Business Sustainability: Examples of Private Companies' Role

This essay delves into the critical concept of business sustainability, emphasizing the interconnectedness of economic, social, and environmental factors for long-term success. It highlights the pivotal role of private companies in driving sustainable practices, using case studies such as the New Zealand wine industry, Procter & Gamble (P&G), and Amazon. The essay analyzes the sustainable initiatives of the wine industry, showcasing its commitment to environmental responsibility. It examines P&G's comprehensive approach to sustainability, including product development, social programs, and environmental conservation efforts. Conversely, it critiques Amazon's shortcomings in sustainability, particularly concerning labor practices, while acknowledging its environmental strides. The essay underscores the importance of leadership and corporate social responsibility in fostering sustainable business models. It concludes by advocating for a balanced approach where companies prioritize not only profits but also the well-being of their employees, customers, and the environment, thus ensuring long-term viability and positive societal impact. This essay is a valuable resource for students seeking to understand the complexities of business sustainability and its practical implications.

Running head: BUSINESS SUSTAINABILITY
Business sustainability
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Sustainability is a fundamental idea that is related with the continuity of monetary, social,
institutional and natural parts of human culture. It is proposed to be a method for arranging
progress and human movement with the goal that society, its individuals and its economies can
address their issues and express their most noteworthy potential in the present, while protecting
biodiversity and regular biological communities, and arranging and representing the capacity to
keep up these standards in a long term. Sustainability influences each level of association, from
the nearby neighborhood to the whole planet. Sustainability is a dream for the world in which
present and future people are healthy; groups and countries are secure, peaceful and flourishing;
there is economic opportunity for all; and the trustworthiness of the life-supporting biosphere is
reestablished and managed at a level to make these objectives conceivable. Every one of the four
measurements of sustainability must be considered to accomplish this vision. A few examples
such as wine industry in New Zealand, Toyota, P&G, Hyundai and Amazon have been taken in
this essay to understand the role and importance of private companies in sustainability.
Sustainability has been observed to be an important factor in the success of wine
companies in New Zealand. The New Zealand’s wine industry has been chosen in order to
understand the role and importance of private companies in sustainability. The wine industry in
New Zealand has taken several measures to implement sustainability in its operations that has
benefitted the entire country. The New Zealand wine industry aims at becoming the world’s first
100 percent sustainable industry. Sustainable Winegrowers New Zealand (SWNZ) was
introduced in 1995 as a voluntary initiative to design an environmentally friendly model for
wineries and vineyards. This program now includes approximately 95% of vineyard that
produces more than 90% of New Zealand’s wine (Roy, 2015). All the vineyard areas in New
Zealand function under the some certified organic program. SWNZ has proper database and a

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combination of management tools that help in identifying the main production issues and aids the
growers to develop a proper environmental management system (Roy, 2015).
The wine producers in New Zealand believe in sustainability and produce wine
accordingly. One such example is Rippon Wines that produces organic wine. Rippon follows the
principle of biodynamic and renders the wines receptive to the environment. Another example is
the sustainable practices of Pernod Ricard. The company uses sustainable methods of irrigation
and monitors pests in the vineyards in New Zealand (Zahraie et al., 2016). The company has
been successful in maintaining the quality even after reducing the utilization of water and the
amount spent on chemicals and other resources. The chemical sprays used in the vineyards were
replaced by biological pests that helped in improving the quality of the soil. Plantation of native
flora helped the company in making itself environmentally healthier. Yealands, New Zealand’s
largest private winery has also used green technology for producing wine. The company uses
grazing sheep rather than tractors to manage the weeds and grass. The company has also
developed several wetlands to preserve native species. The company uses renewable sources of
energy in its production process (Dodds et al., 2013). All these practices have made the wine
industry environmentally, socially and economically sustainable.
According to Slawinski & Bansal (2015), the ideas of sustainability and corporate social
responsibility [CSR] have been among the most essential topics to rise at the worldwide level in
the most recent decade. Sustainability and CSR are viewed as serious ideas, since both think
about ecological, social and financial measurements and both allude to a long- haul point of view
of addressing the requirements of the present with obligation and without trading off the capacity
of future eras to address own issues. In light of this, private companies need to concentrate not

