Those companies think that business is an integral component of society, and that it has been one of

society's foundations since the start of the industrial period, alongside family, government, and
religion. Great businesses strive to earn money, but they also consider how to do so in order to
create long-lasting institutions. They invest in the future while also recognising the importance of
developing individuals and society. Society and people are not afterthoughts or inputs to be
exploited and discarded in those companies; they are central to their mission.

1.1

2.2

3.3

4 all 4

5 all 4

It’s fairly clear how putting all® Small & Mighty® into Walmart stores might benefit Unilever. But
how could it benefit Walmart, beyond giving it another product to carry? If you were a buyer at
Walmart, how would you justify giving shelf space to this item?

Small & Mighty was designated as a 'Volume Producing Item' by ASDA (Wal-Mart), and its debut was
given top attention by Tesco. Small & Mighty also gained distribution at Mercadona, one of Spain's
major grocery chains, where it had previously been unavailable. Unilever continues to lead the
laundry market via consumer-led innovation, providing immediate advantages to consumers,
customers, and the environment through Persil Small & Mighty.

TIDE / Small and Mighty

Why should Walmart go this route?

Walmart is a publicly listed family business and the world's largest retailer. Walmart must effectively
utilise what we might refer to as the Walmart Marketing Mix in order to operate such a huge
organisation. Although other firms can use the same marketing mix technique, the retailer's method
is regarded to be extremely effective.

The laundry detergent industry already had the technology to move to a concentrated formula for
a while. Why was it Walmart that finally enabled the industry to switch?

Yes, despite the lower product size, Wal-Mart helped bring the concentrated recipe to market by
offering similar or greater shelf space.
Which of the five pathways did Walmart take advantage of to transform the industry? Please
select all that apply.

All option

According to me Walmart is considering all the paths to take advantage to transform the industry.
Walmart is using technology to drive efficiency and improve employee conditions, thus reducing
turnover and operational costs. Walmart is integrating shopper purchase data into the app so that
both items bought online and in stores can be accessed by the customer. Also by persuading
investors which will lead them for a sustainable future.

Did Unilever make a mistake in being the first mover and encouraging other competitors to follow
suit?

Unlike many other companies that concentrate on their environmental footprint, Unilever's plan
also incorporates the other two pillars of sustainability; social, and economic.

Which of these problems do you think individual firms are best equipped to tackle?

Income Inequality

Income redistribution by higher inheritance taxes, promotion of broader ownership (e.g., more
worker ownership), and socialisation or equal sharing of capital and land to all people are all indirect
methods of reducing income inequality.

Fill in the blank: Companies who lead change in their industry will get us ____% of the way to a
just and sustainable world.

80% ----- 50%

What strategy will you pursue? What do you think is the key to becoming the most valuable utility
company in the county?

Since the offering of any utility service or product is mainly to the general public, they become the
main shareholders in deciding if the company is valuable or not, keeping that in mind, in this case,
it’s important for us to understand the details of the utility we are providing our shareholders —
Water and how it adds value for them. hence, answering our question that the amount of value the
utility company is adding to its shareholders is one way to identify if the company is valuable or not
and by exploring ways to increase the value to the shareholders will automatically increase the value
of the Company.

https://medium.com/@shubhpatodi/the-aquifer-simulation-3f54045c5aa8
When did you realize you were in trouble? What was your reaction? Did you adjust your strategy?

I realized after few rounds that what the actual error was.

Why did the aquifer run dry? Could it have been prevented?

A well is said to have gone dry when water levels drop below a pump intake. This does not mean
that a dry well will never have water in it again, as the water level may come back through time as
aquifer recharge from precipitation seepage increases and/or pumping of the aquifer is lessened.

Whose responsibility is it to address public goods problems, or to focus on “us” and “later”?

In economics, a public good refers to a commodity or service that is made available to all members
of a society. Typically, these services are administered by governments and paid for collectively
through taxation.

Do you think that these kinds of government-driven solutions can address the problems we face
today?

Do you think that these kinds of government-driven solutions can address the problems we face
today?

Governments provide the parameters for everyday behavior for citizens, protect them from outside
interference, and often provide for their well-being and happiness.

2.2.3 Self- or Voluntary Regulation

What can go wrong in these kinds of arrangements?

