Going Green!
Businesses owners argue about how going green can affect their competitiveness. hey think that going green will hinder them from being competitive and from earning profits
Contrary to conventional thinking, going green and being environmentally cautious is actually better for the business because it generates cost savings, promotes innovation, command premium pricing, enhances brand image and it differentiates you from your competitors. Now, let me go through these advantages one by one. :)
generates cost savings - going green can mean that the company will conserve more energy by using less electricity or by using products that will generate energy conservation. Using such products may cost more than the ordinary ones (e.g. normal light bulbs vs led light) but in the long run it would benefit the company more.
promotes innovation - going green promotes innovation in such a way that managers or employees would be challenged to think of new ideas and ways that could mitigate and solve issues concerning the environment. An example mentioned in class was the invention of the Toyota Prius, which is currently the most environment friendly car because it does not emit CO2.
command premium pricing - companies who are environmentally friendly can actually command premium pricing because they can easily say that their products did not go through the usual mass production using harmful chemicals and the like. They can say that the process by which they manufacture their products has higher costs since they used non-toxic methods and chemicals. An example of this would be The Body Shop and the organic food stores.
enhances brand image and differentiates from competitors - consumers can easily remember and identify your brand since being green means being different from the other brands. Being green advocates that the company cares for nature and the environment hence consumers would be more enticed to patronize your product.
I personally think that going green is not easy, it would require a huge amount of investment, time and effort for the company to achieve the state of being "green" or environmentally friendly. The company should consider a lot of factors, costs, benefits, advantages and disadvantages, furthermore they should also consider the time that they would spend changing their ways.
I believe that in the long run, going green would really be beneficial to the company as it would allow to be sustainable and it would also save on their costs.










