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Crafting a Green Business Strategy

Going green seems to be the industry buzz word these days. Everyday I get many emails announcing the launch of eco-friendly, ethical, green websites and services. Clearly, green seems to be selling. Businesses are trying to cash in on this phenomenon. Not the Arena Flowers is lagging in terms of being green. From the beginning we have shaped a green, ethical outlook to our business. We are trying to differentiate our USP by being a green florist. However, there are still many areas where we could improve and we are working on this.

In the recent years, a company’s environmental emphasis has become one of the most important issues. Businesses across various sectors have discovered that a certain section of consumers will buy products, or avoid their purchase, based on the firm’s environmental performance. These consumers are more ethically aware and reach out to seek information on how a business responds to their environmental concerns. As this segment of environmentally aware, green consumers amplify in numbers, a green strategy beyond doubt becomes the way forward for businesses. Government legislation, reaction to competition and other dynamics within the industry is also driving organistions to etch a green commitment.

Businesses are being constantly monitored for their environmental performance by their stakeholders, more so in the flowers business as the industry has invited severe criticism for sourcing air freighted flowers from third world countries. Air freighted flowers in refrigerated units spells a heightened environmental concern due to the high level of CO2 emissions involved in the process. Also, the exploitation of workers in third world countries is another cause of worry although this seems to have been mitigated in the recent years through the presence of organisations such as Fair Trade which monitors the human as well as environmental concerns. However, there is a perennial debate about the ethical benefits of fair trade affiliation as a majority of producers governed by the Fair Trade code of conduct tend to be larger organisations relying on cheap labour.

Also, despite the popularity of green initiatives and a willingness by a section of environmentally motivated consumers to pay a premium for green products, such strategies might not yield the desired results yet. There is still a higher proportion of demographics which inspite of showing an ethical commitment, might place their self interests above the environment. After all, the fundamental principle businesses thrive on is to address consumer needs by creating a valued offering. There are a variety of aspects which could create these valued offerings and going green is one of them. Under these circumstances, it becomes comfusing to pursue a line of green strategy which is beneficial to organisations as well as the stakeholders and the environment.

There are many reasons for a business to think green. The external business environment in which a business operates in offers plenty of leads to begin with. The big retailers in the UK are a good example. Taking cue from each other, all big retailers are treading the green path. Waitrose, Marks and Spencer, Tesco, Asda etc have all adapted green initiatives. A good green marketing strategy could form the basis of a competitive advantage. Also, a business seeking to leverage a competitive advantage through a green strategy should be confident that such a strategy could be ingrained into the ethos of the company. Also, there are plenty of hurdles if a business adapts a green. I guess green businesses are subject to closer scrutiny by the public and media and the shortcomings are easily picked.

At Arena Flowers, we have realised that by being transparent with regard to our environmental policies including our production, packaging and disposal, we seem to evoke a higher interest among our customers, while we have strong foundations to contribute towards a clean and green environment. We believe that if given access to the right information, customers often make the right choice. For this reason, from the very beginning we have placed a special weight on how we respond to the environment.

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