With poor self-regulation skills may lack self-confidence and self-esteem and have trouble handling
stress and frustration.
Suppose that each firm currently catches $100 worth of fish per year, and there is $200 worth of
fish left in the lake. In the following spreadsheet, enter the amount that each firm would earn in
each of the next 10 years if the two firms continue to fish.

Each firm will make $100 this year, or $200 in all, which will entirely fish out the lake.

If they agree to hold back, each firm will not make anything this year, but will make $10 in each of
the next ten years and beyond.

This does have much basis in truth, as many game theory situations do result in an optimal solution
when every player acts rationally. However, as this article and the Prisoner’s Dilemma illustrate,
there are cases when it is important to recognize the human aspects of real-life problems.

The following are seven factors that many studies have found make a group more likely to
cooperate.

Which of these do you think was most important in the Maine lobster example?

Reputation

What’s an example from your own life where a group you’ve been part of (e.g. your family, a
sports team, a team of co-workers) has been able to solve a common problem by persuading
everyone to work together? Briefly describe the situation and then reflect on why it was
successful.

In my last position, I was part of a accounting team. We all worked together to plan and manage the
schedule, to provide customer training, and to ensure a smooth transition for our customers. Our
team always completed our projects ahead of schedule with very positive reviews from our clients.
Our ability to communicate effectively was what made us such a good team. People expressed
concerns clearly and openly, so we resolved issues as soon as they arose. A successful team is one
where everyone’s unique skills and strengths help the team achieve a shared goal in the most
effective way.

You are the CEO of one of Unilever’s major competitors. What would persuade you to commit to
using sustainable palm oil?

As the CEO of Unilever's competitor, i would use sustainable palm oil because of the following
reasons:
Helping growers improve productivity while conserving critical forest areas

Supporting smallholders with resources to boost yields and improve livelihoods

Working with companies and communities to develop new production models

Which of these conditions do you think might be particularly difficult to implement across the
companies in the consumer goods forum?

Ease of communication: It’s easy to communicate with everyone in the group

Sanctions: It’s possible to sanction people who won’t cooperate

How likely is it that the CGF will be able to successfully agree to move to sustainable palm oil,
given your analysis?

The Consumer Goods Forum (CGF) recognises its responsibility to ensure that the sourcing of palm
oil does not contribute to deforestation, and has consequently taken action in developing the CGF
Sustainable Palm Oil Sourcing Guidelines. These sourcing guidelines do address deforestation, but
also cover other key sustainability issues associated with the production of palm oil.

What problems would the members of the Consumer Goods Forum have encountered if they had
attempted to move the palm oil industry towards sustainability without this group’s involvement?
List one or two potential problems.

Palm oil can be produced sustainably – but a lot of it isn’t. Palm oil is great for big food and
cosmetics companies, because it’s cheap and versatile. Palm oil companies have been destroying
these rainforests because they want more land to grow oil palm trees.

This problem clearly extends beyond Walmart.

Which partner do you think should Walmart reach out to first to address this problem?

Govt.

Together with government and civil society, businesses play an important role in addressing societal
issues. Walmart stakeholders, including customers, investors, associates and communities, expect us
to engage in public policy in a transparent manner to help solve social and environmental challenges
relevant to our business.
What problems might Walmart encounter with this strategy?

First, the company needed to show increases in both sales and profits to satisfy capital market
expectations. Second, it needed to satisfy the expectations of its own employees. One of the key
factors in Wal-Mart's success was its dedicated and committed work force. Thanks to Wal-Mart's
stock purchase plan, the wealth of these employees was directly tied to the market value of the
company's stock, creating a direct link between growth and its effect on stock price and company
morale.

What do you think are the most important skills or attributes for business leaders to have when
trying to forge multi-stakeholder cooperation? List a few of them here

Complex problem solving. ...

Critical thinking

Given Jane’s suggestions, what would you recommend that Walmart focuses on first in the effort
to make its workforce transformation a success?

Setting Clear target gets the job done always.

Why did you choose that value on the scale? How might cooperation help or hurt?

One of the benefits of cooperation is that people can pool together their skills and creativity towards
a common aim. Because of this, they have a higher chance of being more successful.

2.4.2 KAF Continued: The Business Model

How does KAF translate its mission into a profitable business model? How would you guess that
KAF leverages its strong culture?

A company’s culture is the only truly unique identifier. It is like a finger print, it may be similar to
others, but is uniquely distinct to your business. Everything else (products, strategies, marketing,
even innovations) can be replicated, but the only truly unique identifiers are the values and norms of
the organization – its culture, or personality.

