Decision Making for the Environment Social and Behavioral Science Research Priorities (2005) / Chapter Skim
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Appendix C Business Decisions and the Environment: Significance, Challenges, and Momentum of an Emerging Research Field--Andrew J. Hoffman
Appendix C Business Decisions and the Environment: Significance, Challenges, and Momentum of an Emerging Research Field--Andrew J. Hoffman
Pages 200-229
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Driven by major environmental events such Rachel Carson's Silent Spring, the Santa Barbara oil spill, the Cuyahoga River fire, Love Canal, Bhopal, the Exxon Valdez spill, the Brent Spar controversy, and many others, conceptions of corporate environmentalism as regulatory compliance in the 1970s gave way to newer management conceptions of "pollution prevention," "total quality environmental management," "industrial ecology," "life-cycle analysis," "sustainable development," "environmental strategy," "environmental justice," and others. The media focus of these conceptions expanded from air and water in the 1970s to hazardous waste, remediation, toxics, right to know, ozone, global warming, acid rain, solid waste, chlorine phase out, and environmental racism today.
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and the Management Institute for Environment and Business (now part of the World Resources Institute)
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. · Soil degradation has become a major issue on as much as 65 percent of agricultural land worldwide, reducing the productivity of about 16 percent of that cropland, especially in Africa and Central America (World Resources Institute, 2000b)
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. As a result, there is a great need for the study of business decision making as part of a social science research agenda.
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204 DECISION MAKING FOR THE ENVIRONMENT acteristics similar to other social issues such as gender equity, affirmative action, or labor relations, although it is also distinct from these issues in several ways. On the other hand, it has technical and economic components that make it similar to other strategic issues such as consumer demand, material processing, or competitive strategy, but again it has differences that require special attention.
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APPENDIX C 205 our social, political, economic, and technical structures that are unique from any other demands the corporation faces. They focus attention without warning, imposing demands for action and change.
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206 DECISION MAKING FOR THE ENVIRONMENT ism increasingly affects basic business economics, effectively redefining the conceptions of production in industry. Issues such as gender equity or affirmative action will involve some gain or loss to specific individuals within the firm; however, the economic output of industrial activity should remain fundamentally unchanged (Hoffman and Ehrenfeld, 1998)
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In fact, the study of the environment has been on the agenda of the modern physical sciences for long enough that boundary-spanning research specialties like ecology are now recognized areas of research and professional standing. In contrast, attention to the natural environment within the social sciences is relatively preliminary both in research traditions and in professional infrastructure and has few established cross-disciplinary research fields (efforts in this regard are noted in the areas of urban planning, geography, and risk management)
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208 DECISION MAKING FOR THE ENVIRONMENT producers and consumers that cause them. Public goods -- even essential environmental services for which no markets exist, such as clean air and other "common pool resources" -- also are often destroyed because excessive or damaging uses cannot easily be excluded, and each user tends to undervalue them.
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APPENDIX C 209 Perspectives from Law When addressing concerns over corporate activity and the natural environment, scholars in the field of law focus on the equitable distribution of rights and liabilities. The legal system is devoted to avoiding or rectifying perceived wrongs that are the result of human or nonhuman action.
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210 DECISION MAKING FOR THE ENVIRONMENT tate away from the study of pristine environments toward those more thoroughly and unmistakably shaped by human hands" (Rosen and Sellers, 1999:582-583)
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APPENDIX C 211 mental movement; (4) technological risk and risk assessment; and (5)
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. Furthermore, academic journals dedicated to the interface between managerial action and environmental protection also emerged, including Society and Natural Resources, Business Strategy and the Environment, Social Science Quarterly, and Organization & Environment.
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APPENDIX C 213 Shrivastava, 1995)
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214 DECISION MAKING FOR THE ENVIRONMENT valuable, inimitable, and nonsubstitutable will lead to a sustained competitive advantage. Yet, no adequate operationalization of these resources exists in the context of the environment (or in the minds of some, in all of strategy research)
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APPENDIX C 215 natural ecosystems as its model (Friedman, 2000) , industrial ecology highlights transformational change in local, regional, and global material and energy flows, the components of which are products, processes, industrial sectors, and economies.
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216 DECISION MAKING FOR THE ENVIRONMENT issues (Hoffman, 2001)
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APPENDIX C 217 fluence or appeal to that decision-making process. Conventional marketing wisdom suggests that the best marketers can expect is that when goods provide comparable value (and are comparably priced)
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218 DECISION MAKING FOR THE ENVIRONMENT the green marketing agenda and looks toward more sustainable societies, economies, and companies that will require more significant changes to production and consumption within mass markets rather than market niches. This research agenda seeks to understand how to achieve this end.
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APPENDIX C 219 only at shareholders but also at a range of stakeholders. This raises new questions about the objectives, quality and determinants (country, sector, size, degree of internationalization, multinationality, etc.)
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220 DECISION MAKING FOR THE ENVIRONMENT to reducing environmental impacts -- for example, the U.S. sulfur dioxide emissions permit market (Tietenberg, 2002)
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APPENDIX C 221 knowledge about the nature of environmental problems they encounter. Through the strategic steering of networks (DeBruijn and Heuvelhof, 2000)
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222 DECISION MAKING FOR THE ENVIRONMENT And, in closing, it must be noted that research into corporate environmental behavior is now transitioning into new areas regarding sustainable development. The shift represents an expansion and augmentation rather than a change in focus within the research agenda.
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APPENDIX C 223 Barney, J 1991 Firm resources and sustained competitive advantage.
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Washington, DC: Island Press. Flannery, B., and D
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Roome, ed. Washington, DC: Island Press.
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Committee on the Human Dimensions of Global Change, T Dietz and P
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Pp. 303-310 in National Research Council, New Tools for Environmental Protection: Education, Information, and Voluntary Measures, Committee on the Human Dimensions of Global Change, T
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Pp. 197-232 in National Research Council, The Drama of the Commons, Commit tee on the Human Dimensions of Global Change, T
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Washington, DC: World Resources Institute. 2000b World Resources, 2000-2001: People and Ecosystems.
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