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How do degrowth-actions affect the environmental impact of a business?

Written by Janick Schnorr

Paper category

Bachelor Thesis

Subject

Business Administration>General

Year

2014

Abstract

Bachelor Thesis: The impact of premium degradation actions on the environment. The impact of degradation on the environment. Environmental impacts can be considered as all human activities that affect the environment. As early as the 1970s, Erich and Holden found a way to describe different environmental factors through the IPAT formula: I = P x A x T (see Sorman and Giam-piertro 2011; Ehrlich et al., 1975, 175). The letter I on the left side of the formula represents the impact on the environment, and the P on the right represents population, wealth and T technology. According to the IPAT formula, humans’ impact on the environment can be affected in three different ways: first, reducing population (P), second reducing wealth (A), and third improving technology (T), thereby increasing factors. Although Pis can be clearly quantified, it is much more difficult to set the measured value of A (see Ehrlich et al. 1975, 174 ff.). Ehrlich et al. concluded that due to the lack of alternatives, GDP must be used as the key data. However, the factor Ti is again easier to quantify through the key indicator environmental impact of each unit of use. But at this point, the question of how to determine the environmental impact is still unresolved. Most methods of dealing with reducing environmental impact try to achieve this goal by reducing the factor T, thereby achieving lower unit environmental damage (see von Weizsäcker et al., 2009, 356 f.) in order to illustrate how de-growth is related to this The class method is different, and it makes sense to apply its previous findings to the IPAT formula. By doing so, it is easy to see that de-growth is not only related to the reduction of factor T, but also the reduction of factor A (see Sorman & Giampietro 2011). Among other facts, this is reflected in the heated debate and widespread criticism of the composition of affluence with GDP as an indicator (see section 2.3.2). But de-growth also detects the interaction between A and T. For example, applying the rebound effect identified in Section 2.3.3 in the context of the IPAT formula means that a decrease in factor T may lead to an increase in factor A, and therefore may imply even greater environmental impacts in general. It is further shown in Section 2.3.3 that the desire to reduce Tstands is on the one hand to increase corporate investment pressure, and on the other hand, it may lead to higher social expenditures. The overall result is that a higher GDP rate is required. 27 The growth method, obviously, in addition to T, the latter also includes factor A. Ehrlich et al. pointed out that all three factors are the same and interact and reproduce (see Ehrlich et al., 1975, 175 f.). 4.2 Premium's established effect of de-growth on the environment has shown that de-growth is a complex problem, applicable to different fields. In recent scientific research, growth is mainly discussed from a macroeconomic perspective, rather than in the business environment. However, it is wise to understand how de-growth actions affect the environment to assess under what circumstances their application makes sense to the business. A scientific assessment that has proven that individuals' de-growth behavior has a positive ecological effect will encourage corporate management to consider. In order to encourage a single company like Premium, it is useful to only discuss the environmental impact of individual growth measures instead of discussing what might be useful from a macroeconomic perspective. For this reason, this section will discuss the potential impact of the identified Premium de-growth behavior on the environment. In order to explain the possible impact of de-growth actions on the company, we have developed the following table, which will be used as the basis for subsequent sections. On this basis, the environmental impact will be discussed in a later section. Since the de-growth effect works in many ways, and because it is impossible to present and analyze the entire range of these effects in this article, the four effects of these effects are selected as follows (limited business growth, stable structure, more Less resources and transfer) are gradually taken into account their environmental impact. One way to assess the environmental impact is to use LCA as a tool (see section 2.2), which Premium has already done in 2009 through their product Premium-Cola. On the basis of LCA, this article will discuss whether LCA as a tool is sufficient to capture and evaluate the environmental impact of degraded behavior. To investigate this, the procedure is as follows. First, it shows why this effect occurs during the premi-um de-growth operation. Secondly, the impact of each effect on the environment is discussed. 4.3 Determining the impact of Premium's degradation behavior and its environmental impact The following will introduce and discuss the environmental impact of determining the impact. What needs to be remembered is that all influences will influence each other to some extent. Effect 3 can be seen as the result of 1 and 2. 4.3.1 Effect 1: Limited business growth One effect of the determined de-growth effect of Premium is limited business growth. This is mainly caused by the de-growth effect (see Table 1). The first thing that must be explained is that two different business growth constraints must be distinguished. On the one hand, the growth rate of premiums is limited, on the other hand, the absolute size of the company is restricted. Read Less