The Economics of Doing Good
By: P.Ling on 09 21, 2009
For anyone tracking Conde Nast Traveler’s World Savers Congress in New York City, one of the most interesting panels was the one on The Economics of Doing Good - moderated by the NY Times’ Nicholas Kristof.
The panel was a discussion about where Social Responsibility fits into the overall vision of profit oriented corporate policy.
Everyone agrees that doing good doesn’t mean less profit, and we’re moving towards a world where profits and corporate responsibility go hand in hand.
The same applies for green travel companies, where green means a lot of positive publicity, cost savings and an additional incentive for travelers to book in. Green business is good business.
Unfortunately, the economics of doing good for eco-friendly travelers is - at present - not so good. When it comes to green travel, offering travelers the same chance to profit because they’re being good does not seem to be that easy. In fact, travelers are punished for being good.
Take for example, the issue of carbon offsets for flights. San Francisco just opened airport kiosks where you buy carbon credits before the flight. Any traveler who does not buy carbon credits ends up paying less than the good guy who bought the offsets.
Is rewarding indifference and punishing good behavior going to help save the world from climate change?
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