Chapter 15: Sustainability Marketing Strategy Formulation

After reading this chapter, you will be able to:

Over recent decades, there has been a major shift in mind-set of people, corporations and governments towards the sustainability agenda. This growing rate of adoption of sustainability policies and practices has initiated a debate regarding the nature and scope of sustainability and its long term as well as short-term impact on the business (Aragon-Correa, 1998; Fraj-Andres, Martanez-Salinas, & Matute-Vallejo, 2009; Stead & Stead, 2017; WCED, 1987). There has been much discussion about sustainability, and the major queries that emerged are the following:

During the process of strategic decision-making, the decision-makers seek to identify the strategic problems and examine their nature and their underlying causes as well. The term sustainability comprises various norms and activities that are associated with preservation of the environment and communities along with realizing the financial gains (Buysse & Verbeke, 2003; Camino, 2007; Charter, Peattie, Ottman, & Polonsky, 2006; Dam & Apeldoorn, 1996). The increasing sustainability challenges pose a clear risk to the normal continuation of the firm's existing business operations. Several firms over the globe have acknowledged that millions of dollars can be saved through implementation of sustainability programmes across their value chains (Fraj-Andres, Martanez-Salinas, & Matute-Vallejo, 2008). However, the most critical challenge is faced by firms when they consider sustainability as a transformational driver instead of a strategic issue. Thus, the integration of sustainability vision into the firm's strategic decision-making and strategy content is of utmost importance for the firm to gain competitive advantage over the rival firms.