Business Activity and Market: The Search for a New “Práxis” Through Sustainability

Business Activity and Market: The Search for a New “Práxis” Through Sustainability

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Abstract

The State and the Business Activity have a relationship of Interdependence. That holds the punitive and regulatory power, this, the economic. The achievement of the global Sustainability goal implies harmony between the actors for joint policies. In view of this, it aims to demonstrate the participation of the business sector to achieve this objective, through socio-environmental managementwith the organization or business financially viable, fair to the Company and endowed with environmental responsibility. To do so, the relationship between the human being and the environment is first analyzed in order to identify the consequences of human performance over time. Subsequently, the application of Sustainability as a concept to the application of management policies for the business sector is studied, considering the awareness developed about the existence of a Risk Society, as well as, the possibility of benefits arising from this management model. The method used was inductive.

INTRODUCTION

The end of the twentieth century - due to the adoption of more radical social criteria, such as consumerism 1 , and state attitudes beyond ethical 2 principles of environmental preservation, brought the need to debate and implement mechanisms to preserve the environment 3 4 5 . The unsustainability of the misuse of what the natural world offers motivates research, as well as the recurrent discourse about the impossibility of making a company's 6 management compatible with the demands of ecological integrality of nature and social needs (TRENNEPOHL, 2011, p. 19).

In contrast to this thinking, it is intended, as a general objective of this study, to demonstrate the benefits of socio-environmental management - with the organization or business financially viable, fair to the Society and endowed with environmental responsibility 7 . This question arises, corroborating the idea of Ulrich Beck 8 , that the same Society that produces Risks is affected by them at a certain time, including those who benefited most from them. Unpredictable and invisible risk becomes real destruction (PEDRINI, 2018) without being able to often identify who causes the greatest damage and the intensity of its global diffusion. One can say, for example, the effects of climate change.

Specific objectives are: a) to evaluate how the conditions of interaction between humans and non-humans in the Environment occur; b) determine whether Sustainability can be used as a criterion for action to transform the current corporate image.

From these conditions, concrete cases are presented in order to illustrate the research, as well as the application of Sustainability 9 as a strategy of competition and improvement of the Company's image based on the new Consumer 10 model because "[...] the stakeholders themselves in the market... they must observe the collective aspirations of consumers, so that they integrate this new world order" (TRENNEPOHL, 2017, p.32).

The relevance of the theme is justified in accelerating environmental degradation and in the invisibility of social strains 11 resulting from a retrograde view of business management and the inefficiency of joint policies to the public sector1 12 .

As a research problem we have: There is compatibility between management and the lucrative pretensions of the sector? The provisional hypothesis for this question indicates that another strategy is needed beyond the simple attainment of profit. To the extent that companies focus on the criterion of sustainability, another type of consumer emerges without a social ideology of consumerism. The new corporate image requires a permanent commitment to suit human well-being and not human well-being. In this case, the transnational corporate legacy, for example, is constituted by the image of maintaining ecological integrality for present and future generations.

Regarding the Methodology used, it is recorded that in the Investigation Phase2 13 the Inductive Method 14 will be used, in the Data Processing Phase the Cartesian

Method 15 , and, in the Results Report, the Inductive Logic base. In the various phases of the Research, the Referent Techniques 16 , Category 17 , Operational Concept 18 and Bibliographic Research 19 will be activated.

I. THE INTERACTION BETWEEN BEINGS: HUMAN AND THE ENVIRONMENT

The human capacity to inhabit, manage and modify the environment in which he lives, that is, the planet, has, with the experience of the years, triggered discussions about the conciliation between the human being and the lived environment. The dialogue resulting from this interaction aims at finding socially desirable results, as well as avoiding gross mistakes made during history, aiming at harmony with the Environment. In other words, "[...] guarantee levels of environmental quality that allow man to perpetuate himself, as well as other species" (GRANZIERA, 2009, p. 6).

