Chapter 4: Sustainability and Natural Resources Flashcards
Today, it is “__________ correct” to focus on sustainability and metro resources. _______ and _______ are paying a lot of attention to sustainability.
politically; politicians; companies
state in which the demands placed upon the environment by people and commerce can be met without reducing the capacity of the environment to provide for future generations.
environmental sustainability
Brundtland Commission Definition: meets the needs of the present without compromising the ability of future generations to meet their needs
sustainable development
The mindset of sustainable environment is NOT to make it difficult for people to _______ what they want to, but rather to do this with the idea of _________ as much as possible of the resources as you develop new products.
consume; conserving
an evaluation of the environmental aspects of a product or service throughout its life cycle; assesses the cumulative impact of the product.
life cycle assessment
The Life Cycle Assessment can lead to reductions of _________ _______, ______ structure, and potential __________ in inputs, processes, and wastes.
environmental footprints; cost; carcinogens
Emerging “_____ ______” shows companies accepting responsibility for the impact of their activities.
product stewardship
More than 90% of ______ consider sustainability to be important to the success of their company
CEO’s
_____% of students in business schools place a priority on learning about environmental and social issues.
88%
Which country is very good at sustainable development through marketing? What do they do that makes them good?
Europe; “green label”
suggests that products and services should be designed to completely close the production loop, so that all resources needed to produce them are recycled and reused rather than discarded or left to pollute.
cradle-to-cradle design
The focus of the cradle-to-cradle design is _______ and minimizing ______.
recycling; pollution
T or F: In the cradle-to-cradle design, there’s an understanding that there will be pollution, but you want to pollute as little as possible and when you do, you want to deal with the pollution you create.
True
What is an example of a treaty about minimizing pollution and conserving more?
Paris Treaty
What is the concern of some people in regards to treaties about minimizing pollution and conserving more?
The treatment of countries (allowing developing countries like India and China to pollute a lot more than the U.S.) (On the other hand, India and China aren’t as mature economically as the U.S., so they are trying to overcome a certain gap.)
What are the 2 components of the cradle-to-cradle design?
- Technical nutrients
- Biological nutrients
What are the 3 tools for measuring sustainability?
- Carbon Disclosure Project
- Carbon Footprint
- Water Footprint
a measure of the volume of greenhouse gas emissions caused by a product’s manufacture and use.
carbon footprint
non-profit organization that provides reporting frameworks for sustainable water use and reduction of greenhouse gas emissions; advocate for the reduction of the carbon footprint
carbon disclosure project
a measure of the amount of water used in a product’s manufacture and use.
water footprint
What are the 3 main elements of sustainability? (These elements intersect)
- Economic
- Environmental
- Social
The intersection of economic, environmental, and social elements produces _________.
sustainability
What results from the intersection of social and economic elements?
Equitable
What results from the intersection of social and environmental elements?
Bearable
What results from the intersection of economic and environmental elements?
Viable
What are the 3 characteristics of an environmentally sustainable business?
- Limits
- Interdependence
- Equity Distribution
What characteristic of an environmentally sustainable business is this:
addresses the reality that environmental resources are exhaustible
limits
Where is air extremely polluted (3 places)?
Thailand, Bangkok, and China
What characteristic of an environmentally sustainable business is this:
the complex relationships that sustainable practices create among ecological, social, and economic systems, in which actions in one of these systems may affect the other two, often in ways that are not easily predicted.
interdependence
T or F: Each action in the ecological, social, and economic is likely to have consequences and impacts on other actions.
True (ex: if you want to build a factory in a certain part of the country, this may create some social and economic difficulties, like women moving from rural areas to the city to work, and breaking up of the traditional family)
T or F: For system interdependence to work, there has to be vast differences in the distributions of gains.
False; there CANNOT be vast differences in the distributions of gains
What has become extremely important and the whole issue of fair trade?
Equity
T or F: We have free trade agreements with other countries. However, this doesn’t necessarily mean that trade is fair.
True (ex: some countries don’t have the same labor standards as we do, so they develop an advantage over us.)
If a country has an advantage over another country, this translates into a _____/______ advantage, and they will be able to sell their products in the U.S. at a (smaller/larger) price.
cost/price; smaller
Why is it difficult for some people in underdeveloped countries to trade?
They have to sell their products to entities that control the movements of goods so they don’t have much of a say as to how much money they make (They don’t always get paid what they deserve, and there are no remedies against it).
Some people in the west are insisting on fairness in trading to help the _____ _______.
small growers
What is a way to gain control over the supply chain?
Backward integration
anyone who has anything to do with an entity
stakeholder (ex: the stakeholders for Auburn University are the students, the faculty, the administration, the alumni, the city of Auburn, etc.)
Why may there be a constant struggle between stakeholders?
