Environmental sustainability has become one of the most pressing issues in industry.

Sustainability is now at the forefront of many business discussions. As a result, many businesses are starting to "think green."

At least three factors drive this development:

  • Social pressures. Consumers and markets increasingly demand a sustainable approach. This is certainly true in European markets, taking hold in markets througout North America and even developing as a pivotal issue in emerging markets.
  • Regulatory pressures. There is increasing pressure from regulatory bodies to make businesses environmentally sustainable. Current laws and regulations will soon be supplemented by an array of comprehensive rules addressing how businesses impact the environment.
  • Financial pressures. Sustainability reforms can increase profitability by both cutting costs and creating revenue opportunities. Not paying attention to sustainability can put revenue at risk.


Pushed by regulators and consumers and desiring to maintain and increase profits, firms are discovering the significant competitive advantages to be gained from making their business more sustainable. For instance, as environmental concerns become the norm, those companies that are more sustainable can position themselves as market leaders. A firm's brand can be enhanced by its efforts to be responsible and environmentally friendly. Sustainability initiatives that seek to reduce energy use can result in significant savings. Sustainability is good for business.

Combined, these forces mean that companies are increasingly required to consider environmental sustainability. Moreover, companies who want to lead have a significant opportunity to do so now by undertaking sustainability initiatives that address immediate problems and provide solutions that create lasting value.

updated 9 months ago