Increased expectations from society and demands to attract, satisfy and retain customers have made it strategically vital for companies to adopt practices and create products that strive to protect the natural environment. (Dangelico and Pujari 2010)
This review of Bansal and Roth (2000) and Dangelico and Pujari (2010) aims to advance our understanding on the motives surrounding why companies choose to go green, different types of green products and challenges facing companies that integrate environmental (green) sustainability in product innovation.
In these studies, Bansal and Roth (2000) and Dangelico and Pujari (2010) apply theoretical sampling of 53 various firms in UK and Japan and in-depth interviews in 12 manufacturing firms in Canada and Italy respectively to develop conclusions on the contextual factors that induce ecological responsiveness and the integration of ecological sustainability into product innovation.
Going green signifies engaging in more environmentally friendly activities like recycling of waste, reduction of energy consumption and development of ecoproducts (green products). (Wheatley 1993). Bansal and Roth’s study radiates from a need to clarify how motivations differ and the various contexts which influence these motivations, according to Dangelico and Pujari (2010), these motivations lead companies to reduce energy consumption and pollution by making radical or incremental innovations to products. In this light, Dangelico and Pujari’s (2010) study was conducted in the context of green product development, Bansal and Roth, on the other hand critique a preliminary model on ecological responsiveness and attempt to enhance our knowledge on why firms are ecologically responsive. To strengthen the reliability of the interview responses, the authors made reference to company websites and publications.
Both studies concur that the 3 motivations which push company to go green are competitiveness, legitimation and ecological responsibility. Under the motivation of competitiveness, firms engage in activities that increase their market share and reputation for instance development of green products , however ecologically responsible firms focus more on concern for social good as initiatives are majorly borne out of internal sensitivity to environmental issues . Firms motivated by legitimation are viewed differently by the authors, although they agree that a primary objective of these firms was to comply with set environmental regulations by avoiding bad publicity and penalties, Dangelico and Pujari (2010) suggest that these regulations mostly resulted to new business opportunities as new government policies could most times give room for business ideas.