Abstract:Frugal innovations are often associated with sustainable development. These connections, however, are based on anecdotal assumptions rather than empirical evidence. This article evaluates the sustainability of four frugal innovations from water and energy sectors. For the purposes of the evaluation, a set of indicators was developed. Indicators are drawn from sustainable development goals by the United Nations and they encompass central dimensions of sustainability: ecological, social and economic. In this article, frugal innovations are compared to solutions that are currently used in similar low-income contexts. Studied frugal innovations were found more sustainable in terms of energy production and water purification capacity than the existing solutions. In terms of social sustainability, larger differences between innovations were found. For example, business models of frugal energy solutions focus on capacity building and the inclusion of marginalized low-income people, whereas business models of water purification solutions focus on more traditional corporate social responsibility activities, such as marketing awareness campaigns and cooperation with non-governmental organizations. Three major sustainability challenges for frugal innovators were identified: (1) the proper integration of material efficiency into product or service systems; (2) the patient promotion of inclusive employment; and (3) the promotion of inclusive and sustainable local industrialization. The article concludes that despite indisputable similarities between frugality and sustainability, it is problematic to equate the two conceptually.
The implementation of circular economy (CE) thinking to reduce environmental impacts and resource use has led to the development of innovative recycling technologies and business models. The implications of these technologies and models, however, remain largely unclear. In many CE strategies, there is a high risk of rebound, meaning a situation in which activities aimed at environmental benefits are not realized because of external reasons. A similar risk relates to limited understanding about the behavioral changes required by extensive implementation of circular practices. Using life cycle assessment, we compare the global warming potential (GWP) of five ownership and end-of-life scenarios for creating and using a pair of jeans. The scenarios are as follows: (a) BASE, i.e. basic use with waste disposal; (b) REDUCE, i.e. extended use; (c) REUSE, i.e. re-selling; (d) RECYCLE, i.e. industrial processing into new raw materials; and (e) SHARE, i.e. a rental service. Our results show that the lowest global warming impacts are achieved in the REDUCE scenario, and the second lowest are achieved in the REUSE scenario. The RECYCLE scenario leads to relatively high overall emissions because the replaced emissions from cotton production are relatively low. The use of rental services is likely to increase customers’ mobility, and if that happens in a large scale, then the SHARE scenario has the highest GWP. It was found that many new CE innovations come with a high rebound risk, and existing practices carry similar, yet smaller risks.
Firms are often criticized for their reluctance to embrace sustainability in their business strategies. Frugal innovation is a recent concept that represents a new way for firms to serve underserved customers in developing countries while also promoting sustainability. Based on three cases of frugal innovation at the grassroots level in India, this article demonstrates how frugal innovation presents a promising way to tackle some of today's pressing societal problems with new business models. We use a range of parameters for economic, social, and environmental sustainability to strengthen the case for frugal innovation. This article attempts to inspire scholars to consider frugal innovation further in their future research endeavors and encourage firms to integrate it into their existing business models.
Facing substantial sustainability challenges, sustainable transitions to circular systems are increasingly called for. The use of biomass to produce textile fibers is a niche that could contribute to a circular textile system. In this niche, farmers supplying biomass would play a crucial role. Through a literature review, we argue in this article that farmers are important actors in this context, but their agency is limited by numerous institutional factors, such as cultivation practices, labor markets, and information systems. These factors together can create an institutional void, which can hamper both the agency of farmers and their ability to participate, as well as the justness of the niche. The void’s strength depends on the institutional interface a farmer is subjected to. Before just transitions to circular systems can occur, marginalized actors’ agency and ability to participate in the niche, in a just way, must be improved, by decreasing the strength of the institutional void.
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