Climate Change and Business Model Innovation: A Synthesis of Review and Qualitative Exploration of the Cultural Shift in Environmental Strategies

The study qualitatively explores how environmental concerns change business models by critically synthesizing the literature at the nexus of business model innovation and climate change. Using a combined approach that includes a systematic literature review and semistructured interviews with professionals, we determine the current state of the literature using key bibliometric analysis. We next critically evaluate emerging themes and make recommendations for further study based on the review's theoretical and empirical shortcomings. Our research shows that a wide range of stakeholders, including end users, advocacy groups, and policymakers, are impacted by the effects of climate change on business model innovation. The paper highlights the forces behind business model adaptation in the face of climate change and its effects, emphasizing the adoption of circular economy models, the switch to renewable energy sources, and cultural shifts toward more sustainable production and consumption. This review advances theory by summarizing the extant material and offering a well‐organized research plan for further investigations. Additionally, it offers valuable insights into how the competitive landscape is impacted by climate change, along with suggestions on how companies might thrive in this changing environment.