A new era of business has begun, where conscious capitalism has sustainability at its core. As a result, many companies have committed to reducing carbon footprint, incorporating ESG into their programs, and regulators are expanding producers' responsibilities. Organizations are adopting inclusive business models to address significant environmental and socio-economic concerns in their local settings. Companies are taking a systemic approach to sustainability to address these dynamic challenges.
It is becoming one of the primary tasks of all countries (both developed and developing) to achieve sustainable development goals through various integrated policies concerning climate and environmental health. At the dawn of this new era, consumers have a climate-friendly approach to lifestyle choices and decisions. Moreover, the enterprises guided by the principles of sustainability these days have come up with various pricing strategies for their products to make them easily accessible to everyone. This pricing factor is an inclusive parameter that has empowered the overall sustainable ecosystem to bring all under one umbrella.
Rise of the Inclusive and Sustainable Consumers
With the social fabric evolving significantly over the past several years, businesses that include sustainable practices in their business strategies, such as lowering carbon footprints and implementing eco-friendly procedures, are growing quickly and developing a loyal customer base.
As per an industry report by Capgemini, 64 percent of buyers were pleased with their purchases of sustainable goods. Meanwhile, 53 percent of consumers said they would switch to lesser-known brands if they were sustainable.
Consumers are becoming passionate about holding companies accountable for reducing environmental effects. Hence, corporations establish ecologically friendly policies on water consumption, waste management, and emissions through a robust, sustainable mandate and governance mechanism. This promotes economic growth and is essential in raising societal standards through job creation, investment, and technical breakthroughs.
Companies are increasingly taking action on sustainability in response to increased corporate responsibility expectations and transparency grounds. A few benefits of investing in sustainability include lowering manufacturing costs, enhancing brand recognition, and improving the value of goods and services. It is becoming necessary for many enterprises to shift to a low-carbon economy and create more sustainable business strategies since investors prefer profitable businesses with a positive social impact.
How is the E-commerce Sector Working Towards Achieving Sustainable Development Goals?
According to The World Bank, the tremendous rise of e-commerce in recent years has had an unparalleled environmental impact, with more than 2 billion tonnes of waste going to landfills every year. The amount of waste created by the supply-chain network and its detrimental ecological effects has made online retailers reevaluate their methods and develop sustainable solutions within the sector by incorporating eco-friendly practices.
Most e-commerce companies are revamping their brand ethos across their websites and social media platforms by adopting policies on sustainability and undertaking the actions necessary to promote it. The need for quick shipment in e-commerce is more significant than ever due to the rise of consumerism. Organizations are attempting to lessen the effects of shipping and the waste quantity created by adopting recyclable packaging, such as cardboard boxes, or using less packing by providing correctly sized packaging and investing in alternative transportation methods. Through energy audits, e-commerce businesses also minimize energy waste in their infrastructure.
Online retailers are making substantial efforts to promote items that focus on sustainability through a circular economy by allowing customers to buy or sell recycled goods. Online merchants are also adopting the concept of ‘procuring with purpose’, providing potential partners with a thorough analysis of business supply chains so they may evaluate the social, economic, and environmental effects of transactions.
Role of E-commerce for Sustainable Business Development
Organizations are implementing recovery strategies after the Covid-19 to restore economies and reconstruct one that is more sustainable, clean, green, healthy, safe, and resilient. This implies dealing with the fundamental problems of the world economy while also taking into account the major task of developing safer and more reliable energy systems. A growing number of policymakers are stepping up their efforts and commitment to implementing sustainable development goals to encourage an inclusive and sustainable economic recovery and contribute to creating a more adaptable society. With the advent of digital transformation, it is possible to re-access how business models might support environmental sustainability across the value chain and how full environmental transparency and accountability can be achieved. The sustainable recovery of the economy could then spur economic growth, create new jobs and reduce global greenhouse gas emissions.