Green Growth, Green Profit

Beyond Sustainability

The push toward sustainability in the 21st century will mean as much to business as the Industrial Revolution did in the 19th century. Green innovations will profoundly change how societies work and live. In this new world, alternative forms of energy and energy distribution, reduced waste, and improved efficiency will transform the way governments, businesses and households operate.

Going green and expanding a business are not contradictory actions. In the course of developing green supply chains, businesses can become more profitable by producing energy-efficient products and cutting waste. Inefficient companies will go out of business or will suffer from missed opportunities. But companies that redesign themselves to embrace green practices and technologies will advance. The global market for green business is already huge – totaling approximately €1.6 trillion (around $2.1 trillion) at the end of 2010 – and is on course to double by 2020. This augurs new opportunities for companies to grow, gain market share and generate new revenues. “Four megatrends” are shaping this transformation:

1. “Demographics” – With a growth...