ABSTRACT
This chapter explains why managers find it difficult to change their strategic thinking and how firms can overcome the biases by creating an opportunity frame within which innovative thinking can take place. While the bias of it is toward creating an opportunity frame within organizations to spark creative thinking and sustainable innovations, similar principles apply for entrepreneurs seeking to sell sustainable innovations to investors and other stakeholders. Addressing sustainability challenges for firms and managers requires balancing short-term financial, social, and environmental performance while innovating to achieve future long-term financial, social, and environmental performance. A change in the corporate identity that explicitly includes a concern for sustainability makes it more possible and more likely that the firm sends the appropriate signals to managers. It becomes easier and legitimate to channel resources to the development of sustainability practices and innovations and justifies further commitment and allocation of resources. Hence managers experience a lack of control and threat perception in managing sustainability challenges.
