Eco-Entrepreneurship

Guide

GREENING SMEs
Empowering BDAs & NSAs to advocate for Sustainable Consumption & Production Practices
and Support Eco-Entrepreneurs in their Development and Transition Towards Green Inclusive Businesses

GLOBAL
ENTREPRENEURSHIP
GEN NETWORK
MAURITIUS

Empretec Mauritius:
+230 210 84 00 [email protected] www.EmpretecMauritius.org
 Guide to Eco- Entrepreneurship

Contents
1 DEFINING THE ENTREPRENEUR..................................................................................................................... 3

2 GUIDE TO ECO-ENTREPRENEURSHIP ............................................................................................................. 4

3 OBJECTIVES AND CONTENT .......................................................................................................................... 4

4 KEY SUSTAINABLE CONSUMPTION AND PRODUCTION PRINCIPLES .............................................................. 4

5 SUSTAINABLE CONSUMPTION AND PRODUCTION ....................................................................................... 5

6 GREEN BUSINESS & ECO-ENTREPRENEUR COMPETENCIES ........................................................................... 7

7 GREEN BUSINESS CANVAS ............................................................................................................................ 8

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1 Defining the Entrepreneur

The business developed by green entrepreneurs can differ significantly vis-à-vis conventional businesses.
However, important differences also exist within the broad category of “green businesses”, which reflect
the motivations and strategic objectives of their founders.

Conventional
Entrepreneurs
Entrepreneurs

Intrapreneurs

Ad hoc Enviropreneurs

Social Entrepreneurs

Innovative Opportunist

Green Entrepreneurs

Ethical Mavrick

Visionary Chnampion
1

i
Research Conducted on the typologies of entrepreneurship distinguishes four types of green
entrepreneurs, each of whom is motivated in differing degrees by the profit or environmental motive:

• ad hoc (or accidental) green entrepreneurs, who are driven purely by financial gain and whose
contribution to sustainability is entirely unintended
• innovative opportunists, who are financially oriented, having spotted a green niche in existing
markets and setting out to exploit that niche
• ethical mavericks, whose sustainability orientation tends to be influenced by the values of their
friends, networks and past experiences; these tend to set up small, niche businesses that rarely
grow beyond a small scale due to a lack of financial interest on the part of the founder
• visionary champions, who embrace a transformative, sustainability orientation and tend to be
driven by a combination of their values and financial return.

1
Volery13 (2002) and the general entrepreneurship typologies developed by Chell et al. (1991), Walley and
Taylor (2002)

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2 Guide to Eco-Entrepreneurship
Environmental Entrepreneurship, Green entrepreneurship or Ecopreneurship relate to
substantial role in the development of a more sustainable economic and commercial system.
The identification and definition of such entrepreneurship is very complex. Ecopreneurship
engage into many different forms and a wide variety of business activities. Their commitment
towards sustainability varies but on the overall their impact on the environment remains
positive.
The major traits identified and accepted in every school of thought are:
• Entrepreneurs undertake business ventures with associated measure of risk with a
possibility of failure.
• Commercial activities have an overall positive effect in the natural environment moving
towards sustainability.
• Operate with a set of values and aspirations leading to sustainability referred to as
“Sustainable Consumption and Production” practices.

3 Objectives and Content

The objectives of this paper are to inform, train and guide Entrepreneurs and Businesses in their greening process.
Participants will develop basic skills for applying the SCP concept in a real-life economic, policy and professional
context.
• Define the concept of SCP and explain its value for sustainable development and the Post-2015
Development Agenda
• Distinguish key elements of effective policy planning in support of SCP
• Identify enabling conditions for mainstreaming and implementing SCP policies in national governance
• Discuss principal challenges and opportunities for advancing SCP in national contexts
• Summarize the range of global and regional initiatives to support SCP in national governance
• Apply SCP to a real-life policy-making context.

