I believe all of us, once or two times a day listen the word sustainability. But what is it actually? Is it just a new trend? Some fancy word? Or maybe it is a powerful factor which soon will lead our economy?
Let’s see it through together.
Sustainability means using resources in a way that meets the needs of the present without compromising the ability of future generations to meet their own needs.
The first example, that is possibly pops up in your head, of sustainability is using renewable energy sources like solar or wind power instead of relying solely on fossil fuels. Well, advertisement of use of solar panels is all over the media and one of most of common conversations, but why using fossil fuels is bad, the question came to your mind?
Well, primarily, because of the greenhouse gases they emit when burned. These gases, trap heat in the Earth’s atmosphere, which leading to number one environmental issue nowadays – global warming. Do you remember walking on the street and thinking: “wow, it is much too hot for this time of the year?” Well, yes, it is, and guess what, it is one of the minor examples a global warming and climate change.
If you still believe that global warming is a trendy chatter, here are couple facts from UN environment program:
- 2023 is confirmed as the warmest calendar year in global temperature data records going back to 1850 (ECMWF, 2024)
- 30% of the world’s population is exposed to deadly heat waves more than 20 days a year. (Cooling and Climate Change fact sheet, UNEP)
- In 2023 total greenhouse gas emissions, including land-use change, reached a new high of 59.9 gigatonnes of carbon dioxide equivalent (GtCO2e). (WEM, 2023)
In addition to the global warming issue, extracting and burning fossil fuels can cause environmental damage through processes like mining, drilling, and fracking. These activities can disrupt ecosystems, destroy habitats, and pollute air and water resources. The list can go on and on.
So, we already see that use of sustainable energy is important for our healthy life. But how using sustainable business approaches can stimulate greater economic activity?
Well, use of sustainable business approaches can stimulate greater economic activity in many ways:
Cost Savings
Choosing sustainable practices lead to savings in a long term. Investing in energy-efficient technologies, for example, in solar pannels, what we discussed above, can reduce utility bills. Implemeting waste reduction measures, speaking about recycling, can reduce disposal costs. These savings can be used to open new departments, hiring additional personnel, or investing in new business idea. All this lead to Innovation and Market Differentiation.
Innovation and Market Differentiation
Switching to sustainability encourages product innovation. Companies have to come up with the new production and materials, such as using recycled materials, developing eco-friendly packaging. In turn, product inovation will need to reasesses the proccess used and here we have process innovation. This is a whole new market which is developing and growing and leading us to market differentioations.
Access to New Markets and Investments
Sustainable practices lead to the development of new technologies. For example, renewable energy have led to innovations in energy storage and distribution. Businesses that adopt sustainable practices can take advantage of government incentives, subsidies, and tax breaks aimed at sustainability This, in turn, ca create new market opportunities by making sustainable products more affordable and accessible to consumers.
Sustainable practices are still a new industry for the business, so they often require collaboration. Companies that form partnerships with suppliers, competitors, and other stakeholders to address sustainability challenges can access new markets by offering integrated solutions. These will also help to grow the brand image. Beacause what unites businesses more than a common challenge?
Enhanced Brand Reputation
Did you notice shopping bags, which carrying a message: “recycle,me!” or a dress having a sustainable material in the description? Well, yes, this is an example of brands, who switched to the sustainable methods and are keen to show it.
Caring about environment is caring about people – about existing and potential clients. And what can be more attractive than a brand that cares about us? Businesses that chose to enhance sustainability are much more likely to set up trust and boost its credibility and hence increase sales.
Looking forward, we can truly say that sustainability is life-important for us and our planet. By using sustainable business approaches, a.k.a environmentally friendly, we expand our ways to do business, creating new markets, finding new partnerships, developing technologies, earning more and take care of our planet at the same time. Sounds great, isn’t it?
But let’s remember that it’s all about finding balance between economic, social, and environmental factors to ensure a better, healthier future for all of us.
What are your thoughts? How can we introduce to our life sustainability? Is it difficult? And what are the main reasons which are preventing us from sustainable life?