According to Silva (SILVA, 2002, pp. 27-28), this is harmony for Sustainable Development, "which consists in the balanced exploration of natural resources within the limits of meeting the needs and well-being of the present generation, as well as their conservation in the interest of future generations".

This need must be a permanent goal in the human attitude because, although endowed with autonomy, rationality and peculiar aptitudes that, added, do not exist in other beings that inhabit the planet, the human being is not independent of the environment in which he lives. In fact, "[...] man must be attentive and open to his natural environment, since it depends ontologically, existentially and functionally of the environment that provides him with the means for his subsistence" (MONTEIRO, 2014, p.3).

For this reason, and since the ecosological 20 alterity of this relational dimension between humans and nonhumans is often ignored, Environmental Law, understood by the position of "broad anthropocentrism" 21 , does not always become the best instrument to ensure the "right to existence" of Nature as "being-own". The New Latin American Constitutionalism, due to the experience of the Andean indigenous peoples, has already begun a different movement on this aspect and that, now, it takes a global course.

This inexorable dependence on human beings for the environment demonstrates the "reason why most of the major challenges of society today, in one way or another, are related to ecological problems [and] [...] incite the prudence of human conduct towards their natural environment" (MONTEiRO, 2014, p.3).

In the Anthropocene 22 era, therefore, to seek alternatives to encourage and mitigate human practices that disagree with sustainable goals and harm the present and future of the collectivity is imperative. Law, in its normative sense, must also understand the systemic character of the ecological dynamics 23 , since

Sustainability, in its legal meaning 24 , has as its premise for action this understanding.

The twentieth century had great relevance for the evolution of the concept of Sustainability 25 . In the course of that time up to the present time, the need to balance the use of natural resources with economic growth has been analyzed and discussed, so that socially acceptable means of development 26 can be found.

The fomenting of these concerns, however, occurred in the Late Middle Age 27 , owing to the rise of international trade and economic expansion. That time, The concern about the dichotomy between the protectionism of state sovereignty and the need for and viability of international trade as a source of wealth - and therefore the discussion on sustainable issues was still embryonic 28 .

The twentieth century as a milestone is justified by the expansion and narrowing of these inter-state relations 29 , which was called Globalization, as well as the closing of the period doctrinally established as Industrial Revolution. This new panorama, in which there is a society experiencing accelerated stages of transition to new forms of organization, refers not only to the market and the economy, but also to political and democratic discussion (CRUZ; BODNAR, 2012, p.24), which will be improved according to the problems caused precisely by this new scenario and by the management of these world relations - inciting the discovery of new strategies.

With the advent of Globalization, the impacts of previously regional or national problems have transcended the imaginary geographical lines attributed to countries on the globe. According to Demarchi (2019, p. 42) environmental, climatic, technological and other issues become transnational, that surpasses the control of the state", they become global.

In this sense, it has been observed that, although there has always been human exploitation of nature, the capacity for recovery of the Environment before the Industrial Revolution and Globalization 30 was realized by it - self-recovery, that is, excessive use of available natural resources has prevented the regression of these effects carried out naturally in previous periods (GIMÉNEZ, 2002, pp. 23-25).

The Global Footprint Network conducts annual surveys to measure the ecological balance in the world - called "Earth Overshoot Day" (UNITED STATES OF AMERICA, 2018), in a free translation, "Earth Overload Day" in order to measure when we end the possibility of self-reconstruction and harmony with the environment. In 2018, this ecological footprint 31 will occur on August 1 - that is, when a planet will no longer be sufficient for the pollution 32 produced.

Put another way, "the Earth has been in the overdraft for a long time. It is in red. It takes more than a year and a half to restore what we have taken away from it for a year" (BOFF, 2015, p. 25-26). Legislative measures at the national and international levels to date do not appear to be sufficient or clear to reduce this situation.

