Green Isn’t Just Clean, It’s Economically Smart—Corporate
Every business model and strategy is measured through the returns on investment. The same can be applied when weighing the pros and cons of adapting a green or sustainable business approach. According to a post completed for The Huffington Post, not only is jumping on the green bandwagon the popular choice, it is also the cost effect decision.
In terms of the benefits for sustainable business practices, often perception is key. Going green is the society-approved choice at the moment and, therefore, choosing to do so often wins the business favor and preference above competition and community. Fundamentally, investment in long-term sustainable practices is financially beneficial; the article claims this approach only works to save the company money in the long run. Along similar lines, with the positive and popular perception surrounding all things green, investments in sustainable programs has increased rapidly in recent years. The article cites that one out of every eight dollars invested in businesses goes towards those corporations boasting sustainable practices. This roughly equates to three trillion dollars of money invested in businesses in the United States. Finally, in terms of financial benefits, sustainability is the consumer’s top concern at the moment; retailers are, therefore, willing to pay top dollar to companies producing products that supply to that specific demand. With the increase in demand, sustainability is an obvious choice to guarantee need for supply and a resulting sense of success.
Specifically, the article addresses the issue of speed and ease of entrance to the market. If the business declares that it is striving to follow sustainable business programs, the company will be viewed as a positive corporate citizen. This, in turn, could influence any necessary license acquisitions and accelerate the company’s entrance and growth on the market. This reputation as a positive influence on all matters green could also become very valued in terms of community perception on the company. People judge on impact of actions, not intentions; therefore, in a world where perfection is impossible, a company’s attempts to follow through on actions and any missteps are open for strict judgment. However, in the case of a sustainable company that is striving to fulfill their social responsibilities, the community will be more forgiving, based on the earned reputation as a positive, contributing and favorable member of the neighborhood. This can sometimes be taken as far as to cut back on competition and opposition. Finally, customers aren’t the only individuals drawn in by green goals. Sustainable programs also work to develop a pool of potential employees that are equally invested in the environment, creating a staff that is passionate about the products and productivity, as well as some of the best advocates for the brand.