P&G Sachet Economy

Why do companies want to be more sustainable?

• Because it saves them money in the long run.

• To look good in pictures.

• They don't really want to; it's just for show.

• Because laws force them to do it only.

Answer explanation

Companies pursue sustainability not only because it can lead to cost savings through more efficient use of resources but also to improve their brand image, attract customers, and meet increasing consumer demand for environmentally responsible practices.

What is NOT a problem with how companies are ranked for being green?

• Too many different rankings confuse companies.

• Some rankings are secret about how they decide.

• Companies have to pay money to get a better rank.

• They give out free snacks.

Answer explanation

Common issues raised about ranking systems are their abundance, lack of transparency, and potential conflicts of interest.

How do public sustainability goals affect companies?

• They solely motivate employees by making them accountable

• Only serve as marketing messages with no real impact

• Can incite competitors to set more ambitious goals

• Always lead to secretive corporate cultures

Answer explanation

Public sustainability goals not only motivate employees and hold them accountable but also serve as a competitive tool that can spur rivals into action, encouraging them to set or pursue more ambitious environmental targets.

Which statement best describes the relationship between competition and collaboration in sustainability efforts

• Companies exclusively compete and never collaborate on sustainability

• Sustainability efforts are purely collaborative with no competitive aspect

• Companies will compete or collaborate based on what is most effective for reaching their sustainability objectives

• Collaboration is legally mandated, making competition irrelevant

Answer explanation

The relationship between competition and collaboration in sustainability is nuanced. Companies strategically decide whether to compete or collaborate based on various factors, including the effectiveness of each approach in achieving sustainability goals, the cost-benefit analysis, and the potential for securing a competitive advantage.

What are the implications of the "sachet economy" in developing countries?

• It significantly reduces overall plastic pollution by promoting recycling.

• Sachet products are primarily distributed in high-income countries to reduce waste.

• It leads to significant environmental pollution due to improper disposal of single-use plastic packaging

• It increases the availability of sustainable packaging options in the market.

Answer explanation

The "sachet economy" enables access to essential goods for those in poverty through single-use sachet packaging, which is affordable. However, this practice has led to serious environmental concerns as these sachets, often made of plastic, are disposed of improperly, contributing significantly to plastic pollution in communities, particularly in developing countries.

What were the key achievements of P&G's Ambition 2030 sustainability goals by the end of 2019?

• Increased greenhouse gas emissions by 25% and increased water use in manufacturing.

• Achieved zero manufacturing waste going to landfill in more than 92% of their sites.

• Stopped production of consumer goods in the beauty, grooming, and health care segments.

• All manufacturing plants were closed to reduce carbon footprint.

Answer explanation

By the end of 2019, under its Ambition 2030 sustainability goals, P&G made significant progress in several environmental areas. They reduced absolute greenhouse gas emissions by 25%, cut water use in manufacturing facilities by 27% per unit of production, and achieved zero manufacturing waste going to landfill in over 92% of their manufacturing sites.

What challenges did P&G face regarding its environmental impact in the Philippines?

• P&G was recognized as a leader in environmental sustainability and awarded for reducing plastic usage by 80%

• P&G committed to making all its plastic packaging reusable or recyclable by 2030 and planned to reduce the amount of plastic in its packaging by 50%

• The company was solely responsible for the successful segregation of waste in the Philippines by 2018.

• P&G completely eliminated single-use plastic packages from its product line by 2019

Answer explanation

In response to the growing concerns about its environmental impact, P&G committed to ambitious goals by 2030, including ensuring that 100% of its plastic packaging would be reusable or recyclable and aiming to reduce the volume of plastic in its packaging by 50%.

Which of the following options is NOT being considered by P&G to address environmental concerns related to sachet packaging?

• Collaborating with other stakeholders to create a circular economy by upcycling sachet waste into durable products.

• Developing biodegradable sachet packaging or waterless products to reduce plastic waste.

• Phasing out all product lines and ceasing operations to eliminate plastic waste production entirely.

• Justify the Status Quo and the Nature of the Business

Answer explanation

Phasing out all product lines and ceasing operations, is not mentioned as a consideration and would not align with P&G's goal of reducing environmental impact while continuing to provide products to consumers.

Which of the following is NOT one of the United Nations' 17 Sustainable Development Goals (SDGs)?

• Ensure inclusive and equitable quality education and promote lifelong learning opportunities for all.

• Achieve gender equality and empower all women and girls.

• Promote sustainable tourism that creates jobs and promotes local culture and products.

• Take urgent action to combat climate change and its impacts.

Answer explanation

Sustainable tourism is a component of broader objectives, such as SDG 8 (Promote sustained, inclusive and sustainable economic growth, full and productive employment and decent work for all) and SDG 12 (Ensure sustainable consumption and production patterns), but it is not listed as a standalone goal among the UN's 17 SDGs.

Why are sachet packages popular in developing countries?

• They provide an affordable way for low-income individuals to purchase necessities.

• Sachets are used exclusively for luxury products to enhance their appeal.

• They are designed to reduce internet usage among consumers.

• Sachets increase the shelf life of products by several years.

Answer explanation

Sachet packaging is popular in developing countries because it allows consumers, who may not have the financial means to make bulk purchases, to buy small, affordable quantities of essential goods like shampoo, toothpaste, and detergent.