Abstract:The comprehensive coverage of sustainability issues in a supply chain incurs goal conflicts-i.e., sustainability tensions-and is often limited by market characteristics, such as the availability of sustainable materials and services. While the mainstream business is prioritizing economic goals, a number of entrepreneurs are trying to move forward to more sustainable business practices for their own company and their supply chain. Fairphone represents such a case in the electronics industry, which is openly communicating its sustainability efforts and shortcomings. This communication is content-analyzed in this study by applying the theoretical lenses of paradox sustainability tensions and sustainable supply chain management. Findings of this analysis reveal the limitation of sustainability efforts by supply side characteristics, while Fairphone is innovatively using the demand side of its supply chain to drive sustainability. The resulting tensions among both sides are addressed via pro-active and direct supplier and stakeholder engagement by Fairphone at their suppliers' mines and factories. The systematic identification of tensions and practices by which they are addressed is adding to our understanding of sustainability practices and goal conflicts in supply chains.

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Resulting from divergent business environments between actors, the integration of the base of the pyramid (BoP) into formal supply chain (SC) structures is often hampered by institutional voids, which can result in the emergence of paradoxical situations. This paper analyzes the potential of supplier development (SD) for addressing the BoP inclusion paradox. The study develops a framework based on the assumption that SD enables the development of capabilities and supplier performance, which is especially relevant when operating in BoP contexts. Seventy‐two semi‐structured interviews stemming from two case studies of (a) a local dairy and (b) an international certified pineapple SCs with BoP involvement provide empirical insights into the theoretical framework. Paradox resolution strategies (temporal separation, spatial separation, and synthesis) are related to (direct and indirect) SD practices. The proposed framework and results show that indirect SD can be used as temporal and spatial separation, but not as synthesis strategy. Contrastingly, direct SD can be used as temporal separation and synthesis. The BoP context needs direct SD to address two sustainability goals simultaneously: the social dimension of BoP inclusion and the economic dimension of formal and efficient SCs. This research extends the discussion on paradoxes in sustainability management to SCs, especially to BoP SCs. It is relevant to show that BoP inclusion is neither a sole win‐win nor trade‐off scenario. Resulting paradoxical situations can be addressed by SD, thereby moving to sustainable supply chain management (SSCM).

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