Innovation in Sustainability Initiatives through Reverse Channels

ABSTRACT

Purpose: This paper addresses to the research gap on the role played by a brand in creating value for business customers through the adoption of reverse channels by presenting a research agenda in the form of a conceptual framework. The research agenda discussed in this paper is based on the argument that a brand provides an assurance of the quality and functional capability of the products to new users of old products, delivers rational benefits to business customers, and strengthens the customer base of manufacturers.

Methodology/approach: A systematic literature review was conducted to develop propositions to develop deep insights into the role of a brand in creating value for business customers through the adoption of reverse channels.

Findings: Based on an extensive review of the literature, this study suggests that a brand can enhance customer equity, growth of the business customer and profits of the business customer by increasing in its efforts to influence the adoption of reverse-channels. Furthermore, the study proposes that an increase in the intention of a manufacturer to take on innovation in sustainability initiatives in its reverse logistics-based business process can increase the probability of the adoption of an approach towards reverse logistics.

Research implications: This research extends the arguments made in innovation in sustainability initiatives theory by linking its three dimensions, i.e. economic, social and environmental, to reverse logistics and channel activities, as a function of a closed-loop supply chain.

Practical implications: Synthesis of various theories discussed in this paper provides a theoretical toolbox that can guide manufacturers of brands to create value by generating profits and enhancing the growth of industrial firms.

Originality/value/contribution: Using a systematic review of the literature, this study contributes to the area of research by developing a novel theoretical understanding of the role of a brand in creating value for business customers through the adoption of reverse channels.

KEYWORDS:

• Innovation
• sustainability
• reverse channels
• value
• growth
• profit and brand equity