The justifications for this scenario are many. May and Daly (MAY; DALY; 2015, p. 27) believe that, at the international level, although many countries have ratified Treaties and Conventions, therefore, human rights 33 forecasts in environmental matters, some of them do so based on image and politics that is, without any real intention of implementing the provisions set out. The adoption of this position only reinforces the understanding that Sustainability would be just an ideology 34 to reinvent old ways of domination and exploitation, whether of the people or the Earth's ecosystems.

In addition to these factors, these international documents, according to these authors (MAY; DALY, 2015, p.28), were created in times when there was no current awareness about the relevance of environmental preservation and, with other recognized rights, since environmental law, in itself, is not a cause for complaint. "For example, the ECHR considered that a State's failure to control excessive noise pollution [...] may not impact environmental rights per se, but privacy and protected family rights" in the European Convention. This lack of support, or legal reasoning to develop it, in a way that gives strength to the environmental pretensions, is also a reason for the state today.

Finally, they attribute the inefficiency of environmental rights, internationally, to the absence of institutional mechanisms or, where they exist, are insufficient, as well as the fact that, in most of the countries, they do not include in their Constitutions the right to a quality environment 35 , even if they support or promote it internationally (MAY; DALY, 2015, p.28).

It is observed that, at the international level, legislative inefficiency or the absence of sufficient and strong mechanisms to achieve norms or curb actions and behaviors that confront its provisions is fundamental to the current scenario. Regarding the organization at the national level, Paulo Marcio Cruz and Bodnar (CRUZ; BODNAR, 2009, p.3), "the State can no longer give consistent answers to the Society in the face of the complexity of transnational demands that continually increase". Because of this scenario, it is believed [...] that the main factor of these cyclical crises is located exactly in the modern Constitutional State itself."

This is an argument that can be identified from the limits of a jurisdiction, even if constitutional, in order to solve the demands of the common goods. In a society of global risk, the effects of providing environmental judicial protection, for example, can not achieve the desired effectiveness due to the complexity of interaction among global actors that contribute to the greater diffusion and intensity of damages that affect the ecological integrity of the Planet.

There are many researches in order to find solutions to the problems presented by this new globalized form of world organization and its ills. In this research report, in order to reach and assign responsibility to those who contribute most and operate in the production of new risks, we analyze the possibility of new consumer requirements and, consequently, new forms of transnational corporate management with a view to sustainability. The epistemological cut carried out in this study removes the State as a direct participant in possible solutions in search of Sustainability 36 .

II. THE APPLICATION OF SUSTAINABILITY IN THE ENVIRONMENTAL BIAS TO THE CORPORATE IMAGE

In adopting the idea of a risk-producing society, according to Ulrich Beck (BECK, 2015, p. 28), in addition to accepting that the industrial society produces threat situations, it is believed that socially recognized risk, as well as the idea of its potential existence, even abstractly, in everyday social reflection, implies relevant "explosive political ingredient".

This scenario occurs because "[...] what until recently was considered apolitical becomes political - the fight against 'causes' in the very process of industrialization" (BECK, 2015, p. 28). In this area, therefore, Sustainability becomes a variable for good business management, since there is a "[...] definitive dispute about risks: not only of the resulting health problems for nature and the human being, but of the social, economic and political side effects of these side effects" (BECK, 2015, p. 28).

These reflections should therefore be included in the agenda for private sector management, as they are present in the "[...] market losses, capital depreciation, bureaucratic controls of business decisions, opening of new markets, astronomical costs judicial procedures, loss of prestige" (BECK, 2015, p. 28), among others.

It is noted that attention to the needs imposed by the Sustainable vision, especially in its environmental aspect, does not only subsist as an ethical 37 justification, around a concern with human well-being, but precisely becomes a condition for the survival of the company in the business game. In other words, the success and permanence of entrepreneurial activity depends exclusively on its understanding and praxis 38 of this new categorical global imperative.

