The Future of ESG Investing in the Denim Jeans Sector

The denim jeans industry has long been associated with style, durability, and cultural significance. However, in recent years, it has also come under scrutiny due to its environmental and social impact. To address these concerns, many companies within the industry have taken significant steps towards incorporating Environmental, Social, and Governance (ESG) principles into their operations. In this post, we will explore the ESG initiatives and sustainable transformations taking place in the denim jeans industry, highlighting the positive changes and the challenges that lie ahead.

Environmental Initiatives:

a. Water Conservation: Several denim brands have adopted innovative techniques like laser technology and ozone washing to reduce water consumption during the manufacturing process. They also invest in water recycling systems to minimize their overall water footprint.

b. Sustainable Materials: Companies are exploring alternative materials such as organic cotton, recycled denim, and plant-based dyes to reduce the environmental impact of denim production. These initiatives aim to minimize water usage, toxic chemical discharge, and carbon emissions associated with traditional denim manufacturing.

c. Supply Chain Transparency: Brands are increasingly committed to ensuring transparency throughout their supply chains. They collaborate with suppliers to trace the origin of raw materials, implement fair labor practices, and reduce the use of hazardous chemicals. This transparency helps consumers make informed choices and supports ethical labor practices.

Is your business one of participants to the global Denim Jeans Industry? Contact us for focused consultation around ESG Investing, and help you build sustainable business practices.

Social Responsibility:

a. Fair Labor Practices: The denim industry is actively working to improve labor conditions in factories and ensuring fair wages for workers. Companies are joining industry-wide initiatives that focus on worker welfare, rights, and safety. They are also encouraging the adoption of international labor standards and certifications.

b. Diversity and Inclusion: Brands are recognizing the importance of diversity and inclusion within their workforce. They are actively promoting gender equality, supporting minority groups, and fostering a culture of inclusivity throughout their organizations. These efforts aim to create a more equitable industry that represents and respects all individuals.

Governance and Ethical Standards:

a. Ethical Sourcing: Denim brands are implementing strict guidelines for sourcing raw materials to ensure they are not linked to deforestation, child labor, or human rights abuses. They engage in responsible sourcing practices and conduct regular audits to maintain their ethical standards.

b. Corporate Governance: Companies are adopting robust governance frameworks, including independent board structures, strong risk management practices, and transparent reporting. They prioritize stakeholder engagement and take into account the interests of employees, customers, communities, and shareholders.

Growth of the Denim Jeans Market

The denim jeans market was economically valued at global scale at USD 64.62 billion as of 2018 and is forecasted to expand with a CAGR (compound annual growth rate) of 6.81 from 2019 to 2025. In terms of ESG the key players of the market have made policies and strategies to reduce the damage caused to the environment by including practices such as circular economy and adapting to renewable sources of energy. However, the challenge for the denim jeans market remains in terms of value chain, which involves logistics and packaging, which produces carbon footprint.

Key Companies in this theme

    • Levi Strauss & Co.

    • VF Corp.

    • The Gap, Inc.

    • H&M Hennes & Mauritz AB

    • Kering S.A.

Conclusion:

The denim jeans industry is undergoing a significant transformation, embracing ESG principles to address the environmental and social challenges it faces. Through sustainable initiatives, such as water conservation, the use of sustainable materials, fair labor practices, and improved governance, denim brands are striving to create a more responsible and ethical industry. However, there is still much work to be done to ensure a truly sustainable denim jeans industry. By supporting brands that prioritize ESG values and demanding transparency, consumers can play a crucial role in driving positive change and influencing the industry towards a more sustainable future.

Browse more ESG Thematic Reports from the Consumer Products Sector, published by Astra - ESG Solutions

About Astra – ESG Solutions By Grand View Research

Astra is the Environmental, Social, and Governance (ESG) arm of Grand View Research Inc. - a global market research publishing & management consulting firm.

Astra offers comprehensive ESG thematic assessment & scores across diverse impact & socially responsible investment topics, including both public and private companies along with intuitive dashboards. Our ESG solutions are powered by robust fundamental & alternative information. Astra specializes in consulting services that equip corporates and the investment community with the in-depth ESG research and actionable insight they need to support their bottom lines and their values. We have supported our clients across diverse ESG consulting projects & advisory services, including climate strategies & assessment, ESG benchmarking, stakeholder engagement programs, active ownership, developing ESG investment strategies, ESG data services, build corporate sustainability reports. Astra team includes a pool of industry experts and ESG enthusiasts who possess extensive end-end ESG research and consulting experience at a global level.

