Why Sustainable Entrepreneurship Matters
Specially written for PAPERCRAFTMIRACLES.com
By: Raisie Josephine
Entrepreneurship is recognized for its role in creating jobs and keeping economies alive. Rather than simply maximizing profits and markets as conventional businesses do, entrepreneurs are now challenged to take part in the fight against global challenges such as climate change. A new generation of small and mid-size businesses is including sustainable practices in their business models in order to reduce their carbon footprint and greenhouse gas emissions.
The rest of the entrepreneurial landscape can contribute to this positive and wide-reaching impact through the right strategies. Here’s why sustainable entrepreneurship matters in achieving business success and creating a shared value between people and their communities.
Productivity and cost reduction from sustainable practices
Sustainability is not just an investment large firms can make; sustainable practices like pollution-free product development and manufacturing can also be adopted by SMEs and entrepreneurs.
In fact, such practices can even make you eligible for external funding ventures and grants as long as you meet sustainability standards. Infusing your business with a greater purpose and a mission to be more sustainable can also drive productivity and boost morale among your employees who share the same values. Lastly, switching to energy-efficient measures, eco-friendly materials and packaging, and zero-carbon emission shipping reduces overall operating costs—allowing you to invest your savings as you grow and expand your business.
Market opportunities for sustainable goods and services
Sustainable enterprises also do not have to worry about maintaining customer reach and loyalty due to the growing demand for eco-friendly products. In contrast to how retail executives prioritize brand awareness and reputation, consumers’ purchase decisions are influenced by sustainability and environmental consciousness. They want the products and brands that they buy to reflect their desires to reduce production waste, minimize their carbon footprint, and be concerned about animal welfare.
As such, businesses of any size should adopt sustainable practices and subsequently be transparent about these efforts. Millennial consumers, in particular, are willing to pay more for products that use locally sourced or recycled materials, while Gen Z values sustainable manufacturing practices like using digital 3D sampling over animal testing.
Focus on meaningful connections and networks
It's important to be wary of greenwashing, which involves companies falsely marketing their products, services, or practices as eco-friendly without actually committing to being environmentally sustainable and responsible. In order to avoid surface-level greenwashing, entrepreneurs can try alternative marketing efforts. Influencer marketing has several benefits for sustainable businesses. Influencers primarily lend an air of authenticity to the brand’s environmental messaging, while their connections with their followers can also be leveraged for customer reach and then converted into sales.
While there is no one-size-fits-all approach to influencer marketing, brands should ensure that they partner with sustainability-minded influencers. Regardless of whether you work with a micro-influencer in niche environmentalist circles or a mid-tier influencer with a broad following, make sure you highlight shared values in the mix of informative and product-focused content.
The concept of doing well and doing good
Ultimately, sustainable entrepreneurship relies on the concept of doing well in terms of being financially healthy and doing good in terms of creating positive social and environmental change. Taking on the major project of creating half a million seed bombs involved sustainable practices that created shared value for the company through sales and client satisfaction, as well as for the artisans through fair wages and increased earning potential. Coordinating sustainable materials, production processes, and working conditions enabled Papercraft Miracles LLC to forward its mission while being able to support families along the way. Therefore, doing well and doing good must always be seen as reciprocal and mutually beneficial when practicing sustainable entrepreneurship.
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