The ideology of economic and business progress always understood as a measure of infinite growth has already proved to be a failed way of life. The 21st century demands other economic criteria in order to ensure this interdependence between human and non-human in a harmonious way. It does not mean that we need to adopt an "economic zero mark", but to identify how it is possible to generate profit without destroying the world around us. For this reason, the expression "ecological completeness" becomes a key part of this understanding.

The introduction of sustainable perspectives is also a paradigm shift, since what "[...] a long time ago could be understood as a mere modism or specific tendency of sectors and activities with potentially polluting potential to occur irreversibly" (SANTOS; SOUZA, 2017, p. 91).

As a result, the "new competitive paradigm requires the organization to turn environmental strategies into a top management issue, to incorporate environmental impact into the broader issue of increasing productivity and competitiveness" (BÁNKUTI, 2014, p.174) directs "the decision-making process by the resource productivity model and not by the pollution control model. Under this approach, economic competitiveness and environmental enhancement" (BÁNKUTI, 2014, p. 184) are intertwined, since "innovation is capable of improving quality while simultaneously promoting cost reduction" (BÁNKUTI, 2014, p. 184).

Therefore, there was a change in the concept of corporate responsibility in order to "emphasize the impact of business activities on with which it interacts (stakeholders): employees, suppliers, customers, consumers, employees, investors, competitors" (TACHIZAWA, 2006, p. 86), among others.

In view of the existence of these actors, the new conception of Enterprise does not only consider profit per se, but also because, faced with new demands for environmental management, it would be impaired, but it requires the introduction of ethical values responsible for the valorization of integrated and sustainable development, able to improve quality and efficiency in business management, with due social reflexes.

Almeida (ALMEIDA, 2009, p.14-15) argues that "[...] planning and implementing an adaptation strategy can generate tangible and short-term benefits for companies". These include: "Competitive advantages, resource savings, control of investor pressure, management of state regulation, stimulation of the resilience of surrounding communities and management of company accountability".

As an example, research on business impacts of climate change by the World Business Council for Sustainable Development may be used. The report identified that 19% of the risks to companies are exposed to extreme weather conditions and 17% to regulations, 13% show a break in the supply of raw materials and 12% in the supply chain and infrastructure, 14% are due to reputational problems, 10% are due to slow climate change and 9% are subject to civil liability (WORLD BUSINESS COUNCIL FOR SUSTAINABLE DEVELOPMENT, 2008).

The main stakeholders in business sector development encounter difficulties when there are no adequacy strategies, as investment analysts may require, for example, effective demonstration and demand disclosure of existing mechanisms in companies, as well as investors themselves can move away from companies with high risk or contributing to its occurrence (WORLD BUSINESS COUNCIL FOR SUSTAINABLE DEVELOPMENT, 2008). It should not be forgotten that business activities carried out with weak or no concern with environmental protection instruments are to a greater degree subject to the imposition of fines and other administrative or judicial sanctions 39 .

On the other hand, the ideals of Sustainability, analyzed for the moment in the environmental bias, can also increase to the profitability of Companies. The World Business Council for Sustainable Development considered that, on a large scale, they provide new products and services, as well as create new markets. In addition, they make the Company's regulatory framework more simplified and facilitate access to the raw material (WORLD BUSINESS COUNCIL FOR SUSTAINABLE DEVELOPMENT, 2008).

It is called Eco-efficient the philosophy developed in the companies that aims at environmental improvements that, in parallel, enhance the economic benefits. "It focuses on business opportunities and enables companies to become more environmentally responsible and more profitable. It encourages innovation and therefore growth and competitiveness" (WORLD BUSINESS COUNCIL FOR SUSTAINABLE DEVELOPMENT, 2001, p. 8).

