CASE 4

1. Managing risk relates to the oil and gas industry by first off keeping the environment and
public safety at a high and safe level. By keeping a safe environment that will reduce the
chance of oil leaks, spills, and also explosions. Not only will it affect the community and
the public, but also the stakeholder’s reputation and public pressure and criticism that they
have to further deal with.
2. The main risks that each company will face are leaks, spills, and explosions happening.
Other than those main 3, they also have to deal with reputation with customers. For
instance, a loyal BP customer found out about the oil spill harming the ocean, now he will
probably switch to Shell oil because their gas isn’t harming the environment. Also, both
deal with political and financial risk. Activist groups will bring pressure on them. For
example, the National Resource Defense Council. Last but not least, all the financial
resources allocated to repair the damage of the oil spills could have been avoided
3. Ethical leadership can help risk management by working together with other environmental
risk organizations such as the IPIECA. Managing a trustworthy organization that faces
their challenges responsibly is highly beneficial in gaining the public trust. Also, holding
executives more accountable for their roles will be greatly beneficially for any
organization.

CASE 5

1. New Belgium Brewing Company works to address many current issues, but specifically
they strive for cost-efficient energy-saving alternatives to conduct its business and reduce
its impact on the environment. A few of implementations the company has made in order
to accomplish this goal include, smart grid installation that allows NBB to communicate
with its electricity provider to conserve energy, installation of a 20 kW photovoltaic array
on top of the packaging hall, kittling heating method that conserves energy more than a
standard kettle does, sun tubes that provide natural daytime lighting throughout the brew
house all year long, system to capture waste water and extract methane from it to reduce
the strain on the local municipal water treatment facility, and reduce waste through
recycling and creative reuse strategies. NBB has strategically incorporated the issue of
energy-efficient alternative into their branding from the beginning. This opportune
awareness has earned the company many awards for their ethical awareness and
continually striving to improve the communities in which they operate. This recognition
has also pushed them to continue to improve their operating methods and be an outlying
example that even a small company can be a leader in improving sustainability in the
business world. I think that the company has taken such a strong stance toward
 sustainability is because they truly do believe in their mission to create better local
communities. These values are rooted in their core company beliefs and influence many
other decision-making models with NBB.
2. I do think that NBB’s focus of social responsibility does provide a key competitive
advantage for the company. I think more so today than in the past many individuals are
looking to buy products that in some way or another give back to another important cause.
NBB has had this approach since the company began operating. Their target market, as
mentioned in the case are, “Beer connoisseurs that appreciate the high quality of NBB’s
products, as well as the company’s environment and ethical business practices.” The case
also points to how this has been a major contributor to how quickly and successfully the
company has grown over the years. NBB doesn’t just specifically focus on the social
responsibility of their consumers, but also their employees through total encouraged
financial transparency and exceptional benefits. One of the ways that the company
encourages their employees to take part in the social responsibility themselves is for every
two hours of community service employees are paid for one hour of work time. NBB also
reaches out and supports many community charities and causes that relate to energy-
efficient alternatives in hopes of encouraging the growth of better business practices across
the board. Through this community support NBB is also able to better build relationships
with their consumers that will hopefully translate over into brand
3. I do believe that New Belgium’s actions and initiatives are indicative of a socially
responsible corporation. They have created a very positive image for their company in the
beer-consuming public with smart decision-making. Although some members of society
do not believe a company whose major product is alcohol can be socially responsible, New
Belgium set out to prove that for those who make a choice to drink responsibly, the
company will do everything possible to contribute to society. Even listed in their company
core values, the company is striving to promote a beer culture and the responsible
enjoyment of beer, while also kindling social, environmental, and cultural change as a
business role model. New Belgium is ultimately a brand that stands for quality,
responsibility, and concern for society. It has defined itself as more than just another beer
company; NBB sees itself as also a caring organization concerned for all of their
stakeholders.
CASE 20

1. Best Buy is a growing company that is becoming popular within costumers and it is able
to compete with other companies such as Band smart USA, Tiger Direct and HH Gregg.
The company have become the largest electronic retailer whiting US and is trying to
expand to China and Mexico. Best buy also offers many advantages to customers such as
good quality products, competitive customer services, competitive prices, financing
options, and variety/availability of products. Best Buy goal is focused in meeting consumer
satisfaction in order to maintain its competitive edge.
2. Best Buy have promote many environmental initiatives such as energy saving and
recycling. “Greener Together” initiative is a recycling program that allows customers to
recycle two electronics per day. Best Buy strategy to incentive customers to participate,
consist in giving customers a $10.00 store gift card to recover the related recycling
expenses. I think the resources that Best Buy is investing in the recycling process will
represent a good investment for the company. The recycled electronics can be resale by the
company by making profits at a lower cost, $10.00. The gift card given in exchange for the
equipment is another strategy of good investment. This consist in attracting customers to
purchase products from the store, which will be generally greater than the gift card value
3. Best Buy’s social responsibility to succeed is focused in improving employees,
shareholders, consumers, and suppliers relationships. Their employees are free to express
their thoughts on internal new sites, employee’s networks and discussion forums. Best Buy
also pay special attention to customers’ needs by improving customer services and
increasing surveys. In order to maintain product quality and availability, as well as
customer satisfaction; maintaining good relationships with suppliers, is Best Buy’s top
goal. Best Buy has also started different programs to protect environment and society such
as recycling programs and scholarships for students.