Living GREEN

like an Economist
Presented by TEAM 2
 Table of contents

Sustainability and Challenges

01 Applications 02 Business are facing when pursue
sustainability
What is sustainability?
How it can be applied in business

Sustainability
Solutions
03 To become more sustainable 04 Corporation
A luxurious trend or potential
approach for business?
 SUSTAINABILITY VS APPLICATIONS
01 What is sustainability?
Sustainability
Dictionary definition:
The ability to maintain or support a process over time
 What is that process?

Profit Planet People

Economic Environment Social

 Sustainability is
NOT ON PAPER,
It is now in REALITY.
How Unilever achieves sustainability? ẢNH
• Launched in 2010
• Three main pillars: Health and well-being,
environment and livelihoods

What they aim to do: Source agricultural material

sustainably, reduce greenhouse gas emissions,
achieve net-zero emissions.
 Relationship
between business and sustainability

CSR - Corporations Social Responsibility

- A social strand for sustainability in business built on stakeholder

expectations

- Focuses on balancing between social expectations and

stakeholders’ expectations

=> CSR is sustainable development on corporations level

 Still confused?
Here’s our example!
ESG
ESG
• A standard for investors to make
investment decisions
ẢNH
• Evaluating the company based on three
pillars:
o Environmental: lower CO2 footprint
o Social: supports LGBTQ+ rights
o Governance: corporate transparency
CONCLUSION
• Sustainable development has strong
impacts on our society
• Vision: By 2030, UEH will become a
multidisciplinary university with an
academic and sustainable reputation in
the Asian region.
Sustainability is a destination
every individual on this planet

SHOULD HEAD FOR

 FACING CHALLENGES
02 Business are facing when pursue sustainability
 CHALLENGES

Financial Social
 CHALLENGES

• SMEs face more challenges

➢ Lack of capital and fund

Financial •
➢
In the short term, sustainability is expensive
Existing infrastructure and ongoing activities are not
sustainable
=> Replacing or adapting
 CHALLENGES
Sustainable Development Goals require $5-7 trillion
Compliance with standards cost about $425,000 per firm

BUT
It’s not an one-time expenses
SMEs spend over time to maintain compliance

Mainly spent on labour and capital

 CHALLENGES

Financial Social
 CHALLENGES

• Lack of clear framework

Social
• No standardized structure → Firms establish their own process
➢ Time-consuming and costly
• Unwillingness to share about companies’ process
➢ Consumers trust companies honest about their procedure
 CHALLENGES
Accused of making false
2022
LOSE or misleading claims

Trust from
consumers

Claims about their

High demand for RECIEVE ABOUT sustainability effort
transparency in
their process of
“pursuing green”
 CHALLENGES

• Short-term profit vs Long-term effects

• Under pressure to create profits and give value to shareholders
➢ Seek immediate financial return over long run impacts Social
• Cultural and contextual differences: different stakeholders
hold different views about companies’ priorities.
 CHALLENGES

Financial Social
 SOLUTIONS
03 To become more sustainable
SOLUTIONS

SOLUTIONS
SIMPLE WAYS TO REDUCE SUSTAINABILITY COSTS

REDUCE
REUSE
RECYCLE
SIMPLE WAYS TO REDUCE SUSTAINABILITY COSTS
 REDUCE
Reduce production waste, energy and water consumption

How does it benefits ?

• Save cost paying for those bills
• Have to analyze material’s cradle-to-grave life cycle
➢ Clear picture of waste generated by process.
➢ Minimize reject batches while maximize resource utilization
2013, General Electric…
Decrease
Greenhouse gas emissions
by 32%
Water consumption
by 45%
Increase
$300 millions in savings
 REUSE
Reuse materials and products, rather than purchasing new ones

How does it benefits?

• Coping with limited means and resources
• Investing in reusable materials → invest one time to save money many times
• Reusing scrap metal from production or waste exchanges
➢ Saves time, money, resources, and energy
 RECYCLE
Recycle by breaking down used items into base raw materials and
creating new items

Switch to buying recycled materials

=> Reduce waste, increase profit margins
RECYCLE
REDUCE
REUSE
3R’s makes your business more
sustainable and reduces your
operating costs at the same time.
 How about
alternatives to CSR’s
problems?
• Sophisticated CSR management systems
➢ Save time

• Standardized reporting for CSR

➢ Provide consistent information

• Develop from core principle with regular

reviewed and updated

• Research and develop cost-effective and

efficient ways
 SUSTAINABILITY CORPORATION
04 A luxurious trend or potential approach for business?
 BUT WHAT ABOUT

COMPANIES
DO THEY HAVE ANY IN RETURN
 Fortunately,
The answer is yes
 1. Capture value from customers
By offering it to them

82%
In emerging market
Nearly 2/3
In 6 international markets
42%
In developed market

Customers report to believe that they “have a responsibility to purchase products

which are good for the environment and society”
 1. Capture value from customers
By offering it to them

Nowadays, consumers… CSR

- Be aware of buying behaviors, concerning about what, where
and why to buy.
- Value beyond price and taste: safety, social impact -> CSR
- Expect companies to take responsibility
- Not only buy green products but also buy from green company

