Sustainability (AQA A Level Business): Flashcards
Exam code: 7132
1/270Still learning
Know0
Define sustainability.
Was this flashcard helpful?
Cards in this collection (27)
Define sustainability.
Sustainability in business means meeting the needs of the present without compromising the ability of future generations to meet their own needs, balancing economic, social and environmental considerations.
True or False?
Sustainability always reduces a business's long-term profitability.
False.
Sustainability is likely to lead to long-term profitability, because businesses that ignore social or environmental risks may face rising costs, legal challenges or resource shortages.
How can sustainability improve a business's access to finance?
Many investors and banks now favour, or require, evidence of sustainable practices before investing or lending.
How can sustainability help a business recruit and retain staff?
Employees often want to work for businesses whose values align with their own, so sustainability can improve recruitment, retention and motivation.
Sustainability supports long-term resource ______, protecting the materials and energy a business will continue to need.
Sustainability supports long-term resource security, protecting the materials and energy a business will continue to need.
How can sustainability create competitive advantage?
Sustainability differentiates a business from rivals that are seen as less sustainable.
Why is the cost of sustainability a particular challenge for smaller businesses?
Sustainable materials and technology are often more expensive in the short term, and smaller businesses may not enjoy the cost benefits of economies of scale.
Why can shareholder pressure conflict with sustainability?
Shareholders often want short-term financial results, which conflicts with the longer payback period of many sustainability initiatives.
True or False?
Sustainability impacts, such as carbon emissions, can be difficult to measure consistently.
True.
Impacts such as carbon emissions or social impact are hard to measure consistently. This makes it difficult for a business to prove genuine progress.
Why do complex supply chains make sustainability hard to implement?
Businesses often rely on suppliers around the world, which makes it difficult to monitor and guarantee sustainable practices throughout the whole supply chain.
Define greenwashing.
Greenwashing is when a business exaggerates or falsely claims that its products, services or practices are environmentally friendly in order to appear more sustainable than it really is.
Why is it hard to balance stakeholder needs when implementing sustainability?
Shareholders, employees, customers and environmental groups may have competing priorities, so it is difficult to satisfy every group at once.
Sustainability expectations and regulations keep evolving, so businesses must continually ___ rather than treating sustainability as a one-off project.
Sustainability expectations and regulations keep evolving, so businesses must continually adapt rather than treating sustainability as a one-off project.
Define environmental sustainability.
Environmental sustainability means minimising a business's negative impact on the natural environment while still meeting its operational and commercial needs.
Define carbon footprint.
A carbon footprint is the total greenhouse gases produced directly and indirectly by a business, including its supply chain.
Designing products and processes so materials are reused, repaired or recycled rather than thrown away is known as _________.
Designing products and processes so materials are reused, repaired or recycled rather than thrown away is known as circularity.
What is meant by resource efficiency?
Resource efficiency means using the minimum resources, such as energy, water or materials, needed in production.
True or False?
Improving environmental sustainability always reduces a business's productive efficiency.
False.
Businesses that address environmental issues often improve productive efficiency at the same time, and reduce their exposure to rising costs, changing regulations and reputational risk.
Define social sustainability.
Social sustainability means a business operating in a way that treats people fairly, both within the organisation and across its supply chain and community.
What does ethical sourcing involve?
Ethical sourcing involves ensuring suppliers meet acceptable standards on workers' rights, checking working conditions in supplier factories and avoiding simply choosing the cheapest option.
How does social sustainability protect a business?
It protects a business from reputational and legal risks, and can improve relationships with employees, communities and customers.
Define economic sustainability.
Economic sustainability means a business generating long-term profitability without exploiting the resources or people it depends on to do so.
True or False?
Focusing on quick profits can leave a business vulnerable to economic downturns.
True.
A short-term focus can leave a business vulnerable to downturns, resource shortages and reputational shocks. Planning for the long term supports resilience.
How does an economically sustainable business behave?
It plans for the long term, reinvests appropriately and balances shareholders' interests against the needs of employees, suppliers, customers and the environment.
What three areas does Elkington's Triple Bottom Line measure?
The Triple Bottom Line measures a business's profit (finances), planet (environmental impact) and people (social responsibility).
Elkington argued that only a company measuring people, profit and planet was considering the ________ of its activities.
Elkington argued that only a company measuring people, profit and planet was considering the full costs of its activities.
What are the benefits of using the Triple Bottom Line framework?
It helps identify risks and opportunities across all three areas and gives a consistent structure for measuring and comparing sustainability performance. It also improves stakeholder trust.
Sign up to unlock flashcards
or