Benefits of Being a Green Company with Grow-Trees

Benefits for a Green Company

According to Gallup's 2019 Environment Survey(conducted March 1-10 in the U.S.), 65% i.e, two-thirds of Americans now prioritize environmental harmony and protection over economic growth. Eight in ten Democrats (80%) and 71% of independents believe that economic prosperity cannot come at the cost of environmental degradation. This marks the widest pro-environment margin in America since 2000.

A recent study by Bain & Co shows that 70% of under-35s polled were willing to pay more for sustainable products, while 65% wanted to preserve the environment and 55% were worried about climate change (FT Weekend, September 22/23, 2018).
For new customers, “health and sustainability are also very important, as well as issues of the environment and waste,” said Mr. Gildo Zegna, CEO of Ermenegildo Zegna (FT Weekend, September 22/23, 2018).

A study titled “The Value of Green: The Effect of Environmental Rankings on Market Cap” by N. Blumenshine of Middlebury College concluded that “companies with high environmental rankings have higher market cap values than comparable companies with lower rankings.”
The 2011 Carbon Disclosure Project report, prepared for 551 signatory institutional investors representing $71 trillion in assets, shows that the majority of U.S. companies are taking climate change action despite the absence of mandatory rules.
Nielsen, the market research firm, found that 68% of consumers in Australia are willing to pay more for products from companies that support worthy environmental causes.
According to an Ipsos MORI survey, 80% (and 81% in the U.S.) of respondents across 15 developed nations said they would prefer working for a company with a good reputation for environmental responsibility.
A poll on green employment by MonsterTRAK.com, a job website, found that 92% of respondents would be more inclined to work for a company that is environmentally friendly.
Cassandra Walsh, an HR coordinator at an IT company, and Adam Sulkowski, an assistant professor, analyzed 113 companies from the S&P 250 and concluded that “employees are more likely to be satisfied with their jobs if they work for a company that’s perceived to be environmentally friendly.” The researchers found that a firm’s financial performance had no correlation with employee happiness levels.
HSBC, which employs more than 300,000 staff worldwide, has been running a climate champion program since 2007. When HSBC staff were asked how they felt about working at the bank, the highest-scoring item was the company’s sustainability work (Financial Times, March 21, 2011).
“Although it is hard to measure, such (green) moves appear, at least anecdotally, to have a positive effect on staff morale, and on recruitment and retention,” wrote Joseph Milton (Financial Times, March 21, 2011).
Mr. Arnott at Accenture says losing a staff member costs between 0.8 and 1.8 times the employee’s salary, so improving retention saves money (Financial Times, March 21, 2011).
According to a UN Global Compact–Accenture study, 72% of CEOs cite brand, trust, and reputation as one of the top three factors driving them to take action on sustainability issues.
The Annual Sustainability Executive Survey (2012) — a poll of nearly 50 companies, 80% of which have revenues of $1 billion or more — found that 88% plan to invest significantly in employee engagement through sustainability initiatives.
BCG’s Global Green Consumer Survey of 9,000 adults in nine countries found that 73% of consumers consider it important or very important that companies have a strong environmental track record. Participants across regions agreed that being “green” involves activities that have a direct and positive impact on the environment.
An IBM survey found that two-thirds of executives view sustainability as a revenue driver, and half of them expect green initiatives to provide a competitive advantage (Harvard Business Review, “Growing Green” by Gregory Unruh and Richard Ettenson).
Gallup’s surveys suggest that Indians are more concerned about their environment than people in wealthier countries (The Economist, December 17–30, 2011).
People are more devoted to purpose-led brands that make a positive contribution to society (Harvard Business Review, Jan–Feb 2021, Mediating Factors: How Sustainability Improves Performance – Customer Loyalty, by Tensie Whelan and Elyse Douglas).
In a Society for Human Resource Management survey conducted with the consultancies Aurosoorya and Business for Social Responsibility, 55% of respondents said that strong sustainability programs improve morale, and 38% said they increase loyalty (Harvard Business Review, Jan–Feb 2021, Mediating Factors: How Sustainability Improves Performance – Employee Relations).
News coverage of a firm’s environmental and social performance significantly influences consumers’ evaluation of a company and their intent to buy its products, according to a study published in Corporate Reputation Review (Harvard Business Review, Jan–Feb 2021, Mediating Factors: How Sustainability Improves Performance – Media Coverage).
A firm’s sustainability activities can improve relations with local communities and society more broadly, with positive financial impacts. A study of mining companies that worked with local communities found that maintaining good relations reduced the discount placed by financial markets on the net present value of their physical assets — from 72% to a range of 13% to 37% (Harvard Business Review, Jan–Feb 2021, Mediating Factors: How Sustainability Improves Performance – Stakeholder Engagement).