Strategic Innovation for Sustainability : A Conceptual Model Linking Digitalization, Social Dynamics, and Climate Change Mitigation

Abstract

This study addresses a significant research gap in the literature by systematically reviewing and synthesizing the interplay between social dynamics, environmental changes, and organizational innovation. Although prior research has explored these dimensions in isolation, the integrative framework remains lacking. To address this, we conducted an integrative review that combined bibliometric and content analyses of 845 peer-reviewed articles, following the PRISMA guidelines for methodological rigor. Our study reveals that digitalization, social innovation, and technological advancement collectively empower firms to navigate complex social and environmental challenges, fostering sustainable innovation and resilience. Theoretical contributions are grounded in the Triple Bottom Line, Innovation Diffusion Theory, and Resource-Based View theory, offering a robust framework for understanding how organizations balance their economic, social, and environmental performance. Key findings highlight the pivotal role of communication, collaboration, and knowledge sharing in driving innovation, as well as the importance of integrating social and environmental responsiveness into strategic resource management. This study advances the literature by presenting a comprehensive framework that incorporates organizational innovation with broader sustainability outcomes, thereby informing both academic research and practical strategies for sustainable business transformation. © 2025 The Author(s). Business Strategy and the Environment published by ERP Environment and John Wiley & Sons Ltd.