Growth Through Green Innovations : A Case Study of Cascades Djupafors

Abstract: The premise of this thesis is the need for research regarding the relation between social and natural values and the competitive advantage of a firm. The overall purpose of this thesis is to identify, describe and analyze how a firm can achieve competitive advantage from a transformation of social and natural values. In order to reach the purpose of this thesis a case study of Cascades Djupafors has been carried out which entailed personal interviews with a selection of the firm’s customers.  The theoretical framework involves a description of the creation of a sustainable business, process for creating societal advantage, the transformation of societal advantage to competitive advantage as well as an elaboration of the transformation process. The empirical study deals with the sustainable approach of Cascades Djupafors, their quest for a sustained business, their process from sustainability to competitiveness and an elaboration of Cascades Djupafors’ innovation developments. In the analysis the theoretical framework is related to the results of the empirical study. It is discussed and analysed how Cascades Djupafors can create social and natural values as well as economic values which is continued by a discussion regarding the creation of a sustainable business. In addition, the organizational learning process at Cascades Djupafors is elaborated with focus on capability development. It is concluded that a firm can transform social and natural values to competitive advantage by developing green capabilities to perform CSR activities that the customers value and thereby gain legitimacy. This can lead to a positive reputation which is linked to competitive advantage through the source of competitive advantage, i.e. green innovations. The competitive advantage allows a firm to set a premium price or increase its amount of sales which offers a possibility for increased financial outcome. At last, recommendations for further research within this field are presented together with specific managerial implications for Cascades Djupafors.