ISM AND ISEG MBA - Développement durable

odies should be allowed to take severe action against companies whose products no longer merit
certification, but their certification procedures should nevertheless be open to audit,
To avoid conflicts of interest, manufacturers should not be allowed to operate labeling schemes.
Benefits of eco-labeling
Green labels bestow a number of major benefits 9 :
1. Informing consumer choice
Eco-labeling is an effective way of informing customers about the environmental impact of
certain products and the choices they can make. It enables people to discriminate between
products that are harmful to the environment and those more compatible with environmental
objectives. An eco-label makes the customer more aware of the benefits of certain products, for
example, recycled paper or toxic-free cleaning agents; it also promotes energy efficiency, waste
reduction and product stewardship.
2. Promoting economic efficiency
Eco-labeling is generally cheaper than regulatory controls. By enabling customers and
manufacturers to make decisions associated with environmental protection, the need for
regulation is kept to a minimum; this benefits government and industry alike.
3. Stimulating market development
When a customer chooses eco-labeled products, he is exerting a direct influence on supply and
demand in the marketplace. This is a signal which guides the market towards greater
environmental awareness.
4. Encouraging continuous improvement
9 Business and sustainable development: A global guide, from www.bsdglobal.com/
42