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just upon sales, profits and diminished expenses, yet in addition upon the sustainable
advancement of the business itself and the environment.
P&G is an American consumer goods company that produces several personal care,
hygienic and cleaning products ("Home", 2017). P&G has been chosen as the company has taken
several steps in achieving sustainability and with the example of P&G, the importance of private
companies in achieving sustainability can be understood in a better manner. P&G has done a lot
in the field of sustainability which the governments of several nations have not been able to do.
The CSR activities of P&G have helped in the development of society and conservation of nature
in several countries. The company aims at providing products that meet the expectations of its
customers. The company has emphasized much upon sustainability and has taken steps in
reducing the harmful impacts of its production process and final products on the environment to
improve the environment and to develop a sustainable business (Wagner & Svensson, 2014). The
company has come up with several sustainable products such as bio- based detergents and
various others. The company has initiated Children’s Safe Drinking Water Programs to ensure
that the children get safe drinking water to consume. The company has entered into an agreement
for setting up a biomass plant and wind mill for generating renewable energy. The company has
taken active part in empowering women and girls all over the world. The company makes profits
but also spends a part of its profits in the development of the society. The company has also laid
emphasis upon conservation of water and product packaging. The company has also reduced the
usage of plastics. P&G has been one of the most sustainable companies of the world (Taib et al.,
2015).
The company has been working for the society by initiating programs that encourage
healthy behaviors and reduce the rate of illness. This has been done with the help of several

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hygienic products such as hand wash, toothpastes and many others. The company has also been
helping the society in case of any natural disasters by providing the necessary products and
services in the affected areas. The company has also put efforts in providing safe and decent
places for the people to live by sponsoring home builds throughout the world. The company has
also worked in association with UNICEF for vaccinating women and children ("Home", 2017).
The policies of the company promote sustainability by providing transparency in its operations,
refraining from animal testing, ensuring human rights and ensuring the ethical standards in its
day- to- day functioning. P&G has always worked for the betterment of the employees,
customers, shareholders and the society. The company has enhanced diversity within its human
resources and employs people from different backgrounds and experiences. The company has
also made commendable contribution to the education of children. Therefore, the company has
been economically, socially and environmentally sustainable (Valente, 2015).
On the other hand, Gao & Bansal (2013) stated that an increasing number of
organizations worldwide have genuinely endeavored to incorporate sustainability into their
business activities. Be that as it may, most private firms have kept the topic of sustainability
separate from contemplations of business technique and operations that are frequently focused
upon financial benefits, and more research is expected to advance theoretical and practical
progress in that administration field. Associations are progressively required to consider benefits
to society and the environment from their business activities, not only to satisfy the needs of the
buyers, workers and different partners yet additionally to identify opportunities for obtaining
competitive advantage.
Amazon is a multinational online retail organization established by Jeff Bezos. Amazon
was established as an online book shop, however today offers most things one can consider, from

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earphones, to cleaning supplies, PCs to food products ("Amazon Global: International shipping
made easy", 2017). Amazon has been chosen as the company has failed in achieving
sustainability while emphasizing more upon financial benefits and with the example of Amazon,
the importance of sustainability can be better understood. Amazon is available in almost all the
nations in the world and the CSR activities of the company have helped in the upliftment of the
society as well as in the preservation of the biodiversity in several countries. Today, Amazon is
the biggest online retailer with no single huge contender, apart from Ebay and as of late Alibaba.
Not only does Amazon compete with a single retailer but also Amazon contends with every one
of them, including Walmart, Macy's and Barnes and Noble. The sheer assortment of things that
Amazon offers, makes them uncommonly prominent with shoppers. Beyond question, they are a
standout amongst the best retailers on the planet. Despite the fact that Amazon has been effective
in the retail business, they have insufficiencies in manageability. As far as individuals, Amazon
has been blamed for sketchy social duty as to the treatment of its employees (Smith, 2016).
Amazon has been broadly condemned in the manner they treat their workers. Amazon
has been reprimanded on the working conditions in more than 40 of its offices, and has come to
the heart of the matter where the US supreme court has been involved. Amazon believes in great
client administration, and it also believes that more joyful workers would give better
administration ("Amazon Global: International shipping made easy", 2017). In spite of that, both
client benefit representatives and distribution center workers are liable to flawed treatment. Poor
treatment of client benefit staff has justifiably made them the objective of guilds. Several
employees at Amazon have complained of extended periods of time, crummy pay, and hourly
shares of client messages they should react to (Milne & Gray, 2013). At the point when this
occurred in 2000, Amazon reacted rapidly, as most huge organizations do not care for worker's