-> By fulfilling customer’ expectation, company tend to be rewarded ESG

 2. Engage stakeholders by aligning
With their interests
STAKEHOLDERS
Anyone who has an interest in the success or failure of a business
+ Financial stakeholders: manage, fund, money
+ Non-financial stakeholders: consultation, training, volunteer, donation

Stakeholders Company’s succes

Trust , Support, Fund, Money, Advice, Guideline
 3. Foster Innovation
Redesigning products offers new business opportunities
Study found that the relationship between innovation and financial
performance is positive and significant

Reasons

Strengthen position
Increase customer
Gain advantage
satisfaction & loyalty
Boost productivity
4. Increase employee’s productivity
and commitment
Study found that
Sustainability commitment and
employee’s satisfaction have a positive
relationship

Employee
Seek for a sense of belonging and
meaningfulness

Company
Treat employees as stakeholders
QUICK
REVIEW
So, what you have learned from our presentation so far?
 QUICK REVIEW
CSR Challenges
Balance
Financial and Social
Society vs. Stakeholders

Sustainability ESG Solutions

People and firms to Evaluation metric to • The 3R
co-exist predict potential • Sophisticated systems
GAME TIME!!
 GAME RULES
1 Fill out 9 squares randomly as fast as possible and send
your team’s file to Khanh Ngoc
2 Each team will respectively choose a number

3 Each number goes along with a question. The choosing

team has to answer and send your response to Minh
Thanh

4 Other teams send the answer to us if want to choose that

number too

5 Answer correct -> tick the number

 GAME RULES
6 When you team successfully fills out 3 squares in a
row/ column/ cross, remember to turn on your mic and
shout “Bingo”

7 The FIRST TEAM SHOUTING “BINGO” will be the only

team winning the game and RECEIVE OUR SPECIAL GIFTS
1

4 5
.
6

7 8
.
9
1. Which
one is not listed as one of the three
main concepts of sustainability?

A. Economy
B. Society
C. Environment
D. Health and livelihood
1. Which
one is not listed as one of the three
main concepts of sustainability?

A. Economy
B. Society
C. Environment
D. Health and livelihood
 2.What is the evaluation metric that
investors tend to base on to determine the
potential of some companies?

A. CSR
B. ESG
C. United Nation SDGs
D. SMEs
 2.What is the evaluation metric that
investors tend to base on to determine the
potential of some companies?

A. CSR
B. ESG
C. United Nation SDGs
D. SMEs
 3. Which one is not one of the main
challenges companies are facing when
engaging in CSR practice?

A. Lack of framework to follow

B. Cultural and contextual differences among stakeholders
C. Lack of openness and accountability from companies
D. Lack of trust stakeholders because not so many stakeholders
know and rely on this metric.
 3. Which one is not one of the main
challenges companies are facing when
engaging in CSR practice?

A. Lack of framework to follow

B. Cultural and contextual differences among stakeholders
C. Lack of openness and accountability from companies
D. Lack of trust stakeholders because not so many stakeholders
know and rely on this metric
 4. What companies can do to reduce cost
while doing sustainability

A. Reduce company waste

B. Reuse materials and products, rather than purchasing new
ones
C. Breaking down your used items into their base raw
materials and creating new items from them
D. All of them above
 4. What companies can do to reduce cost
while doing sustainability

A. Reduce company waste

B. Reuse materials and products, rather than purchasing new
ones
C. Breaking down your used items into their base raw
materials and creating new items from them
D. All of them above
 5. Which one is not a way sustainability
benefits firms?

A. Reduce cost spent on advertising and marketing campaigns

B. Foster innovation
C. Maintain a positive brand image to attract new customers
and retain current ones.
D. Increase employees’ productivity and sense of pride
 5. Which one is not a way sustainability
benefits firms?

A. Reduce cost spent on advertising and marketing campaigns

B. Foster innovation
C. Maintain a positive brand image to attract new customers
and retain current ones.
D. Increase employees’ productivity and sense of pride
 6. What is the likely possibility when a
company's practice does not align with its
stakeholders?

A. Gain trust and support from stakeholders

B. Able to maintain long-lasting impression and relationships
with its stakeholders
C. Stakeholders may not support that company
D. Stakeholders provide fund and capital for companies to
invest in more fields
 6. What is the likely possibility when a
company's practice does not align with its
stakeholders?

A. Gain trust and support from stakeholders

B. Able to maintain long-lasting impression and relationships
with its stakeholders
C. Stakeholders may not support that company
D. Stakeholders provide fund and capital for companies to
invest in more fields
7. ESG is sometimes called sustainable
investment

A. TRUE
B. FALSE
7. ESG is sometimes called sustainable
investment

A. TRUE
B. FALSE
 8. CSR practices are trying to balance the
benefits between __ and __?

A. Firms and Household

B. Society and Stakeholders
C. Government and Sellers
D. Government and Buyers
 8. CSR practices are trying to balance the
benefits between __ and __?

A. Firms and Household

B. Society and Stakeholders
C. Government and Sellers
D. Government and Buyers
9. Sustainability only brings firms financial
benefits?

A. TRUE
B. FALSE
9. Sustainability only brings firms financial
benefits?

A. TRUE
B. FALSE
THANKS
FOR LISTENING
Presented by TEAM 2 – Corporate Sustainability
 REFERENCES
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 REFERENCES
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