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Natural skepticism regarding this regulatory free lunch should remain unabated. vintage american flag veteran thank you for your service poster Now a heated debate has arisen around these two views.

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As companies globalize their operations, they must account for these developments if they hope to manage environmental costs and opportunities. Most companies would be surprised to learn vintage american flag veteran thank you for your service poster that their environmental achievements have been easy. After all, in the same period, those companies saw compliance costs soar. Moreover, the optimistic tone of today’s corporate environmental rhetoric reflects management’s desire to give its stockholders a unifying vision for a complex array of environmental initiatives. Nevertheless, senior managers are fully aware that many compliance and remediation efforts won’t increase—but will protect—shareholder value. They know that any serious discussion about gaining competitive advantage from environmental issues must emphasize future possibilities. 1. Compliance and competitiveness.

Most companies focus on compliance, not competitive advantage—for good reason. Environmental managers would welcome a world in which they could “search exclusively for win-win solutions.” In reality, however, they concentrate on ensuring compliance with current environmental regulations, remediating environmental problems caused by past operations, and anticipating the impact of proposed regulations. In discussing competitive advantage in the environmental realm, lines must be clearly drawn between activities driven primarily by shareholder value and those driven by regulations, liabilities, and public expectations. The authors’ lack of a consistent focus on these distinctions leads to misunderstandings about industry’s relations with the win-win school of thought. Walley and Whitehead offer many valuable insights, but their emphasis on the win-win mind-set in corporate environmental management circles does not ring true. The picture is bleaker still for the tenet that environmental regulation stimulates innovation and competitiveness. Not a single empirical analysis lends convincing support to this view. Indeed, several studies offer important, if indirect, evidence to the contrary.