Abstract
As the public perception of the role of business in society continues to change, managers face new-fangled challenges when attempting to secure an optimal strategy for the long-term survival of their firms. The increasing awareness that business operates as part of (and not in isolation from) society necessitates an inspired management approach when investing a firm’s resources to create value which is driven by the perspective and needs of a broader range of stakeholder interests.
These ongoing developments in societal expectations have prompted the need for a new management “mind-set” with respect to the way in which profit is perceived. Most particularly, the current rationale on key questions such as: What constitutes profit? and how to organise the business for its optimal generation? is undergoing transition. These questions highlight the “missing link” which establishes the primary focus of this chapter. To address this missing link, a theoretical review of the latest emerging literature surrounding the concept of multiple shared value (MSV) is combined with fresh empirical data to investigate the effectiveness (or otherwise) of the new business model (NBM) concept for translating the concept of sustainable management into everyday business practice.
The qualitative, exploratory data findings presented in this chapter in response to these questions were obtained via in-depth interviews. They serve to furnish the information-base for a critical discussion about the suitability of the new business model concept as a mechanism for delivering the new management methods needed.
Ultimately, this chapter proposes that NBMs can act as a catalyst for creating collective, shared, balanced triple bottom line impact. Consequently, the evidence presented in this chapter implies that by delivering a fairer distribution of the wealth created by business via a stronger focus on creating welfare for human beings and nature, NBMs can serve as an important mechanism for both sustainable social progress and business wealth generation.