4 Key Sustainable Consumption and Production Principles

1. improving quality of life without increasing environmental degradation, and without

compromising the resource needs of future generations
2. decoupling the link between economic growth and environmental degradation, by;
o reducing material / energy intensity of current economic activities, and reducing
emissions and waste from extraction, production, consumption and disposal;
o promoting a shift of consumption patterns towards groups of goods and services with
lower energy and material intensity without compromising quality of life;
3. applying life-cycle thinking, which considers the impacts from all life-cycle stages of production
and consumption process
4. guarding against the rebound effect, where efficiency gains are cancelled out by resulting
increases in consumption

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5 Sustainable Consumption and Production

ABC Of SCP, Clarifying Concepts On Sustainable

Consumption and Production (Source UNEP)

As defined by the Oslo Symposium in

1994, sustainable consumption and
production (SCP) is about "the use of
services and related products, which
respond to basic needs and bring a
better quality of life while minimizing
the use of natural resources and toxic
materials as well as the emissions of
waste and pollutants over the life cycle
of the service or product so as not to
jeopardize the needs of further
generations”.

Eco-efficiency is a management philosophy that encourages business to search for environmental

improvements that yield parallel economic benefits. It focuses on business opportunities and allows
companies to become more environmentally responsible and more profitable. It is a key business
contribution to sustainable societies. Eco-efficiency is achieved by the delivery of competitively priced
goods and services that satisfy human needs and bring quality of life, while progressively reducing
ecological impacts and resource intensity throughout the life-cycle to a level at least in line with the
earth’s estimated carrying capacity.

1. Design for Sustainability / Design Strategy

Integrate Sustainability in product/Service Design.
2. Cleaner Production / Resource Efficiency
Increase Efficiency through preventive and innovative measures and reduce risks to humans and the
environment
3. Sustainable Transport/ Mobility
Sustainable means to transport goods and services
4. Eco-Labelling & Certification
Voluntary procedure of ensuring that a product (refers to both goods and services, including their
production processes) meets certain specified criteria.
• Environmental label – claim that indicates the environmental aspects of a good or service.
• Eco label is awarded by an impartial third-party in relation to certain products that meet
environmental leadership criteria

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5. Sustainable Procurement
Sustainable Procurement is a process whereby organisations meet their needs for goods, services, works
and utilities in a way that achieves value for money on a whole life basis in terms of generating benefits
not only to the organisation, but also to society and the economy, whilst minimizing damage to the
environment.
6. Green Marketing or Sustainable Marketing
The term “sustainable marketing” covers three aspects:
• Responsible marketing, which describes procedures and management systems developed to
avoid promoting unsustainable behaviours.
• Green marketing, which consists of the design and promotion of goods and services with an
environmental value added. This refers to improvements over the entire life-cycle of a product,
including environmentally-friendly sourcing, clean production processes, improved impact
during use, reduced packaging, recyclability, reusability, existence of take-back schemes, etc. This
definition can be broadened to goods and services with a social value added such as fair trade,
sweatshop-free or locally produced goods.
• Social marketing, which aims at raising public awareness in order to introduce more
sustainable behaviours, such as energy or water conservation, and waste reduction.
7. Sustainable Lifestyles
A “sustainable lifestyle” is a way of living enabled both by efficient infrastructures, goods and services,
and by individual choices and actions that minimise the use of natural resources, and generation of
emissions, wastes and pollution, while supporting equitable socio-economic development and progress
for all.
8. Waste Management
The Basel Convention on the Control of Transboundary Movements of Hazardous Wastes and their
Disposal defines wastes as “substances or objects which are disposed of or are intended to be disposed
of or are required to be disposed of by the provisions of national law”. Wastes may be generated during
the extraction of raw materials, the processing of raw materials into intermediate and final products, the
consumption of final products, and other human activities. Residuals recycled or reused at the place of
generation are excluded.
• Integrated Solid Waste Management (ISWM) system based on the 3R (reduce, reuse and recycle)
principle.

9. Sustainable Resource Management

Sustainable management takes the concepts from sustainability and synthesizes them with the concepts
of management. Sustainability has three branches: the environment, the needs of present and future
generations, and the economy.

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6 Green Business & Eco-Entrepreneur Competencies

This component of training targets entrepreneurs/ owner- managers & representatives of MSMEs.
Training will be provided by local experts from Entrepreneurship/business creation and environment/
sustainability backgrounds to help the target participants tap opportunities to develop viable green
businesses and/or adopt green business processes. The training will empower participating MSMEs to
shift from conventional to adopt eco-friendly entrepreneurial attitudes.

