The adage “no product is too big to fail” is no longer enough to inspire businesses, as they grapple with the impact of climate change, environmental regulations, and consumer demand.
But the way that companies and consumers can tackle the challenge of climate-related disasters, pollution, and hunger is changing.
A study from the McKinsey Global Institute (KGI) released on Tuesday shows that there is a strong correlation between the amount of money invested in a brand and the success it has in the marketplace.
The KGI report, titled Climate-Resilient Brands, reveals that a brand that is “climate resilient” has a much higher return on investment than a brand with “business-as-usual” outlook.
It is estimated that a global brand with a “business as usual” outlook has an 80 percent higher return than a company with a sustainable outlook.
The study also shows that climate-resilient brands are much more likely to be able to sustain and grow in a time of economic uncertainty and increased competition from new competitors.
In addition, the KGI study also suggests that climate resilience is a major driver of growth in the global pet market.
The global pet population is expected to reach more than 6 billion by 2025, and the number of pet owners will double by 2050.
The report finds that pet owners are significantly more likely than non-pet owners to say that they are planning to buy a new pet within the next five years, and pet owners also are much less likely to have pet-related debt compared to non-owner pet owners.
The global pet economy is predicted to be worth $2.3 trillion by 2050, with more than half of this being in the pet-focused pet industry.
The adoption of climate resilient products will not be easy, as there are currently no standards for carbon footprint-friendly products.
But it will be an enormous challenge for the global community to continue to make progress and keep up with the growing demand for pet products.
This story was produced by Reuters.
Please follow Business for America on Twitter and Facebook for the latest news and information.