Green businesses adopt principles, policies and practices that improve the quality of life for their customer, employees, communities and the planet
It is nothing but business functioning in a capacity where no negative impact is made on the local or global environment, the community or the economy. It also engage in forward-thinking policies for environmental concerns and policies affecting human rights.
Features of Green Business:
Socially and environmentally responsible
They challenge themselves to bring the goals of social and economic justice, environmental sustainability as well as community health and development into all of their activities - from production and supply chain management to employee relations and customer service.
Care for their workers
Green businesses ensure they don’t use sweatshop or child labour. Everyone who works directly for them or their suppliers earns a living wage and works in healthy conditions. They create jobs that empower workers and honour their humanity. Protect their customers and clients
Green businesses ensure that they use the safest ingredients, to keep their customers and clients and their families healthy. And they reduce, reuse and recycle, setting a good example.
They also provide green living alternatives to improve quality of life, with products and services that help in areas like affordable housing, sustainable agriculture, education, clean energy and efficiency, fair trade, healthy air, clean water and more.
Key Issues affecting Growth of Green Business
Most enterprises have limited inderstanding or ownership of the green journey. They do not recognise that they are missing out on opportunities of using green as a vehicle for competitive advantages. Quite often, green initiatives are perceived as ‘costly’ and not remunerative.
That is the flaw. There is still a great focus in business leaders on short term and quick returns across sectors. Most green tech concepts have payback period where significant benefit flow over the life of the project. Yet another mind set is the belief amongst many in industry that only large organisations have the readiness and relevance for green initiatives. The reality is that green is for everybody, suitably tailored. Frankly, large organisations can never claim to be truly green if their key vendors are not conforming.
The younger generation in every business is a lot more sensitive to environmental impacts and is therefore, challenging the traditional ways of doing business. Hence, these leaders of tomorrow will drive green business with greater intensity and tenacity. Companies are focusing on green innovations, for instance Hindustan Unilever (HUL) has developed a shampoo which needs minimum water and are in the market with detergent which requires hugely less quantity of water. Indians are realising the importance of green business. India had one Green building in 2004 and 10years later, today, India is the second country in the world with largest green building footprint.
- Public Relations: Companies can gain the favour of like-minded consumers.
- Raising Demand: consumers are demanding more green products and services.
- Cost Saving: Helps reduce energy consumption which results in reducing their costs in the form of lower energy bills.
- Tax Credits: Tax credits are available to companies which switch to renewable energy sources like solar power and using electric or hybrid automobiles.