The green economy dictates the law and it is not always easy for companies to orient themselves in an increasingly green world. There are challenges that must be faced and overcome, or it is difficult to be able to say that they are sustainable in a context that considers ecology important. The limits of business in reducing environmental impact are not few, but customers ask to overcome them, for health and the planet.
The contemporary world is increasingly interested in green economya type of economy that aims to reduce its environmental impact. But not without putting companies in difficulty, which must face new challenges. In this context, sustainability and ecology have in fact become both key words in the language of companies, and objectives.
And achieving them is not only useful to appear more ethical and less impactful, but also and above all to respond to the requests of the end customer. If until a few decades ago being green was an added value, modern scenarios show us instead how people consider this factor essential for their purchases.
On the one hand, customers ask brands to fly the green flag, but on the other, governments and supranational structures are also pushing for this to happen. The planet demands it, the actors who inhabit it are shouting it out loud. And it is not always easy for companies to respond to the challenge linked to environmental “sustainability” processes.
Companies are indeed facing significant challenges when it comes to going green, so much so that the obstacles can often seem insurmountable. But, as we can imagine, the problem of investments to encourage the transition to less polluting processes is not the only one that needs to be addressed.
What is the green economy or green economy
The green economy, just to give a definition Initially, it refers to economic systems that aim to promote sustainability and reduce their environmental impact. A goal that can be achieved starting from commercial and industrial practices that favor energy efficiency.
Examples include the choice of renewable resources instead of fossil fuels in industrial activities, but also the reduction of greenhouse gas emissions and the conservation of biodiversity. And again, incentives for sustainable mobility and technological innovation, or the adoption of public policies that favor the transition to a greener economy.
In essence, it is an approach that seeks to balance economic development with environmental protection at multiple levels, with the goal of creating a sustainable future for all. The challenges of the green economy, therefore, are addressed on multiple levels, from the public to the private, with close collaboration between governments and local entities.
It should be noted, however, that the path of companies towards environmental sustainability is not without obstacles, starting from the high initial costs, but not excluding the lack of laws and regulations. In this context, the results become uncertain and economic success, which is the ultimate goal of every business, remains more than ever uncertain.
The Green Economy and the 5 Challenges for Businesses
The choice to focus on the green economy, as seen, is not optional, as today it determines the success or failure of a brand with respect to its customers. The path to achieving a green production style is, however, full of pitfalls and uncertainties. The so-called challenges of the business that wants to call itself sustainable.
The real and perceived costs
One of the most common reasons companies struggle to go green is the perception that it is too expensive, and in fact, in some cases, they are right. For starters, installing renewable energy technologies, such as solar panels or wind turbines, requires a significant investment.
On the other hand, while it is true that some green options may come with a high initial price tag, the long-term benefits should not be overlooked. Incorporating sustainable practices can ultimately save companies money by reducing energy consumption, waste, and even employee turnover.
For example, investing in LED lighting or efficient HVAC systems can lower your energy bills and reduce your overall costs in the long run. That means you have a lot of upfront capital to fall back on, knowing that the expense will pay for itself in just a few years.
Lack of skills and training
Another significant barrier to sustainability is the lack of understanding and knowledge of green practices. Companies may not know where to start, what options are available, or how to implement and maintain sustainable practices. This is where education and training become critical.
This is another major expense, but starting internal training or hiring sustainability consultants can provide employees with the knowledge and tools to implement effective green practices. It can also create a culture of sustainability within the company itself.
Resistance to change
Change is never easy, and the transition to sustainable practices can be a challenging process for many companies. Employees may resist changes in their routine or consider them unnecessary. This is why communication must emphasize the importance of each step towards green processes.
It’s about making your company aware of the benefits of going green and the importance of making a change that respects not only the planet, but also the brand. A good idea is to provide incentives and recognition to the most virtuous employees, a way that can help keep them motivated and involved in the process.
Lack of government incentives or poor knowledge of existing ones
Lack of regulation can be a significant obstacle to companies’ green journey, leaving them groping in the dark. In industries where sustainability is not yet regulated and suffers from a legislative vacuum, companies may not see the benefits of changes.
The role of governments is fundamental, with regulations and incentives to encourage sustainable practices, such as tax credits, grants or subsidies. But also bonuses for customers, such as the one for purchasing electric cars, which promotes sustainable mobility and moves the automotive industry towards environmentally friendly production.
Technologies that are inaccessible or still under development
While it is true that caring for the environment has become a categorical imperative over the past few years, it should also be remembered that the technologies supporting green scenarios are not yet fully in step with the changes. Companies can count on improved insulation systems, energy consumption control devices, electric vehicles and more efficient industrial processes, but often they are not enough.
Green economy technologies are advancing rapidly, but many are still in the development stage and may not be accessible to all sectors or, worse, all regions. And this is perhaps one of the most challenging issues, involving research and, once again, local and national governments.
Conclusions
The green economy is a reality that cannot be imagined as bringing benefits in the short term, given that the process of being green is demanding and long. But there are objectives that must be achieved by pre-established dates, such as 2030, as supported by the homonymous Agenda for sustainable development.
With this look to the future, companies must think of the bigger picture and be able to keep up with the demand for greening that comes from above, e.g. governments and international structures, but also from below. Which means responding to the need to demonstrate a commitment to a cleaner world that comes from end users.
Certainly, when trying to be sustainable, it is necessary to start from those small changes that can be made to current business practices. To do this, it is important not to neglect training, but also to stay up to date on new green technologies and how to access these scenarios.
All this without forgetting the importance of internal communication, for which the leaders and employees of each company are called to sit around the same table. If you want the green economy to work and for the green economy to overcome its challenges, the battle cannot be fought alone.
Sources
Source: www.greenstyle.it
