A Framework for Green/Eco-Innovation Through Use of a Novel Measure: E/R

Abstract

Eco-innovation has been a recent idea used to describe development of products, services and processes that contribute to sustainable development (SD) through commercial application of knowledge considering ecological facts. This chapter introduces a green/eco-innovation framework incorporating the uncertainties and acquisitions together. A measure is used to indicate the ratio between "possible risks" and "values added". This measure is named as "E/R" ratio, where E represents "eco-innovative acquisitions provided by the proposed novelty" and R denotes the "risks which arise as the consequence of novelty". A simple evaluation structure has been developed to calculate the value of E/R ratio for a certain novelty. Proposed framework is tested through the case of green buildings providing an insight into the risks associated with them.