The sustainable start‐up paradox: Predicting the business and climate performance of start‐ups
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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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LDA has been applied earlier to map sustainability startups.
“This approach has been applied earlier to map sustainability startups (Horne et al., 2020;Leendertse et al., 2020).”
From Sustainability startups and where to find them: Investigating the share of sustainability startups across entrepreneurial ecosystems and the causal drivers of differences (2021) · cites this paper as Leendertse et al., 2020
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Cited by
Sorted by citations
Tiba, S., van Rijnsoever, F. J., & Hekkert, M. P. (2021) · Journal of Cleaner Production · doi:10.1016/j.jclepro.2021.127054 · Cited by 95 · see citing works
Self-citation
- 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
- hybrid
- doi.org
- Licence
- 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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