Artificial Intelligence for business model innovation in digital sustainability companies: Multiple cases from the Netherlands

Abstract

PURPOSE: We explore how sustainability companies deliver Artificial Intelligence powered (AI-Powered) solutions for Business Model Innovation (BMI) and how they balance between ecological, economic, and social value across diverse industries and company sizes. DESIGN/METHODOLOGY/APPROACH: We adopt qualitative semi-structured interviews with the top 20 sustainability executives and founders in the Netherlands as a unique context of sustainability. FINDINGS: We found differences between large and small sustainability companies from the Technological, Organisational, and Environmental (TOE) perspectives. Technically AI is instrumental for operational efficiency, real-time environmental monitoring, and supply chain traceability. Organisationally, sustainability companies focus on design-led approaches, bottom-up innovation, and AI–strategy alignment. Environmentally, they face challenges such as supply chain collaboration resistance, the impact of regulation, and market readiness. ORIGINALITY/VALUE OF THE PAPER: This study offers original multi-case evidence from the Netherlands, providing a systemic framework based on the TOE theory to reconceptualise AI not just as a facilitator but as a foundational input shaping sustainable BMI. PRACTICAL IMPLICATIONS: It guides sustainability executives and SMEs’ founders to embed AI efficiently to align with client values.