Business and Economics

Value systems drive activism and these efforts are increasingly intersecting with corporate self-interest.  Companies have a vested interest in combating consumer skepticism. They know they cannot ignore consumers' distrust nor can they avoid the growing demand that businesses act in an ethical manner. Apart from the inherent value of doing the right thing, there are powerful incentives and disincentives that are driving corporate activism. Here are eight reasons why companies are feeling compelled to act. 1. BOTTOM LINE BENEFITS It pays for business to be ethical. Companies like Patagonia have demonstrated how ethical conduct enhances their reputation, reinforces customer loyalty,...

Corporate America has challenged Trump's leadership and they are engaging in unprecedented levels of climate advocacy .  They will speak out against Trump's presidency because they realize that they have no choice, silence is no longer an option. Standing up to Trump is now synonymous with protecting their brands. As explained in The Conversation: "Staying out of politics is no longer an option for the corporate world, even if its tactics can sometimes clash with strategies to optimize profits." Corporate resistance to Trump is not new, however, it is intensifying. CEOs from companies like Tesla, Patagonia, Starbucks, General Motors, JP...

Corporate activism is growing and ushering in a new era. Never before have corporations been more involved in activism or felt more compelled to engage. What corporate leaders say or don't say can have profound consequences for their personal reputations and the reputation of the brands they lead. Businesses are standing up for environmental issues, LGBTQ rights, immigration policies, sexual harassment, gun safety and climate action. As they come to the realization that ethics are as important as cost and quality, businesses are doing more than just leveraging issues to sell their products and services. They are engaging in brand...

As demonstrated by a slew of studies there are financial benefits associated with corporate sustainability performance. Recent research adds to the body of evidence linking ESG performance to a strong ROI. These are the findings of a new report that also shows that an increasing number of companies are integrating the UN's Sustainable Development Goals (SDGs) into their reporting paradigms. The fact that the Global Reporting Initiative (GRI) is the dominant platform makes sense given the fact that new GRI standards are compatible with SDGs. The report also indicates that an increasing number of companies reporting to the CDP, an organization...

Companies are increasingly departing from their traditional apolitical stances and the 2018 midterm election in the United States was no exception. While many companies encouraged their employees to vote, others extended this message to their partners and the general public. Some companies wore their social conscience on their sleeves while others actively endorsed environmentally concerned candidates. Many are disgusted with the president's hate speech and his penchant for sewing division. Some resist Trump because of his trade policies and specifically his tariffs which have been devastating in some sectors, while others decry his hard-line immigration policy or support for the...

In terms of climate change impacts women have the most to lose and in terms of engaging climate action they have the most to gain. Women are the sex most likely to suffer from the effects of climate change and they have been shown to be better environmental stewards than their male counterparts. Women are on the front lines of climate change and they are have made major contributions to both environmentalism and sustainability.  However, there is a vast potential that has yet to be fully unleashed. B U S I N E S S   &  E C O N...

Pundits warn that corporate leaders undermine their brand reputations by commenting on the conduct of Donald Trump. Despite these warnings some of the world's most successful corporations are opposing the commander and chief and rebuffing the leadership in Washington. With the nation teetering on the cusp of a constitutional crisis, CEOs have a vested interest in countering the malfeasance in Washington. This is not just a PR stunt, nor is this solely a matter of conscience. Some are motivated by genuine concern about the well-being of the republic. Waves of resignations from the CEOs of America's leading corporations forced Trump...

Governments around the world are supporting energy efficiency because it buoys economic development and drives innovation.. There is a strong business case for energy efficiency which is why it is at the leading edge of a tremendous opportunity.  According to the IEA, in 2016 global investments in energy efficiency grew by almost 10 percent to $231 billion. There is a powerfully persuasive argument in support of energy efficiency as it offers the dual benefits of decreasing costs and reducing climate change causing greenhouse gases (GHGs). The economic opportunities and savings associated with energy efficiency are considerable. Those who still need...

The Sustainability revolution is being driven by some truly innovative trends. Astute business leaders see social ills, environmental degradation and the climate crisis as both serious threats and opportunities. A growing number of organizations are adopting forward looking strategies as a competitive necessity. For public facing brands the pressure is even greater.  According to an EDF survey more than 80 percent of business leaders indicated that they believe consumers will increasingly hold companies accountable for their environmental impacts. A growing number of companies are seeing the value of doing good. As suggested by corporate actions last year there is every...

The IKEA Group has demonstrated its sustainability leadership by consistently increased its commitment including the realm of sustainable supply chain planning. In previous years they led the retail space with their investments in renewables and efficiency and in 2018 they addressed the elephant in the room by committing to make all of their 12,000 products from renewable and recyclable materials by 2030. In this article the focus in on IKEA's supply chains, reforestation and packaging. IKEA uses IWay, a code of conduct with precise environmental and social requirements for sourcing and distributing products. IKEA is investing more than $1.1 billion...