BMW Automotive and Climate Change

BMW automotive and climate change1
BMW AUTOMOTIVE AND CLIMATE CHANGE
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BMW automotive and climate change 2
BMW automotive and climate change
The BMW Corporation is the world’s exceptional manufacturer of luxury cars and motorbikes
and also provides first-rate fiscal and mobility services. Some of the automobile brands include
BMW, MINI, and Rolls-Royce and BMW Motorrad (Aeberhard et al. 2015). As an international
company, BMW Group operates in 31 different production and assembly points in 14 countries
and having a global sales network in over 140 countries. The success of the BMW Group has
always been based on long-term thinking and responsible action. The company has therefore
established ecological and social sustainability throughout the supply value chain,
comprehensive product responsibility and a clear commitment to conserving resources as an
integral part of its strategy. In this case, the company is redefining its business model in response
to the consequences of climatic change. In 2016, the BMW Group was voted as the most
sustainable automobile corporation industry in the globe by the Dons Jones Sustainability Index.
The group aims at reducing by 50 % of carbon dioxide emissions by 2020 (Pervaiz,
Panthapulakkal, Birat, Sain and Tjong 2016). To do so, the BMW is concentrating on four
critical regions of its enterprise supply chain. BMW’s 2020 vision includes sustainability as a
fundamental field of its four brands. In 2001, the BMW Group devoted itself to the UN
environmental program, the UN Global Compact and the cleaner production declaration
(Baccarella, Scheiner, Trefzger and Voigt 2014). In 1973, it became the pioneer in the
automobile business to have a conservational official. BMW is also a member of the World
Business Council for Sustainable Development. The company has steadily aimed at reducing the
asset consumption, lowering gas emissions to the environment and waste disposal mechanisms.
It has consistently embarked on reducing the ecological imprint in the field of energy use by
improving the energy output operations (Sukitsch, Engert and Baumgartner 2015). The

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company has also begun on getting 100 % electricity from renewable sources as its long term
goal. Like any company in the automobile industry, BMW has faced some challenges because of
the strict adherence to EURO norms set up to curb pollution of the environment in developing
countries (Baccarella et al. 2014). There is also a growing influence on consciousness about
international warming, gas emissions effect and exhaustion among clients. The company has
faced threats due to climatic changes as customers shift in tastes and preferences towards the use
of more eco-friendly automobiles, hybrid and fuel cell cars. Due to growing civic participation
and legal adherence, currently, there is strong determinations and transformed investments by the
industrialists in the automobile sector in the provision of resolutions to the carbon dioxide
minimization encounter. As contrasting to other ecological guidelines affecting the automotive
industry, this time, the solutions and approaches existing are more multifaceted and go far past
the simple query of which is the most appropriate locomotive technology (Ramita Verma 2013).
The automotive business is responsive to a legal network as well as its competitive setting and as
a result, it will depend on the nature of the comprehensive legislation. Environment protection
activists are agitating for more regulatory execution, new and stringent law, and the European
Union and individual countries are contemplating a variety of legal policies, like Carbon dioxide
emission limits or emission-based taxation. In response to the above, automakers underscore the
hostile impacts projected regulation might have and prefer technological advancements either
already accomplished or still on the way. More so, competitive battle lines between German,
French and Italian manufacturers are being drawn up as to which tactical path of action the
European Union should put across to control Carbon dioxide emissions. Given their convoy
structure, the Italians and French prefer a uniform tactic in line with a usual convoy limit,
whereas most German companies like BMW prefer a differentiated strategy, based for instance

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on mass or section of the vehicles and thereby request an unbiased involvement to the required
increase in fuel efficiency by all stakeholders (Krzywdzinski 2014).
There exist two fundamental approaches involving climatic change, mitigation and adaptation.
Mitigation involves various approaches taken to reduce GHGs emission and increasing
concentration of GHGs which are already emitted while adaptation suggests other important
methods aimed at protecting from harmful effects of climate change. According to IPCC (2007),
all societies have innate capabilities to deal with specific changes in climate, yet adaptive
methods are unevenly spread across the world (Rawlinson and Wells 2016). The new climate
discourse including mitigation and adaptation measures are planned and appraised tends to
emphasise environmental, economic and technical inputs and prices. These cultural dimensions
of climate change are not easily understood. As a result, new policy guidelines may not
adequately address the adverse effects associated with climate change nor do they take full
advantage of opportunities to achieve sustainable development goals (Allen, Kramadibrata,
Powell and Singh 2013).
Being aware that climatic change is one of the primary threats it is facing towards sustainable
growth, it has adopted a climate change policy which focuses on company-wide and attempts to
promote renewable energies; which are deemed desirable and within its reach to achieve the
worldwide low-carbon force generation model that reduces global environmental impact. It is
committed to nurturing sustainable usage of resources, the society of regard for the physical
situation and to running struggle against climate change towards reducing the environmental
effect on its activities and defending biodiversity by encouraging information and training on
sustainable culture. The company is addressing the situation on reducing carbon dioxide and
pollutant emissions to the environment to protect the climate and wind level. On the listing's