So what is KAF’s primary business model?

Other
Crowdsourcing model

Crowdsourcing involves receiving opinions, information, or work from many different people using
the internet or social media. These types of business models allow companies to tap into a vast
network of talent without having to hire in-house employees.

What would you recommend that Walmart do to better attract, retain, and develop a talented
workforce? Bear in mind that in 2015:

Know your company's mission and values. Identify the most important skills and values for your
company.

Build an employee-focused culture. Consider what you can offer employees

What are the potential risks of this investment? What could go wrong?

1. Not Understanding the Investment.

2. Lack of Patience.
3. Failing to Diversify.
4. Letting Your Emotions Rule.

What factors are driving your answer? Does it matter whether Doug is motivated mostly by
purpose or mostly by a concern for the bottom line?

Walmart, under pressure from investors following several quarters of same-store sales declines,
decided to invest billions of dollars in wage increases and training for workers.It turns out that
paying people more may have made them better employees.The company is even seeing sales and
traffic improvements.The changes aren't going unnoticed by customers.

It’s clear that Walmart executives believe in what they are doing, but this is an organization with
2.3 million employees. How can executives convince employees that they are serious about this
purpose and that it extends beyond the bottom line? What do you think is the most effective way
to ensure this purpose permeates throughout the entire organization?

While many other retailers and businesses may be focusing on how they can improve their profit-
and-loss statements (P&Ls), Wal-Mart is obsessed with how it can save more people money. Its
focus is laser sharp and unwavering. But for most businesspeople, this simple yet powerful shift in
focus is uncomfortable. It means moving away from the safety of what they learned in business
school or management books. It requires shifting from managing a P&L to managing a business.
Thinking back to some of the examples we’ve seen in the course so far, how would you say that
purpose helps firms respond to the challenge of sustainability? If it's helpful, consider framing
your answer around either the Lipton or the Walmart cases that we’ve already seen.

How did purpose help Lipton embrace sustainable tea?

How did purpose shape Walmart’s actions after Hurricane Katrina?

When companies embrace a higher social or environmental purpose, it is not only good for the
planet, it may be an essential business strategy for the modern organization.The Lipton tea brand
offers a powerful example of engaging stakeholders in their purpose.When Hurricane Katrina struck
the Gulf Coast, Walmart was on the front lines of the response. Walmart opened make-shift stores,
sent truckloads of supplies to our city, and activated associates on the ground to help those in need.

As we’ve seen, a shared purpose can have enormously powerful effects. But why, then, does talk
of purpose make many managers nervous?

Should it be legal for firms to sacrifice economic returns for purpose?

The purpose of a business, in other words, is not to make a profit, full stop. It is to make a profit so
that the business can do something more or better. Nevertheless, if management fails to meet their
financial hopes, the share price will fall, exposing the company to unwanted predators and making it
more difficult to raise new finance.

At face value, do these duties require directors to ensure that the firm maximizes shareholder
return?

YES

Based on what you’ve heard about the fiduciary duties, is there anything that would prevent a
firm from adopting a purpose?

A fiduciary duty exists where a person or company is required to put another person's interests
before their own. It arises from a relationship of trust and confidence, such as the relationship
between doctors and their patients, directors and their companies, and agents and their principals.
Imagine you are the CEO of a company and you have just learned that burning coal is a major
contributor to the risk of catastrophic climate change and causes pollution that kills millions of
people

NO

The purpose of a business, in other words, is not to make a profit, full stop. It is to make a profit so
that the business can do something more or better.

How far will cooperation take us? If a reasonable percentage of the world’s largest companies
joined forces to support sustainable practices, would we solve all the world’s problems? Or is
there something missing?

More or less all business started out with a social purpose of some kind, so the future may look more
like a rediscovery of the social purpose of business.Today, corporations that connect the dots
between social issues and business solutions are seen as leaders. But we are moving toward a time
when leadership will mean having the courage to stake a much bigger claim. We should expect the
world to become more sustainable. But problems such as climate change, water scarcity, species
extinction, and many others continue to worsen. Sustainable business is reaching the limits of what
it can accomplish in its present form.

How would you rate the Driving Change at Scale module on a scale of 1 to 7 in accomplishing that
goal?

This can help scale change management understanding rapidly across the organization.