Author Question: There has been an increased interest in sustainability among profit-oriented companies. Give some ... (Read 59 times)

Collmarie · **on:** Jun 28, 2018

There has been an increased interest in sustainability among profit-oriented companies. Give some examples of companies that have introduced green practices and actually lowered costs.

Question 2

Higher prices set lower expectations.
a. True
b. False
Indicate whether the statement is true or false

memslove · **Reply #1 on:** Jun 28, 2018

Answer to Question 1

There are many opportunities to be green and be able to lower cost. This is especially true if a broader perspective rather than just recycling and disposal is taken. For example, several years ago, P&G and Walmart decided to reduce the size of the plastic bottles used for liquid detergent by reducing the water content of the liquid to make it more concentrated. There was some customer resistance at first because it appeared that the same price was being charged for less product. However, P&G was able to convince customers that they would achieve the same results with about 50 percent less of the liquid detergent. Once the customers accepted this concept, the impact was dramatic. Transportation costs were reduced by lower weight and volume, that is, weight-density was improved, resulting in lower rates. Packaging costs and warehousing costs were lowered with the smaller container size. Store productivity improved with less required shelf space and easier handling. Another example is Supervalu, a large grocery retail and wholesale company, and Wegmans, a large regional grocery chain. They saved thousands of dollars annually by putting more items in each bag or even avoiding using a bag in some cases. This was a simple cost-saving strategy with a positive sustainability impact.

Answer to Question 2

False