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Ethics and the environmentCosts and benefits of minimising packaging

Businesses can choose to work in a way that profits only the owners or in ways that benefit the community. Working ethically means acting in ways that are both fair and honest. Ethical businesses try to minimise their impact on the environment.

Part of Business managementOperations

Costs and benefits of minimising packaging

Businesses use packaging to:

  • help preserve their product
  • transport it
  • protect it from damage
  • attract customers

To help the environment and reduce costs, most businesses aim to reduce the amount of packaging they use.

Bulldozer on landfill
Image caption,
Reducing packaging also reduces cost because less landfill is required
CostsBenefits
Increased risk of damage due to insufficient packagingCan reduce production costs as less materials are required for packaging
May become less attractive to customersCan reduce transport costs as goods are smaller and lighter
Reduces cost because less landfill is required
Can improve brand image
CostsIncreased risk of damage due to insufficient packaging
BenefitsCan reduce production costs as less materials are required for packaging
CostsMay become less attractive to customers
BenefitsCan reduce transport costs as goods are smaller and lighter
Costs
BenefitsReduces cost because less landfill is required
Costs
BenefitsCan improve brand image