After studying this chapter, you should be able to:
Recently, companies are increasing their focus on sustainability issues. Companies like Alcatel Lucent (FRA), China Southern Power Grid Co. (CHN), and Clorox (USA) are implementing strategic initiatives such as fuel-spill control, use of recycled materials, and water conservation in efforts to support long-term objectives related to responsible management of resource use. Why the growing importance of sustainability? One important reason is that market participants are increasingly looking to invest in companies that are pursuing sustainability strategies.
For example, as indicated in the adjacent graph, sustainability investments in Europe have increased from below €10 trillion in 2005 to nearly €50 trillion in 2011. ...