Thursday 24 July 2014

Environmental Complacency

It seems to me that many businesses (probably taking their lead from government) have let their environmental commitments slip.

The argument appears to be that ethics and values are a factor but not a determining factor in how consumers choose where to spend their money. Therefore, businesses feel that spending money to do the right thing morally isn't going to increase sales at a time when most sectors are fighting for market share.

But this misses the point about negative publicity.

The Co-operative Bank know how it feels to suddenly be thought of as unethical. The fear that being owned by an American hedge fund made its customers think about where they wanted to put their money leading to a huge survey of customers about its ethics.

Tesco know all about negative publicity as a result of an unchecked supply chain.

Apple felt the consequences of decidng to withdraw a laptop from an environmental accreditation scheme.

The point is that consumers are prepared to believe that their favourite brands are doing the right thing but if they find out that they aren't, that's when they show their disapproval by shopping elsewhere.

Ask not whether ethical and sustainable working is creating sales, but ask whether non-ethical and non-sustainable working could damage your brand.




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