Royal University of Phnom Penh

Department of International Business Management

Subject: Green Business Innovation

Lecturer: Uk Chanveasna

Name: Kao Monich

Class: T102
Year: 4 Semester1 M1
 Homework
Questions & Answers

1.What is a green business?

Green business is a way of doing business that protects the natural environment. It supply
goods or services within a local community. This business will also engage in forward- thinking
policies for environmental concerns and policies affecting human rights. This is a business
functioning with no negative impact.

2. Why green business is a smart business?

• Go Green for the Environment
• Go Green to Reduce Waste & Decrease Costs
• Go Green for Public Image & Increased Sales
• Go Green for your Employees

3. Drivers and Barriers to go green

• Drivers:
- Initiate green business model innovation which is increased consumer awareness towards
sustainability.
- Opportunity for companies to differentiate their products and services and create a
competitive advantage by being greener and more sustainable than their competitors.
• Barriers:
- changing the company’s business models into greener ones, is a lack of knowledge and
skills throughout the entire value chain. Some customers are willing to buy more
sustainable products and services, but there is still a large group of customer that do not
have enough knowledge about what sustainability is and who are too conservative to
change their buying habits where price is the main purchasing incentive.
- Companies wanting to transform their business models is the large costs of new
machinery and new materials or changes that must be implemented in new product
development and design. Furthermore, recycling and reusing materials require
infrastructure systems, which also are costly to develop and implement.

4. Reason for going green

• Competitive Advantage
• Reduced Cost
• Brand Awareness
• Improved Productivity
• Protecting the Eco-System
 5. Green business in practice
These green practices include:
• Sustainable Purchasing.
• Electronics Stewardship.
• Transportation.
• Pollinator Protection.
• Waste Diversion.
• Pollution Prevention.