Eco-efficient companies use mechanisms to implement sustainable visions. The starting point is "dealing with pollution problems through Compliance Management. Then, [...] proactively avoid pollution through Cleaner Production" (WORLD BUSINESS COUNCIL FOR SUSTAINABLE DEVELOPMENT, 2001, p.10) 40 . The third point is the "Responsible Entrepreneurship, through which the private sector aims to balance the three pillars of sustainability (social justice, economic prosperity and ecological balance)" (WORLD BUSINESS COUNCIL FOR SUSTAINABLE DEVELOPMENT, 2001, p.10) 41 .

In this other report produced by the World Business Council for Sustainable Development, it was found that Companies such as: Volkswagen, Lura, Parmalat and Carvajal have already adhered to Eco-efficiency (WORLD BUSINESS COUNCIL FOR SUSTAINABLE DEVELOPMENT, 2001, p. 19-21). In addition, "initiatives such as the Responsible Action program, the World Business Council for Sustainable Development, the Global Compact, the adoption of sustainability indicators" (SANTOS; SOUZA, 2017, p.91) in the business sector, "The growth of the number of companies with environmental certification (ISSO 140001, Emas, FSC, etc.), demonstrates this scenario, demonstrating that environmental management has come to stay" (SANTOS; SOUZA, 2017, p. 91).

In Brazil, companies such as 3M do Brasil, Alcoa Alumínio, Amanco Brasil, Anhanguera Educacional, Banco Real, Basf, Carrefour, Coca-Cola Brazil, EDP - Energias do Brasil, HSBC, Natura, Petrobras, Philips do Brasil and Suzano, in one way or another, sustainable measures in their business activities 42 .

However, despite these adoptions, business activity must be clear that the challenge of adopting Sustainability as an ethical and economic criterion demands an increasingly complex response that is not exhausted by financially rhetorical ideologies, that is, each business achievement must reflect a new and effective attitude towards Sustainability related to the Consumer. The ecological dynamics of sustainability in the environmental, economic, philosophical and social dimensions, for example, favor the proximity between human beings and the natural world and provides care attitudes not because this conduct allows the survival of the species, but because there is a new take of consciousness of the human being as part of the web of life.

Linked to these structural and material conditions, "[...] green or environmental marketing should aim to create a differentiated image of the company, including a greater environmental sensitivity regarding product attributes and positioning" (GUIMARÃES, 2006, p. 78), directed to the environmental concern of the Company. This conduct "allows the company itself to signal to the market and its stakeholders the competitive advantage derived from environmental management" (GUIMARÃES, 2006, p. 78).

In this case, environmental management, associated to green marketing 43 , allows companies adhering to this new vision to externalize it to stakeholders 44 who obtain a broad tool for the acquisition of products and the requirement of new conduits of the sector, constituting a relevant and indispensable factor for the evolution and expansion of the application of Sustainable mechanisms.

According to a survey carried out for the Exame Sustainability Guide, 40% of Brazilian companies "[...] affirm that they are in the process of reviewing the business in view of their socio-environmental impacts and identifying externalities linked to products and processes" of most of the company (EXAME AWARDS THE COMPANIES THAT MOST STAND OUT IN SUSTAINABILITY, 2017).

In addition to these factors, he found that "[...] seven out of ten companies formally enter into commitments linked to socio-environmental goals - and present them publicly. Last year [2017], about 56% of the companies had this type of document" (EXAME AWARDS THE COMPANIES THAT MOST STAND OUT IN SUSTAINABILITY, 2017) 45 .

This fact demonstrates that, in addition to state impositions, the new business strategy based on the dynamics of Sustainability is a strong reflection of the analysis of the evolution of the consumerist consciousness about eco-efficient products and services. The Akatu and Ethos Institutes conducted research on consumer expectations in this scenario. As a result, they obtained the high concern of the Consumer by involving the Sustainable Slopes, among them the Environment - the rational use of water and energy (BRAZIL, AKATU INSTITUTE, ETHOS INSTITUTE, 2018).

