · 2025: 19 · 2024: 12 · 2023: 9 · 2022: 8 · 2021: 5
FWCI
5.26
Type
journal article
Language
en
Open access
Locations
  • Business Strategy and the Environment (publishedVersion, cc-by)
  • DIGITAL.CSIC (Spanish National Research Council (CSIC)) (submittedVersion, cc-by)
  • Utrecht University Repository (Utrecht University) (submittedVersion, other-oa)
Funders
EIT Climate-KIC
Topics
  • Social Sciences › Business, Management and Accounting › Marketing › Environmental Sustainability in Business
  • Social Sciences › Business, Management and Accounting › Management of Technology and Innovation › Entrepreneurship Studies and Influences
  • Social Sciences › Business, Management and Accounting › Management of Technology and Innovation › Sustainability and Innovation in Business
Keywords
firm performance, climate performance, CO2 emissions, hardware technology, new technologies, sustainable business models, carbon-neutral economy, competitive advantage, mediating effect

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