Encouraging sustainable business practices using incentives: a practitioner's view
Abstract
Purpose
This conceptual paper aims to present a new framework for the use of incentives when encouraging small businesses to adopt more sustainable business practices. It seeks to identify and categorize various types of incentives.
Design/methodology/approach
The incentives framework was designed as a practical tool for use during the development of a small business sustainability program. Although conceptual in nature, the framework is based on research conducted by the Washington State (USA) Department of Ecology that used, in part, a modified grounded theory approach.
Findings
In addition to identifying and categorizing potential incentives, the paper presents an overview of mainstream thought on incentives and argues that incentives and disincentives are significantly different concepts. The paper identifies seven potential barriers to implementing incentives and summarizes potential solutions to those barriers. It also explains how incentives can be used to encourage sustainable behavior and corporate social responsibility reporting.
Practical implications
The framework presented is intended to assist practitioners develop and structure incentive programs. It is also intended to provide guidance to practitioners regarding the current mainstream paradigm on incentives and recommends changes to that paradigm.
Originality/value
The framework presented is entirely original. No similar framework appears to currently exist.
Keywords
Citation
Goetz, K.S. (2010), "Encouraging sustainable business practices using incentives: a practitioner's view", Management Research Review, Vol. 33 No. 11, pp. 1042-1053. https://doi.org/10.1108/01409171011085886
Publisher
:Emerald Group Publishing Limited
Copyright © 2010, Emerald Group Publishing Limited