I.

Going Green Can Be Good for the Bottom Line By: Yevgenia Nayberg

1. How can becoming 'green" be an advantage to a company? Justify your side.

2. Do you believe that reducing one's impact on the environment is more than just a public service and is becoming part of the value proposition? Explain this statement and give examples of three companies that are into this practice?

3. Research about Patagonia and relate how it reach to be an industry leader.

II.

Applying Utilitarianism in Business

1. What are the components of utilitarianism in business? Name them and explain each.

2. If you are the employer of a business establishment, how will you apply utilitarianism using these components? Give examples of each.

Direction: Read the article and answer the questions required below it. Going Green Can Be Good for the Bottom Line By Yevgenia Nayberg bottom-line Source: https://insight.kellogg.northwestern.edu/article/ going-green-can-be-good-for-the- These days, almost every company supports the idea of a greener planet. Most acknowledge the ethical case for building supply chains that conserve energy and cause less environmental damage. At the December 2015 Paris Climate Conference, nearly every nation in the world announced their plans to cut domestic greenhouse gas emissions. In the coming years new national climate policies will inevitably shift how businesses operate. The sooner companies align their operations with this trend, the better they will do at turning the challenge of growing while reducing emissions into a competitive advantage. But according to Ozge Islegen, an assistant professor of managerial economics and decision sciences at the Kellogg School, there is increasing awareness that it also makes good business sense to design one's operations around social and environmental sustainability. With the rising cost of raw materials, shifts stakeholder expectations, increasing complexity of global sul 2/3 . . chains, and new government standards (including the U.S.'s.Cl Power Plan and the U.N.'s commitments to fight climate change), reducing one's impact on the environment is more than just a public ervice- it is becoming part of the value proposition. Corporate Social Responsibility and Good Governance In the Millennial Age . Serrano "Everyone recognizes that this is the direction we need to go," Islegen says. "Now it's a matter of making environmental performance a part of corporate strategy. And we find that there actually are strategic reasons to build sustainable operations. It might even give you an edge." Becoming an Industry Pioneer There has always been at least one incentive for companies to focus on environmental performance: avoiding negative publicity. And with the explosion of social media, that incentive has only strengthened. Any news of severe pollution. or lax environmental standards will spread instantaneously - and leavea mark. Volkswagen found this out after designing engines to cheat on emissions tests in 11 million of its diesel cars. The company is now reeling from customer anger, product recalls, and plummeting shares, not to mention fines worth billions of dollars. At the same time, business leaders are learning that clean operations and higher growth can go hand in hand. Now that customers, investors, activists, and even a company's own employees are voicing concerns about environmental impact, a greener record does more than simply guard against public-relations disasters. It can bolster a firm's reputation. Even in cases where a sustainable operations strategy drives up costs, the advantages that come with a good reputation can go a long way towards offsetting those costs. Becoming an industry pioneer, for example, can strengthen a firm's appeal among potential customers and partners, and grant that firm a prominent voice in global civil society-all of which ultimately serves the business. The outdoor apparel company Patagonia is one such industry leader. In 2010, Patagonia helped found the Sustainable Apparel Coalition, an alliance of 30 companies from the clothing and footwear industries. "Companies that improve their environmental performance need not surrender competitive advantage," Islegen says.e and answer the questions required below it. Applying Utilitarianism in Business Source: https://www.academicwritersbureau.com/samples/219-applying-utilitarianism-in- business Utilitarianism is a moral theory, which works as a form of consequentialism helps individuals to assess whether an action is good or bad. Some of the moral philosophers associated with this theory include Jeremy Bentham, David Hume, Henry Sidgwick and many others. People who ascribe to the classical utilitarians' school of thought consider actions right if it maximizes the overall wellbeing of society and wrong if it does not maximize the overall wellness of the society. According to the theory, an action is good if it is for the good of the greatest number of people. It characteristically encourages individuals to act in whatever ways they want as long as their actions lead them to the greatest levels of wellness. The theory associates wellbeing with happiness. Therefore, an action is considered good if it brings joy to the most significant number of people in society a2/4 vice versa. The theory of utilitarianism can be applied in business in many ways. To begin with, business persons who wish to use this theory must first understand its four components. The application of this theory can either be positive or negative. The first element is consequentialism, which is the understanding that the wrongness or rightness of actions is entirely determined by their actions (Mack 64; Suikkanen 1). Businesses can apply the concept of consequentialism in their operations even though it may contradict the moral and ethical systems that are in place. For instance, businesses that commit themselves to the principle of consequentialism may encourage their employees to act as they wish as long as the essential outcome will be to the benefit of the organization. Every business focuses on Corporate Social Responsibility and Good bure..- making and increasing more profits as its primary goal, Which lead them to use the means, which may be considered immoral unethical or illegal. For example, a business may manufacture an ! sell substandard and unsafe products in their quest for more. The second element that businesses require to apply utilitarianism is welfarism. According to Eggleston (453), welfaris is the understanding that the wrongness or rightness of operations depends on society's conceptions of welfare or wellbeing. This aspect of utilitarianism suggests that actions are good for the greatest wellbeing of the society or many people. According to Sen (471), welfarism aims at maximizing every individual's utilities. In business, the management may decide to increase the wages and benefits of their employees if it improves the wellbeing or promotes. the happiness of their employees. In this regard, the business will be positively applying utilitarianism when they can balance the principles of pleasure and pain and how they can influence their performance. The third element that businesses need to understand as to how the principle of utility applies to their operations is individualism. The principle of individualism in utilitarianism holds that every individual, as it is human nature, pursues happiness, thus, will engage in actions that maximize utility. In this regard, businesses will take actions that bring them happiness. Happiness for businesses may include increased profits, increased customer satisfaction levels, superior reputation, and improved employee satisfaction levels, among others. By ensuring their employees are satisfied and happy at a personal standard, the business will also be putting themselves on the path to success. The fourth element required to apply utilitarianism in business is aggregation, which is the notion that the wrongness or rightness of actions depends on their ability to average the benefits brought to all individuals. Bentham's perspectives on utilitarianism suggest that the consequences of an action should bring happiness not only to an individual but also the community aroun 123). A business applying this