Co-productive interrelations between business model and zero carbon building: A conceptual model

The zero carbon building (ZCB) approach has gained momentum in improving energy performance and reducing carbon emissions. Despite policy promotion for achieving zero carbon, innovative business models (BMs) are needed to overcome the challenges and accelerate the ZCB uptake. However, little research has examined ZCB and BM in tandem, and business strategies for ZCB delivery. The purpose of this paper is to explore the theoretical relations between BM and ZCB.

Drawing on a critical review of the definitions, components, and theoretical bases of BM and ZCB, this paper develops a conceptual model that maps out the multifaceted interrelations between ZCB and BM at both project and organisational levels.

The results discover co-productive interrelations between BM and ZCB in four aspects, namely, value offering, project delivery process, stakeholder network, and revenue generation logic. Innovative BMs address the socio-technical challenges to delivering ZCBs through innovating BM components, while ZCB provides a new paradigm of organisational-level systems to BM innovations as a source of corporate competitiveness.

The findings will be of immense benefit to the decision makers of construction organisations in enhancing their business strategies for successful ZCB deliveries, and help to de-risk business innovations and ZCB take-up for their maximised synergies.

The findings contribute a novel approach to disentangling the complex co-productive interrelations between BM and ZCB. This review calls for a step change in future research into the two important areas, BM and ZCB, in an interrelated manner.