Their interests may not always be the same (conflicting, competing interests)
an understanding of how business operates that takes into account all identifiable interest holders; gives all stakeholders a voice.
stakeholder theory
approach to accounting that measures the firm’s social and environmental performance in addition to its economic performance.
triple-bottom-line accounting
T or F: Triple-bottom-line accounting allows for comparisons across companies.
False; doesn’t allow for comparisons because measurements, especially social and environmental areas are not standardized.
T or F: If you say companies shouldn’t pollute at all, it will be at the expense of workers at that company.
True
natural resources such as air, land, and water that provide us with the goods and services on which our survival depends.
natural capital
T or F: Location can contribute to a country’s competitive advantage.
True
_________’s political neutrality made it a good location during the Cold War.
Austria’s
Geographic proximity affects formation of ________ groups.
trading
How do mountains effect the interaction of people? (3 things)
- Separate markets
- Results in language and cultural differences.
- Creates regional markets (often with altitude adjustments)
How do deserts and tropical forests effect the interaction of people? (3 things)
- Separate markets
- Increase cost of transportation
- Create population concentrations
How do bodies of water effect the interaction of people?
- Attract people
- Facilitate transportation
- Inland waterways provide access to interior markets
Meteorological conditions, including temperature, precipitation, and wind that prevail in a region.
climate
T or F: greater economic and intellectual development has occurred in temperate climates of Southern Europe and U.S.
False; NORTHERN Europe
anything supplied by nature on which people depend.
natural resources
energy that comes from sources that are naturally replenished, such as sunlight, wind, and water flow.
renewable energy
energy that comes from sources that cannot be replenished, such as the fossil fuels– petroleum, coal, and natural gas– and nuclear power.
nonrenewable energy
What are 3 things that have been used historically as a political weapon to influence importing countries?
- Energy
- Oil
- Gas
What are 4 examples of nonrenewable energy sources?
- Petroleum (oil)
- Coal
- Natural Gas
- Nuclear Power
T or F: Oil shale has remained underdeveloped due to environmental issues.
True
What has opened new reserves for acquiring petroleum?
Fracking
- Data suggests many countries are _______ nuclear capacity.
- What is the main issue of nuclear power?
- Expanding
- Safety
______ is projected to decline as an energy source.
Coal
Emissions from burning coal are responsible for _______ _______.
global warming
What are the cleanest burning fossil fuels?
Natural gas
What country has become extremely wealthy because of their ability to liquify gas and export it?
Qatar
What are 3 examples of renewable energy sources?
- Wind power
- Biomass
- Solar Photovoltaic Power (PV)
- Wind power is now a mainstream source for _______.
- What is the energy source for biomass?
- Where does the power of solar photovoltaic power come from?
- electricity
- photosynthesis
- voltage created when certain materials are exposed to light
What country leads the way in renewable energy sources in relation to its population?
Europe
17 non-fuel mineral elements used in national defense applications (and a lot of other applications) and in all areas of modern manufacturing.
rare earths
_______ _________ prevent non-fuel minerals (rare earths) from being commercially viable to mine.
Insufficient concentrations
What country produces more than 80% of output of rare earths?
China
T or F: Early business sustainability efforts looked beyond their own operations and focused on the external aspects of conservation and environmental regulation.
False
T or F: The stakeholder model for environmentally sustainable business has failed because we don’t have an accounting system to measure the present costs of environmental irresponsibility.
False
T or F: “Petroleum man” faces inevitable extinction, as we currently understand resources.
True
T or F: Biomass is a category of renewable energy fuels based on their heavy weight.
False
T or F: Geothermal power is derived from mirrors or sensors used to collect sunlight.
False
When considering the limits associated with sustainability, a company should address!
a. that environmental resources are exhaustible.
b. the amount of renewable resources it takes to build the company’s products.
c. whether or not government approval is necessary when creating environmental controls.
d. the best season or time of year in which to produce.
a. that environmental resources are exhaustible.
The three characteristics of evolving sustainable business practices are
a. local, global, and improving quality of life.
b. environmental sustainability, quality of life sustainability, and triple bottom-line accounting. !
c. limits, interdependence, and equity.
d. being green, centering on the customer’s needs, and demonstrating simple kindness.
c. limits, interdependence, and equity.
The stakeholder model requires businesses to think about
a. the stakeholders’ interest in profitability.
b. the network of tensions caused by competing demands.
c. strategy in light of sustainability.
d. the frequency of social issues faced by the stakeholders.
b. the network of tensions caused by competing demands.
Tropical rain forests are!
a. a barrier to economic development.
b. an important source of agriculture, due to their fertile soil.
c. the equivalent of marshes along coasts.
d. locations of significant rural population centers due to their bodies of water.
a. a barrier to economic development.
