Chapter 10 Smartbook notes

Technological innovation:

Electronic sensors to reduce water usage.

Land, species, and habitat:

Endangered Species Act, Hazardous Materials Transport Act

The effort to prevent inequitable exposure to environmental risk is called_______.

Environmental justice

Normative:

It's simply the right thing to do.

Cross-media pollution:

Oil Pollution Act, Pesticide Control Act.

Identify the primary benefit of having public environmental regulations.

People live longer and have higher quality lives.

According to a Harvard Business School study, how do the financial and stock market results of highly sustainable firms compare with others that are less sustainable?

Sustainable firms significantly outperformed others.

True or False: As public policy shifted, and governments moved to enforce stricter emission standards, GM sought to avoid strict regulations by embracing EV technology, as discussed in the case General Motors' Drive for Carbon Neutrality.

True

True or False: Supporters of market-based mechanisms to protect the environment believe that the market provides better control than mandated government regulations.

True

Reduction of regulatory and liability risk:

Voluntary reporting of emissions ahead of regulation.

Water Quality:

Water Pollution Control Act, Safe Drinking Water Act.

A firm that distinguishes its reputation based on exemplary sustainability practices is leveraging which competitive advantage?

brand differentiation

General Motors' attempt to create a distinguished reputation for environmental excellence by announcing a full suite of 30 new EVs is an example of what, according to the case General Motors' Drive for Carbon Neutrality?

brand differentiation

Sustainability leaders often tie manager compensation to____________________.

environmental achievements.

Business collaborations that seek to improve environmental conditions are called _____.

environmental partnerships

Integrated reporting refers to a single report disclosing the firm's results for which types of company performance?

financial, social, environmental.

The clean economy is most accurately defined as sectors of the economy that_________________.

make products with an environmental benefit.

Acid rain is caused by fossil-fuel by-products combined with what?

natural water vapor

The concept of businesses not emitting more carbon dioxide than they remove or offset is called______.

net zero

True or False: The instrumental argument views environmental and social benefits as valuable end in themselves.

False

Sustainability competitive advantage:

1. Cost savings 2. Brand differentiation. 3. Technological innovation. 4. Reduction of regulatory and liability risk. 5. Strategic planning.

The Environmental Protection Agency (EPA) manages which types of environmental regulation?

1. Cross-media 2. Air quality 3. Water quality

Command-and-control regulations include which environmental standards?

1. Emission standards. 2. Best available technology. 3. Environmental quality standards.

The clean economy is best exemplified by which industries?

1. Energy-efficient construction. 2. Alternative energy. 3. Electric vehicles.

Identify the costs to businesses for implementing environmental regulations.

1. Funds spent on regulation compliance could be spent on research and development. 2. Billions are spent on capital expenditures and operating costs.

What were the primary indicators that General Motors (GM) is trying to become a corporate sustainability leader, as noted in the case Gerneral Motors' Drive for Carbon Neutrality:

1. GM stated that all new light-duty trucks would have zero tailpipe emissions by 2035. 2. They announced a plan to become carbon neutral, meaning zero carbon emissions, by 2040.

A recent Canadian survey found that the role of chief sustainability officer had evolved from basic regulatory oversight to one that includes ________________:

1. Increased strategic thinking. 2. Innovating environmental solutions.

The Environmental Protection Agency (EPA) is accurately described by which statements?

1. It was created by the National Environmental Policy Act around 1970. 2. It is the main environmental regulatory agency in the United States.

Identify the basic characteristics of sustainability reporting:

1. Most use Global Reporting Initiative standards. 2. Social and environmental data are combined into one report.

The executive role that oversees a firm's sustainability activities and performance is called a _________________.

Chief sustainability officer.

What was the earliest environmental law to protect air quality standards, according to Figure 10.1?

Clean Air Act

Air quality:

Clean Air Act, Clean Air Act Amendments.

Brand differentiation:

Cleaning products with no harmful ingredients.

Sustainability leadership:

1. Normative 2, Instrumental

Identify the effects of acid rain:

1. Reduced crop yields 2. Damage to lakes and rivers 3. Degraded forests

A market-based cap-and-trade system is accurately described by which statements?

1. The cap represents the legally permitted emission level. 2. A company can sell tradable permits for the amount they pollute under the cap.

Identify true statements about CERLCA (the Superfund law).

1. The law covered costs of cleanup for unidentified original polluters. 2. The law required the original polluters that could be identified to pay for the cleanup. 3. It introduced a tax on petroleum and chemical companies.

Since 1994, what has the EPA done to ensure that hazardous waste site locations do not discriminate against disadvantaged communities?

1. They blocked permits that appeared to discriminate against minorities. 2. They investigated if state hazardous waste sites violated civil rights laws.

Identify valid attributes of corporate sustainability leaders:

1. They do not use up natural resources faster than they can be replenished. 2. Stewardship of the natural environment is a core responsibility.

What actions did General Motors (GM) propose to take in order to reach their sustainability goals?:

1. They planned to purchase carbon offsets. 2. They expected to make their facilities more energy-efficient.

The common characteristics of sustainability management are:

1. Top management commitment 2. Alignment of rewards and incentives 3. Employee engagement

Why might an organization wish to engage in an environmental partnership?:

1. to improve environmental quality. 2. to draw on the unique strengths of each partner. 3. to conserve resources.

Of the total number of Superfund sites identified, how many were fully cleaned up by 2020?

438

Strategic planning:

Forecasting external influences and trends that lead to opportunities for the firm.

Why have some criticized cap-and-trade systems?

It allows some firms to continue polluting over the cap.

About half of the solid waste in the United States is recycled, composted, or incinerated. What happens to the other half?

It is buried in landfills.

Instrumental:

It makes sense from a business perspective.

Cost savings:

Reducing pollution and waste.

Which U.S. law regulates hazardous materials from cradle to grave?

Resource Conservation and Recovery Act

The material sustainability issues of a firm are best described by which statement?

These are sustainability issues that are particularly relevant to a business.