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unions. Unionized laborers frequently pushed for expanded pay, rank based cutbacks and
sometimes strike, everything conceivably expensive to the organization. This has inspired
Amazon to smother worker's organizations, which it has done effectively since the organization
was begun 1994. Amazon’s warehouse staff have likewise had their offer of issues. Warehouse
specialists are unique in relation to client benefit agents in that their employment cannot be
outsourced. Any issues happening in a warehouse should be managed locally at some point or
another. One of the principle issues distribution center specialists have with Amazon is that they
are undercompensated when contrasted with others ("Amazon Global: International shipping
made easy", 2017).
Amazon considers client benefit important. Amazon has driven the online business in
client benefit from the earliest starting point. Terrible online client encounters demoralize
potential repeat buyers. Amazon ensures each order, offers timely conveyance, alongside
convenient discounts or substitutions if necessary. Great client encounters assembles the trust
that brings clients back. Amazon trusts that its capacity to set up and keep up long haul
associations with clients and to empower rehash visits and buys relies upon the quality of client
benefit operations. Amazon has a firm handle on its client benefit quality and its significance to
the business overall (Carayannis, Sindakis & Walter, 2015). The company has emphasized much
upon environmental sustainability as it believes that sustainability is not just good for the
environment but it is also good for the customers. Amazon has decided to host solar energy
systems at 50 fulfillment network buildings by 2020. Amazon has also set up its windmills that
generate huge amount of renewable energy. Amazon has also been one of the largest buyers of
renewable energy ("Amazon Global: International shipping made easy", 2017).

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Dyllick & Muff (2016) have found that there has been a shift in recent times towards a
greater role for the social element of sustainability as the topic has gained popularity and
customers nowadays want to be associated with those companies who contribute to the
development of society and the environment. Leadership has been perceived as an imperative
factor in advancing the contribution of associations in driving social responsibilities. A few
researchers have examined the part played by leaders in the change process, calling attention to
the tendency for green practices to occur when leaders develop in their workers a sense of duty
regarding becoming a socially responsible organization. To put it plainly, leadership seems to
assume a vital part in the corporate reception of sustainability practices.
Hyundai is a multinational conglomerate that is involved in heavy industry, finance and
insurance, construction, engineering, retail, aerospace, defense, steel and automobiles
manufacturing. Hyundai has been chosen as the company has taken several measures for the
betterment of the environment and the society that has not only increased the organizational
profits but has also helped the company in achieving sustainable development. The leaders and
management of the company has played an important role in the sustainable development of the
company. The company has efficiently used sustainability in its operations and along with its
CSR activities, the company has been able to help the society in several ways. The company
believes in adapting the changes according to the trends in the market and working towards
enhancing the value for the stakeholders and the customers. Hyundai Motor Company is devoted
to conveying goals of the social orders to reality in light of 'boundless awareness of
responsibilities, 'regard for humankind' and 'acknowledgment of conceivable outcomes'— the
foundations of Hyundai’s administration ("Main", 2017). As far as vision, Hyundai expects to
end up plainly as a 'Lifetime accomplice in cars' by delivering not only methods for

