Does green retailing produce red or black ink?

Coducting retail operations in a manner that protects the environment ___ green retailing ____may increase a firm's costs . Carried too far , it might result in a business loss, or "red ink" as it's called . However , it's also possible that a commitment to the environment could yield profits , or "black ink". Consider a few reasons and actual examples .

More and more consumers are concerned about the natural environment. However,according to two executives with Mary kay Cosmetics, "Instead of shelling out extra money for a "green" product , consumers now want to buy it at the same price as any other product ."

Many retailers have launched initiatives related to one or more of the "4 R's" of environmental protection :

¤Reducing : Numerous retailers are reducing the amount of packaging on items they either purchase or produce for sale.

¤Recycled . Other retailers rely on recycled materials for product packaging and operating supplies (such as stationery and other paper products). Most of Mary Kay's shipping cartons are now made of recycled paperboard .

Recycling . Besides recycling paper and related items , many retailers recycle beverage containers and other forms of packaging . Kmart is going a step further ,testing a used-tire recycling program. If all goes well , the recycled materials will reappear as rubber mats , parking -lot asphalt ,and plastic shelving.

Reusing. Some retail stores urge consumers to reuse ,rather than discard ,empty packages such as glass jars and plastic bottels. For example , Body Shop International ,a retailer of skin -care and hair care products , asks customers to bring empty containers back to the store for refilling.

These "R's" demonstrate good citizenship. Moreover ,a growing number of retailers believe they represent sound business because they can provide a differential advantage and attract added customers . A good example is Body Shop, which has expanded from its base in Great Britain to more than 100 stores in the U.S. Much of the stores' appeal is based on heavy reliance on natural ingredients for its products ,minimal packaging, and refillable containers . Body Shop complements its environmental consciousness with a commitments to social causes , such as buying ingredients from villagers in developing countries .