Lars Jacob Tynes Pedersen

Investing with Brain or Heart? A Field Experiment on Responsible Investment

Socially responsible investment is increasingly prevalent in financial markets and is characterized by the integration of financial and nonfinancial objectives. This paper investigates the influence of wealth concerns and moral concerns on individual investors’ decisions to invest responsibly. We conduct a unique natural field experiment of investors in an online banking context, wherein we frame responsible investment with regard to either wealth or morality and study investors’ subsequent behavior. We find that wealth framing is more effective than moral framing for both information search and investment behavior. Our study contributes to the literature by providing real-life insight into how prosocial decision making in financial markets can be promoted. This paper was accepted by John List, behavioral economics .

What's the problem? A problem-based approach to the reform of the Norwegian drug rehabilitation sector

This article explores how the scope of solutions to complex problems is determined by the way in which the problem is formulated. We inquire into this by means of a theory-driven case study of the reform in the Norwegian drug rehabilitation sector and the Tyrili facility. We analyze divergent approaches to drug rehabilitation by means of a problem formulation framework, which distinguishes between (1) the value dimensions of given problems, and (2) the phases of problem solving activities. Based on this inquiry, we arrive at a set of propositions, in which we propose that the two approaches differ in their inclusion of various value dimensions. Moreover, we suggest that the reform pursued increased efficiency as a solution to a reductionist formulation of the problem, which challenged Tyrilis opportunity to solve the problem in the multidimensional manner they conceive of it. This is an argument against a one-dimensional maximization of efficiency as a pursuit of quality in social services.

A Recap of the RESTART Framework

In this chapter, we very briefly summarize and revisit the seven components of the RESTART framework—redesign, experimentation, service-logic, the circular economy, alliances, results and three-dimensionality. In doing so, we point forward to the practical and research-oriented implications of the framework, which are developed in Part III of the book.

RESTART Before It is Too Late

In this chapter, we summarize the challenge of designing and implementing more sustainable business models. The chapter sheds light on promising developments, but also highlights the hindrances and obstacles on the path toward sustainable business.

Roadmap to a RESTART

In this chapter, we provide a very brief overview of Part II and its introduction of each of the seven components of the RESTART framework. Here, we give the first overview of these seven components—redesign, experimentation, service-logic, the circular economy, alliances, results and three-dimensionality—and their role in the framework.

Case Study: A Circular Business Model for Orkla and BIR?

In this chapter, we present a case study of the strategic alliance between the two Norwegian companies Orkla and BIR. The case study builds on their attempt to design a business model that spans across their organizational boundaries in order to develop circular solutions for the consumer brands company Orkla. We particularly shed light on the empirical studies we are designing and conducting in close collaboration with the two companies and how those studies can inform the design and implementation of a more circular business model.

Case Study: A RESTART for Scanship

In this chapter, we present a case study of the Norwegian company Scanship. The case study builds on the RESTART framework and shows a concrete example of a company aiming to carry out such a restart in practice. In particular, we highlight the business model innovation of the company and our attempt to design and conduct empirical studies related to this process.

A Process Model for Sustainable Business Model Innovation

In this chapter, we outlined a process model for sustainable business model innovation that we refer to as The Business Model RESTARTer. The process model outlines four phases of sustainable business model innovation processes: recognizing the current business model, rethinking the business model, reinventing the business model and reorganizing the business model.

Avenues for Future Research

In this chapter, we outline avenues for future research. We provide a brief history of the research on aligning sustainability performance and financial performance in business model design and innovation. Thereafter, we outline general directions for research in this field, before we outline a concrete research agenda for the seven components of the RESTART framework and the business model characteristics to which they relate.

Why Sustainable Business Model Innovation

In this chapter, we introduce the purpose and scope of the book. We discuss the problem of sustainability in business and the need for sustainable business model innovations. In doing so, we shed light on three drivers for smarter and more sustainable business models. Thereby, we point forward to the RESTART framework outlined in Part II of the book and the implications for practice and research that are discussed in Part III of the book. We provide an overview of the methodological approach of the book and an outline of how the remainder of the book is structured.