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How to Be Global and Sustainable: Why Local Realities Matter

Date:30 October 2025
Assistant Professor Katrin Heucher
Assistant Professor Katrin Heucher

In today’s interconnected world, “going global” has long been seen as the ultimate business goal. But when it comes to sustainability—especially in global supply chains—relying only on global strategies often isn’t enough. A recent study in the Journal of International Management explores why.

The Study

Researchers Katrin Heucher (University of Groningen), Stephanie Schrage (Kiel University), and Ibrahim Abosag (SOAS University of London) examined how multinational companies (MNCs) are transitioning to bio-based plastics in food packaging across Europe and China. Their findings reveal a critical insight: Even with strong global strategies, sustainability efforts often stall when they clash with local realities.

The Challenge: Global Goals vs. Local Realities

Sustainability transitions are not just about strategy or technology. They involve deep tensions:

  • Sustainability tensions: Balancing long-term environmental goals with short-term financial pressures.
  • Global-local tensions: Global sustainability plans often conflict with local practices, regulations, or capabilities.

For example, multinational enterprises (MNE) set ambitious global targets for bio-based plastics, but local suppliers—especially small and medium-sized businesses—may lack the resources, incentives, or infrastructure to meet them. The result? Frustration and stalled progress.

A New Perspective: Embracing Tensions

Instead of seeing these tensions as problems to solve, the researchers suggest viewing them through a paradox lens. This means recognizing that tensions are ongoing and interdependent—and can even drive innovation. Managing paradoxes is not about choosing sides; it is about navigating competing demands simultaneously.

According to Heucher that means: “MNE’s need to hold the tension. Balance global ambitions with local realities, acknowledging differences in timelines, metrics, and stakeholder expectations. And they should accept that progress is likely non-lineair. Sustainability transitions are iterative, requiring flexibility and collaboration across diverse contexts.”

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The Glocal Approach

The authors introduce the idea of glocal paradox management as a way forward. A glocal approach acknowledges that while global strategies provide direction and ambition, they only succeed when shaped and redefined through local engagement. In the case of the food packaging transition for example, this means not just setting global sustainability targets, but working with local partners to understand their realities, co-design workable solutions, and build the capabilities needed to act. This collaborative process is especially crucial when working with small and medium enterprises, who often lack the resources to absorb and implement externally defined standards without support.

For professionals , the key takeaway is that sustainability transitions within interorganizational systems are not linear. They require ongoing coordination, mutual learning, and the ability to deal with competing demands over time. Rather than treating tensions as barriers, organizations can approach them as productive frictions—sites of innovation, negotiation, and, ultimately, transformation. But this only happens when tensions are surfaced, discussed, and navigated jointly with partners.

 

For more information, please contact Katrin Heucher (k.s.heucher@rug.nl)


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