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Who’s Behind the Green Wave?




         Dave Augusto
         Mike Gautier
         Dr. Bresnock
          Econ 441
• Who’s Demanding that Companies Explain and Justify how They
  Treat the Environment?

   – Rulemakers and Watchdogs
       • Government regulators and environmental groups.
   – Idea Generators and Opinion Leaders
       • Think tanks and academics.
   – Business Partners and Competitors
       • As well suppliers and business to business customers.
   – Consumers and Community
       • Including local officials and the general public.
   – Investors and Risk Assessors
       • Such as stock market analysts and bankers.
1.   Non Governmental Organizations (NGOs).
2.   Government and Regulators.
3.   Politicians.
4.   The Plaintiffs Bar.
• Examples of NGOs include:
  – Environmental Defense, World Wildlife Fund,
    Sierra Club, Green Peace, National Wildlife
    Federation, Natural Resources Defense Council,
    Friends of the Earth, Conservation International.
• How Do They Interact With
  Businesses?

   – Can utilize confrontational
     techniques.
      • EX: Shell and Green Peace


   – Can form partnerships with
     businesses.
      • EX: McDonalds and
        Environmental Defense.
• Operates on a Vertical scale- city, county,
  state, federal, international.

  – Regional legislation can have wide reaching
    effects.

  – It makes no sense to produce things one way for a
    particular region, and differently everywhere else.
• Setting Performance Standards:

  – Utilizes economic incentives to curb behavior of
    polluting firms.

  – More flexible than governmental command and
    control mandates.
“One of the biggest
environmental
dangers every
company faces is the
risk of being sued for
pollution or ecological
harm.”
1. Media.
2. Think Tanks and
   Research
   Centers.
3. Academia.
“Do nothing
that might
embarrass
you.”
• Have provided many of the ideas that have framed public
  policy agenda and shaped the political debate.

• Resources for the Future led charge to shift command and
  control regulation to market based incentives.
• Creating links with universities gives firms another
  place to turn to for new ideas and perspectives.

• Can be used to promote agenda.
   – The Koch brothers have donated millions to
     various universities in exchange for being able to
     select professors and approve publications.*

   *Fang, Lee. “Koch Fueling Far Right Academic Centers at Universities Across Country.”ThinkProgress. 11 May 2011. Web 04
   April 2013
Greening the Supply Chain
• Industry Associations

• Proactively managing relationships for a
  strategic advantage

• Membership Requirements: 3rd party
  certification of Responsible Care practices
• Competitors React

• Star-Kist’s market

• GAP’s groundbreaking Corporate Social
  Responsibility report
Consumers of business solutions and products asking others to
                  join in green movement.
CEO / Peers exchanging stories:
No CEO wants to be the one creating environmental messes.
Lifestyles of Health and Sustainability (LOHAS)

Ex: Restaurants offering menu items that are certified Organic
Gap Clothing eliminating improper human conditions: Sweatshops

Alcan Canadian Aluminum: engaging the local community and NGOs
before, during, and after opening or expanding operations
Employees   Shareholders
Insurers   Banks and Capital Markets
The Eco-Advantage Playbook

WAVERIDERS
Costs   Risks
Revenues   Intangible Brand Value
Chapter 3

THE END

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Green Wave Chapter 3

  • 1. Who’s Behind the Green Wave? Dave Augusto Mike Gautier Dr. Bresnock Econ 441
  • 2. • Who’s Demanding that Companies Explain and Justify how They Treat the Environment? – Rulemakers and Watchdogs • Government regulators and environmental groups. – Idea Generators and Opinion Leaders • Think tanks and academics. – Business Partners and Competitors • As well suppliers and business to business customers. – Consumers and Community • Including local officials and the general public. – Investors and Risk Assessors • Such as stock market analysts and bankers.
  • 3. 1. Non Governmental Organizations (NGOs). 2. Government and Regulators. 3. Politicians. 4. The Plaintiffs Bar.
  • 4. • Examples of NGOs include: – Environmental Defense, World Wildlife Fund, Sierra Club, Green Peace, National Wildlife Federation, Natural Resources Defense Council, Friends of the Earth, Conservation International.
  • 5. • How Do They Interact With Businesses? – Can utilize confrontational techniques. • EX: Shell and Green Peace – Can form partnerships with businesses. • EX: McDonalds and Environmental Defense.
  • 6. • Operates on a Vertical scale- city, county, state, federal, international. – Regional legislation can have wide reaching effects. – It makes no sense to produce things one way for a particular region, and differently everywhere else.
  • 7. • Setting Performance Standards: – Utilizes economic incentives to curb behavior of polluting firms. – More flexible than governmental command and control mandates.
  • 8.
  • 9. “One of the biggest environmental dangers every company faces is the risk of being sued for pollution or ecological harm.”
  • 10. 1. Media. 2. Think Tanks and Research Centers. 3. Academia.
  • 12. • Have provided many of the ideas that have framed public policy agenda and shaped the political debate. • Resources for the Future led charge to shift command and control regulation to market based incentives.
  • 13. • Creating links with universities gives firms another place to turn to for new ideas and perspectives. • Can be used to promote agenda. – The Koch brothers have donated millions to various universities in exchange for being able to select professors and approve publications.* *Fang, Lee. “Koch Fueling Far Right Academic Centers at Universities Across Country.”ThinkProgress. 11 May 2011. Web 04 April 2013
  • 15. • Industry Associations • Proactively managing relationships for a strategic advantage • Membership Requirements: 3rd party certification of Responsible Care practices
  • 16. • Competitors React • Star-Kist’s market • GAP’s groundbreaking Corporate Social Responsibility report
  • 17.
  • 18. Consumers of business solutions and products asking others to join in green movement.
  • 19. CEO / Peers exchanging stories: No CEO wants to be the one creating environmental messes.
  • 20. Lifestyles of Health and Sustainability (LOHAS) Ex: Restaurants offering menu items that are certified Organic
  • 21. Gap Clothing eliminating improper human conditions: Sweatshops Alcan Canadian Aluminum: engaging the local community and NGOs before, during, and after opening or expanding operations
  • 22. Employees Shareholders
  • 23. Insurers Banks and Capital Markets
  • 25. Costs Risks
  • 26. Revenues Intangible Brand Value

Editor's Notes

  1. http://www.c2es.org/us-states-regions/policy-maps/vehicle-ghg-standards
  2. Batteries
  3. Batteries
  4. Kivalina
  5. Example: Restaurants offering menu items that are certified Organic
  6. Chiquita