Proceedings of the International Association for Business and Society

Volume 21, 2010

Proceedings of the Twenty-First Annual Meeting

Geoffrey R. Archer
Pages 98-104

Nature’s Bounty
Understanding Environmental Entrepreneurship As an Extension of Schumpeterian Supply

This purely theoretical paper examines the relationship between the pursuit of entrepreneurial opportunity and environmental impact. Specifically, we attempt to more effectively define environmentally-relevant entrepreneurship through comparisons of different extant definitions in the literature, and to extend Schumpeterian theory through the inclusion of environmental entrepreneurship within his framework. By doing so, we contribute to the entrepreneurship literature through a more encompassing and specified definition of environmental entrepreneurship, and by incorporating environmental entrepreneurship into Schumpeter’s (1934) theoretical framework. We propose that (1) Waste-Equals-Food, (2) Public Goods, and (3) Externalities each demonstrate that environmental entrepreneurship is the act of creating future goods and services with positive environmental consequences. Finally, we assert that Schumpeter would likely characterize the pursuit of any such opportunity as “opening up a new source of supply.”