Sustainability essay

Document Type:Essay

Subject Area:Economics

Document 1

In 2016, they experienced a 60% revenue from their sustainable line of products. The products experienced a 30% growth rate as compared to other products. Keith Weed, Unilever’s CMCO said the huge leap was due to the consumers bridging the gap between saying they needed more green consumption and actually buying the eco-friendly goods (Laszlo & Cescau, 2017). Total value is the impact a product has both economically, socially and environmentally. A company that packages fish influences the society by the creation of jobs, the economy by contributing to annual taxes and the environment by keeping the harbor plastic free to help promote fish reproduction. Green behavior sometimes referred to as green consumer behavior is taking into account the repercussions to be experienced by the general population and environment based on private consumption (Epstein, 2018). Drinking a bottle of water satisfies thirst but throwing that bottle in a river affects the fish downstream and the general quality of produce garnered from watering plants with the same water. The implications do not happen immediately but they happen eventually Unilever is at the forefront of using sustainable products. They have many different projects that are using a sustainability approach. One great example is the launch of water smart products for areas with water inadequacies. Statistics show that 40 billion hours are lost per annum while looking for water. Unilever's smart rinse is a formulation used in hair conditioners to ensure the hair is easily combed through while being rinsed fast. The product was launched in the US. Statistics show that for every woman washing hair, ten seconds of water used in the shower could be used by half a million people in areas experiencing water shortage.

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Another innovative product Unilever launched was the smart foam products. Smart foam is a molecule that breaks down soapsuds more efficiently and within a short time, reducing the amount of water used to rinse by half. It is especially so that in areas where clothes are still washed by hand are rinse until the water clears up. In addition to which, women have mandated the role of looking and fetching for water in most developing and upcoming countries. Finally, yet importantly, comfort one rinse dissolves detergent foam and reduces rinses required from three buckets to one bucket. The company has many products that are more inventive in other areas this is just the tip of the iceberg. Value distinguishes a billion-dollar company from a small business. Take, for instance, Apple's brand is so influential that they can launch a product the consumer will not like but they will buy as an allegiance to the brand.

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Apple is currently among the top five most valued brands in the world. Steve Jobs had been an invaluable asset to the direction of Apple and the board had to rehire him after ten years to continue his vision for the company. Everything and everyone has value, the quality and quantity are however relative. An example is a plastic doll in a wooden packaging. Furthermore, product categories largely influence the likelihood of the consumer buying a product. Consumers are more likely to invest in sustainable products such as fresh farm produce but fail to extend the same to bottled soft drinks (Verain, Sijtsema & Antonides, 2016). However, packaging, for instance, plastic may come forth as ‘bad’ as compared to wood packaging; plastic fills employ a neat trick in extending the lifespan of a product as compared to wood.

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Willingness to Accept (WTA) refers to the least amount of money, which a consumer is ready to accept to give up on purchasing a product, or tolerates a negative consequence such as pollution. From this example, we can then derive the formula for calculating surplus as the amount the consumer is willing to pay subtracted from the market price of the same product (Wadman, 2016). Consumer surplus is high in markets where traders only make normal profits from their sale. Saudi Arabia has been a top oil producer for decades without thinking of sustainability. However, with dwindling reservoirs, the Kingdom is rethinking on other ways to boost its economy (Fattouh & Sen, 2015). The many projects underway are employing sustainable materials and products. Nike is among some brands using waste from the ocean as raw materials for their shoes.

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Such initiatives of recycling will help but a better alternative would be biodegradable commodities that will eventually decompose, posing no harm to marine life. References Balogh, P. Békési, D. Gorton, M. Saudi Arabia oil policy: more than meets the eye?. Laszlo, C. Cescau, P. Sustainable value: How the world's leading companies are doing well by doing good. Routledge. Food Quality and Preference, 48, 99-106. Wadman, W. M. Variable Quality in Consumer Theory: Towards a Dynamic Microeconomic Theory of the Consumer: Towards a Dynamic Microeconomic Theory of the Consumer. Routledge.

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