Encouraging sustainable business practices using incentives: a practitioner's view

摘要

Purpose - This conceptual paper aims to present a new framework for the use of incentives whenrnencouraging small businesses to adopt more sustainable business practices. It seeks to identify andrncategorize various types of incentives.rnDesign/methodology/approach - The incentives framework was designed as a practical tool forrnuse during the development of a small business sustainability program. Although conceptual inrnnature, the framework is based on research conducted by the Washington State (USA) Department ofrnEcology that used, in part, a modified grounded theory approach.rnFindings - In addition to identifying and categorizing potential incentives, the paper presents anrnoverview of mainstream thought on incentives and argues that incentives and disincentives arernsignificantly different concepts. The paper identifies seven potential barriers to implementing incentivesrnand summarizes potential solutions to those barriers. It also explains how incentives can be used tornencourage sustainable behavior and corporate social responsibility reporting.rnPractical implications - The framework presented is intended to assist practitioners develop andrnstructure incentive programs. It is also intended to provide guidance to practitioners regarding therncurrent mainstream paradigm on incentives and recommends changes to that paradigm.rnOriginality/value - The framework presented is entirely original. No similar framework appears torncurrently exist.