10 ENTREPRENEURIAL COMPETENCIES FOR SUCCESSFUL ECO - ENTREPRENEURS

Entrepreneurial Environment/sustainability elements

Competencies/ Business
Creation & Development
1. Opportunity Seeking & • Identification / Elaboration on Green Business Opportunities
Initiative in green business • Some green ideas for target group to work on: Eco-bags &
Eco-packaging as alternatives to Plastic Bags, Energy Saving
Products, Eco-Friendly Landscaping, Crafts/ Accessories
made from recycled materials, up cycled furniture, green app,
eco-friendly cups & cutleries, eco-friendly garments, etc.
2. Taking Calculated Risks in • Green Business Funding
green business • Green Markets
• Equipment & Technology
3. Demand for Eco- Efficiency • Inputs, Operations & Outputs (relationships between
manufacturing & environment)
• Green Standards, Green operations /processes, Supply Chain,
Customer Service, etc.
4. Persistence to achieve set • Environmental strategies translated into persistent actions to
environmental objectives achieve environmental goals & objectives
5. Fulfilling Commitments whilst • Personal sacrifice, commitments & supports of employees to
preserving the environment achieve environmental goals & objectives
• Meeting customer satisfaction and placing long-term good will
above short-term gain
6. Information Seeking & • Product Research & Development
Eco-Innovation • Business facilitation services to become green
7. Goal Setting in green • Both economic and environmental objectives are incorporated
business in business plans (for start-ups or business extension)
• For beginners: Improve efficiency to reduce environmental
impact and save money
• For intermediate: Set and achieve environmental performance
targets that clearly differentiate from competitors
• For advanced : Deliver environmental performance and
innovative products to become the preferred supplier and
brand
8. Systematic Planning & • Environmental Plans are revised in light of impact and priorities
Monitoring • Records maintained and used to make decisions
9. Power & Persuasion • Use key people (set up green business platform – Activity B)
as agents to achieve environmental objectives
• Takes action to develop and maintain a network of contacts
10. Independence & Self- • Expresses confidence in own ability to complete a difficult task
Confidence or to face a challenge in the greening processes

After completing the Eco-Entrepreneurship Training, the participants will be capacitated to review their
environmental policies and decide on priorities and indicators that are important for their existing
businesses or to be incorporated in business plans for new start-ups.

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7 GREEN BUSINESS CANVAS

KEY PARTNERS KEY ACTIVITIES VALUE PROPOSITIONS CUSTOMER RELATIONSHIPS CUSTOMER SEGMENTS
• Who are our key partners? • What key activities do our • What value do we deliver to • How do we get, keep and • For whom are we creating
• Who are our key suppliers? value propositions require? the customer? grow customers? value?
• Which key resources are we • Our distribution channels? • Which one of our customers’ • Which customer relations • Who are our most important
acquiring from our partners? • Customer relationships? problems are we helping to have we established? customers?
• Which key activities do • Revenue streams? solve? • How are they integrated with • What are the customer
partners perform? • Do your activities include • What bundles of products and the rest of our business archetypes?
• Is your supply chain using sustainable operations? services are we offering for model?
sustainable means? • What impact will the each segment? • How costly are they?
operations have on the • Which customer needs are we
environment? satisfying?
KEY RESOURCES • What is the minimum viable CHANNELS
product?
• What key resources do our • Through what channels do
• What difference will your
value propositions require? our customer segments want
activities make?
• Are these resources from to reach?
• What will be your
renewable sources? • How do other companies
sustainability goal?
• Our distribution channels? reach them now?
•
• Customer Relationships? • Which ones work best?
• Revenue Streams? • Which ones are most cost-
efficient?
• How are we integrating them
with customer routines?
COST STRUCTURE REVENUE STREAMS
• What are the most important costs inherent to our business model? • For what value are our customers really willing to pay?
• Which key resources are most expensive? • For what do they currently pay?
• Which key activities are more expensive? • What is the revenue model?
• What are the pricing tactics?

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KEY PARTNERS KEY ACTIVITIES VALUE PROPOSITIONS CUSTOMER RELATIONSHIPS CUSTOMER SEGMENTS
• • • • •

KEY RESOURCES CHANNELS

• •

COST STRUCTURE REVENUE STREAMS

• •

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NOTES

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