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transportation but rather vehicles of ideal portability that make individuals' lives more
advantageous and wonderful. The company aims at probably accomplishing 'zero human loss'
through improvement of smart profoundly safe vehicle innovations (Crane & Matten, 2016). The
Genesis G90 presented in 2015 as the first of the extravagance mark Genesis typifying 'Human-
focused Innovation', elements such security and comfort centered advancements for the two
drivers and people on foot ("Main", 2017). The R&D center of the company remains human-
focused, solidly settled on creating Advanced Driver Assistance System (ADAS) and other
inventive advances that add to the wellbeing and accommodation of clients.
In leading social responsibilities, the company is working at making shared esteem past
the domain of financial exercises to address social issues through an assortment of projects,
including startup bolster programs, propelled at home and abroad, which have added to
diminishing joblessness among more youthful eras and also to making the vehicle business of
individual nations more focused ("Main", 2017). Additionally, presented are exercises showing
Hyundai's mechanical forces and sense of duty regarding its social obligation, for example, a
recreational fascination, a wellbeing program and an innovation, all to convey satisfaction and
bliss to clients and group individuals (Neubauer & Lank, 2016). One such example is a children
racetrack, called the 'Cha - Car-Cha-Car Playground', where even sight-debilitated youngsters
can encounter driving ("Main", 2017). Yet another example is the Medicinal services Project for
Taxi Drivers and wearable apply robotics for strolling help. Abroad are the company’s social
exercises as broad as its worldwide presence, concentrating on wellbeing, innovation, education
and social issues.
The company bolsters youngsters' tumor research and treatment through the Hyundai
Hope on Wheels program. The company gives answers for youth joblessness issues through the

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Skills for the Future. The company also enables farmers to accomplish financial freedom through
its Dream Village Project. In the ecological angle, the company is gaining success in limiting
natural effects of cars by enhancing the effectiveness of the power train and creating electric
vehicles ("Main", 2017). Specifically, in 2016 the company has built up the world's initially
committed vehicle stage that supports three unmistakable power train frameworks—electric,
hybrid and plug- in by effectively propelling an IONIQ line-up.
Toyota is a Japanese multinational automotive company founded in the year 1937. The
company is involved in the manufacturing of automobiles, commercial vehicles, engines and
luxury vehicles. Toyota has emphasized upon environment and has considered it as a priority
issue that requires management ("TOYOTA MOTOR CORPORATION GLOBAL WEBSITE",
2017). The example of Toyota has been taken in order to understand the importance of private
companies in business sustainability. Toyota has been able to contribute in the development of
the society and economy of several nations to an extent that would have been impossible for the
government. The company has promoted environmental management all over the world and has
given equal importance to customers, employees, suppliers, shareholders and other stakeholders.
The company aims at zero environmental impact and wants to achieve an overall positive
impact. The company aims at manufacturing vehicles that emit zero carbon dioxide. The
company also aims at zero carbon dioxide emissions in the entire process of production. The
company aims at developing low carbon dioxide strategies and using hydrogen energy. The
company also aims at reducing the wastage of water by ensuring optimum utilization of water.
The company has also been involved in several environmental conservation programs. The
company has been actively planting trees in several regions and has promoted the importance of

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maintaining harmony between humans and the nature ("TOYOTA MOTOR CORPORATION
GLOBAL WEBSITE", 2017).
The company has worked for the improvement of the society by taking initiative for
enhancing the traffic safety. The company has been actively learning from the accidents and has
incorporated that knowledge for developing safer vehicles. The company believes that customer
satisfaction is the ultimate objective of the company, which can be achieved only by offering
quality products and services. The company has associated itself with several activities that
enrich the lifestyles of the people such as biotechnology, afforestation, robotics and others.
Toyota respects human rights and gives equal importance to the rights of the people from every
part of the world (Loorbach & Wijsman, 2013). The company has also taken several initiatives
for ensuring a happy workplace, health and safety of the workforce, human resource
development and many others. The company has involved its stakeholders in its stakeholder-
oriented management and aims at maintaining strong relationships with the stakeholders by using
open and fair communication ("TOYOTA MOTOR CORPORATION GLOBAL WEBSITE",
2017).
The private companies play a vital role in sustainability and are most of them have
emphasized upon sustainable development of their businesses. The private companies have
initiated several CSR activities that have not only helped the companies to improve the
environment, society and the overall economy of the nations. Above were the few examples of
the international organizations”shift in pattern of maintaining the social elements in sustainable
business. These huge business organizations can do what the government cannot. These
companies are powerful and have good profits and brand reputation which they can use for
encouraging and spreading sustainable ways of business in terms of Social, Economic and

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Environment parameters. Also, it is a buyer, customer and stake holder driven factor that the
companies should focus on sustainability development and incorporate it in their policies. To
have a secular business environment the private sectors have shifted to the new paradigm and
plays a greater role in sustainability development. The private companies have initiated several
CSR activities that have helped the companies to improve the environment, society and the
overall economy of the nations.

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