Another relevant data in a new research is constituted by the awareness of the power of influence of the Brazilian citizen in order to reach goals that are sought by them. "In 2007, 75% of the population agrees that" as a consumer, I can interfere in the way a company acts responsibly". In 2002, 77% agreed (totally or partially) with this phrase, and in 2004 this percentage was 76%" (BRAZIL, AKATU INSTITUTE, ETHOS INSTITUTE, 2018).

In view of all these arguments, business practice, under the ethical angle of Sustainability, can not ignore scenarios of high social, economic and environmental complexity in order to prevail in the simple attainment of profit and perpetuate a Global Risk Society. By insisting on this "time of catastrophes", the entrepreneur confuses Sustainability as a simple moral value. This misconception can not be committed. In this case, the entrepreneur must relearn that Sustainability is a requirement that must be both in the perspective of the attitude and in the structure of the business, after all and as Stengers points out (STENGERS, 2015, p. 59): "It is not", but of the business with which the Entrepreneur demands that we do not go".

III. FINAL CONSIDERATIONS

It was observed with the development of the research that the use of Sustainability not only helps reduce costs for the provision of services or business, but also improves exponentially the Company's image before the Company.

Most companies see social and environmental responsibility as good business, suggesting that Eco-Friendly Companies are in line with corporate morality and ethics. This has also been the growing view of Consumers on this scenario, which also affects the choice of the private sector to invest in mechanisms that effect this demand.

Therefore, it is important to emphasize the importance of a different posture of the population by assuming the role of Conscious Consumer, so that Business Activity, in order to sustain itself in the face of competition, needs to adapt its products and services to the new requirements of the Market.

At the same time, the implementation of an effective compliance program, in relation to Eco-efficient mechanisms in the exercise of business activity, makes negotiation more secure and transparent - between companies or between Consumers and companies, as well as, brings more confidence and attractiveness of investors and financiers. Such a vision, moreover, avoids the cost of capital and increases the market value of the organization, directly benefiting the company and hence its partners, not counting on the social benefits of a harmonious relationship between all these actors.

Footnotes

  1. 9 The author will use the following Operational Concept for the Category mentioned: It is the ecosophic understanding about the capacity of resilience between beings and the environment to determine - in a synchronic and / or diachronic way - which are the attitudes that favor survival, prosperity, the adaptation and maintenance of a balanced life. A autora utilizará o seguinte Conceito Operacional para a Categoria mencionada: É a compreensão ecosófica acerca da capacidade de resiliência entre os seres e o ambiente para se determinar - de modo sincrônico e/ou diacrônico - quais são as atitudes que favorecem a sobrevivência, a prosperidade, a adaptação e a manutenção da vida equilibrada. (p.2)

  2. 10 “Consumer is any natural or legal person who purchases or uses a product or service as final recipient”. “Consumidor é toda pessoa física ou jurídica que adquire ou utiliza produto ou serviço como destinatário final” (BRASIL, 1990). (p.2)

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Funding

No external funding was declared for this work.

Conflict of Interest

The authors declare no conflict of interest.

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No ethics committee approval was required for this article type.

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How to Cite This Article

Clovis Demarchi, Tainá Fernanda Pedrini. 2021. "Business Activity and Market: The Search for a New “Práxis” Through Sustainability". Global Journal of Human-Social Science - C: Sociology & Culture GJHSS-C Volume 21 (GJHSS Volume 21 Issue C4).

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Business activity, market trends, sustainability in research, global journal publication.
Journal Specifications

Crossref Journal DOI 10.17406/GJHSS

Print ISSN 0975-587X

e-ISSN 2249-460X

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GJHSS-C Classification FOR Code: 370199
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v1.2

Issue date
August 23, 2021

Language
English
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Business Activity and Market: The Search for a New “Práxis” Through Sustainability

Clovis Demarchi
Clovis Demarchi
Tainá Pedrini
Tainá Pedrini