An empirical explanation of the natural-resource-based view of the firm

Abstract

To date the natural-resource-based view has been an abstract phenomenon, primarily used by academics to explain competitive sustainable operations. This paper attempts to go beyond this, responding to the need for explanation of the practical existence of the four natural-resource-based view resources in industry. Assuming a critical realist qualitative approach, in-depth interviews with sustainability experts in UK agri-food are undertaken. Findings demonstrate the existence of pollution prevention, product stewardship and clean technologies, and align with Hart's (1995) conceptualisation of sustainability as competitive resources. Whilst the fourth resource, base of the pyramid, cannot be empirically verified, a fifth resource of local philanthropy is uncovered and contributes to the growing body of knowledge surrounding competitive social sustainability. Findings also challenge the hierarchal presentation of the naturalresource-based view to implicate a more cyclical uptake. Thus, in offering the first empirical explanation of the natural-resource-based view, this paper overcomes a theory-practice gap to elucidate the feasibility, orchestration and value of resources in competitive and sustainable operations.

Leveraging competitiveness from sustainable operations: frameworks to understand the dynamic capabilities needed to realise NRBV supply chain strategies

“…This presents a new framework for SSCM that differs to corporate social responsibility and the triple bottom line by promoting sustainability for competitiveness. This aligns with recent literature that calls for the practical application of NRBV resources in supply chain management to support competitiveness (Yang et al, 2018;McDougall et al, 2019).…”

“…Discussions of waste management in SSCM are comparable, offering consideration of efficiency and cost cutting throughout environmental planning, sourcing, manufacturing and distribution (Seuring & Müller, 2008). However, pollution prevention seeks to go beyond the competitive outputs of such environmental operations to purposefully exploit waste as a source of competitive advantage (McDougall et al, 2019).…”

“…This requires development or adoption of emergent technologies or systems to modify traditional routines (Pernick & Wilder, 2007) and drive creative redesign of industries to maximise environmentalism (Hart & Milstein, 1999). Adopting technological advancements ahead of competitors supports competitive pre-emption (Hart & Dowell, 2011) whilst the substitution of nonrenewables delivers cost and efficiency benefits (McDougall et al, 2019). SSCM also drives adoption of technologies (Chakrabarty & Wang, 2012) to support a less damaging approach to production (Schrettle et al, 2014).…”

Examining the Interconnections Between Sustainable Logistics Practices, Environmental Reputation and Financial Performance: A Mediation Approach

“…A firm’s quest to achieve competitive advantage together with superior performance will motivate engagement in practices that will yield benefits like the development of capabilities and resources that are deemed rare, valuable, non-substitutable and imitable, as well as attract environmentally conscious customers, investors and suppliers among others. To conclude this section, benefits reflected by McDougall et al (2019) under the natural resource–based view in addition to those reflected by Deephouse et al (2017) under the institutional theory motivate firms on the adoption and implementation of sustainable business practices (sustainable logistics practices as captured in this study).…”

“…Thus, these few recognized sustainable logistics firms have shaped logistics practices in the logistics sector. Additionally, the enormous benefits that the natural resource-based view present to firms, as explained by McDougall et al (2019), have also gained attention as motivational factors for some firms in the adoption of environmental practices. A firm’s quest to achieve competitive advantage together with superior performance will motivate engagement in practices that will yield benefits like the development of capabilities and resources that are deemed rare, valuable, non-substitutable and imitable, as well as attract environmentally conscious customers, investors and suppliers among others.…”