Ethical challenges in designing sustainable business models for responsible consumption and production: case studies from Jordan

Abstract

Purpose

This study examines the ethical challenges faced by Jordanian enterprises in implementing sustainable business models (SBMs) aligned with Sustainable Development Goal 12 (SDG 12) – Responsible Consumption and Production. It focuses on how economic constraints, cultural influences and sustainability awareness shape these challenges in an emerging market context.

Design/methodology/approach

A quantitative research approach was used, involving a survey of 496 business leaders across various sectors in Jordan. The data were analyzed using structural equation modeling (SEM) with SmartPLS to assess the relationships among economic constraints, cultural factors, sustainability awareness and ethical challenges in SBMs.

Findings

The findings indicate that significant ethical challenges arise from Jordan’s economic constraints, such as resource scarcity and limited access to finance, which complicate the alignment with SDG 12. Cultural values, particularly the emphasis on community and social cohesion, play a crucial role in ethical decision-making. However, the lack of sustainability education and awareness intensifies these challenges, especially among small and medium enterprises (SMEs).

Practical implications

The study highlights the need for policymakers to provide financial support and incentives to promote sustainable practices. Business leaders are encouraged to integrate cultural values into ethical decision-making and to invest in sustainability education to mitigate these challenges.

Originality/value

This research provides new insights into the ethical dimensions of SBMs in emerging markets, offering practical recommendations for enhancing sustainability in resource-constrained environments like Jordan.

Citation

Morshed, A. (2025), "Ethical challenges in designing sustainable business models for responsible consumption and production: case studies from Jordan", Management & Sustainability: An Arab Review, Vol. ahead-of-print No. ahead-of-print. https://doi.org/10.1108/MSAR-09-2024-0131