For more ESG Thematic reports, please visit Astra ESG Solutions, powered by Grand View Research

ESG Reporting in the Telecom Services Sector

The telecom services industry is a vital driver of global connectivity, enabling communication and digital transformation across the globe. In this post, we explore the Environmental, Social, and Governance (ESG) practices within the telecom services sector. Discover how telecom companies are embracing sustainability, bridging the digital divide, prioritizing data privacy, and promoting responsible supply chain management. Join us as we delve into the efforts made by the industry to create a more connected, inclusive, and sustainable digital future. Here are some key aspects related to the telecom services industry and ESG:

Environmental Impact

Telecom companies operate extensive network infrastructure and data centers, which consume significant amounts of energy and contribute to carbon emissions. However, many companies are actively implementing energy-efficient technologies, transitioning to renewable energy sources, and adopting sustainable practices to reduce their environmental footprint.

Bridging the Digital Divide

Ensuring access to affordable and reliable telecommunications services is crucial for promoting inclusivity and bridging the digital divide. Telecom companies are investing in expanding network coverage, deploying infrastructure in underserved areas, and offering affordable internet access to enhance connectivity for all communities, including those in remote or disadvantaged areas.

Data Privacy and Security

Given the sensitive nature of personal data handled by telecom companies, ensuring data privacy and cybersecurity is paramount. Companies are implementing robust measures to protect customer data, comply with privacy regulations, and safeguard against cyber threats. They actively invest in technologies, processes, and employee training to maintain the highest standards of data privacy and security.

Is your business one of participants of the global Telecom Services Industry? Contact us for focused consultation around ESG Investing, and help you build sustainable business practices.

Responsible Supply Chain Management

Telecom companies have complex global supply chains involving various components and equipment. Embracing responsible sourcing practices, ethical procurement, and supplier diversity are essential to minimizing environmental impact, promoting fair labor practices, and mitigating supply chain risks.

Corporate Governance

Good corporate governance is crucial for the telecom services industry to maintain transparency, accountability, and ethical decision-making. Companies are adopting robust governance structures, promoting board diversity, and integrating ESG metrics into executive compensation to align incentives with sustainable business practices. Stakeholder engagement is also prioritized to ensure the industry's actions consider all relevant perspectives. 

By focusing on ESG practices, the telecom services industry aims to create a positive impact on the environment, society, and governance. This includes reducing carbon emissions, promoting access to communication services for all, safeguarding customer data, ensuring responsible supply chain practices, and maintaining high standards of corporate governance. The industry recognizes the importance of sustainability and strives to contribute to a connected and sustainable digital future for everyone.

Growth of The Telecom Service Market

According to 2020 research, the Global Telecom Service Market was valued at USD 1,657.7 billion and is expected to increase at a compound annual growth rate (CAGR) of 5.4% in 2028 from the baseline of 2021. With the extensive reach of Telecom Services, the sector has the highest threat for security breach leading to regulatory and reputational risks. To address this, telecom industries are enhancing their data security and social responsibility to their customers to attract investors.

One of the major barriers that the global market is with affordability. Although there is a visible trend in declining rate of voice calls and data services, globally there exist numerous countries with unaffordable telecom services.

Currently India has the second largest telecommunication market in the world with a customer base of 1189.28 million. With the government’s initiative to Digital India campaign, it opens a door for a plethora of opportunities in this field.

Key Companies in this theme

    • AT&T Inc.

    • Verizon Communications Inc.

    • Telefonica SA

    • Vodafone Group

    • Orange SA

    • BT Group

Browse more ESG Thematic Reports from the Technology Sector, published by Astra - ESG Solutions

About Astra – ESG Solutions By Grand View Research

Astra is the Environmental, Social, and Governance (ESG) arm of Grand View Research Inc. - a global market research publishing & management consulting firm.

Astra offers comprehensive ESG thematic assessment & scores across diverse impact & socially responsible investment topics, including both public and private companies along with intuitive dashboards. Our ESG solutions are powered by robust fundamental & alternative information. Astra specializes in consulting services that equip corporates and the investment community with the in-depth ESG research and actionable insight they need to support their bottom lines and their values. We have supported our clients across diverse ESG consulting projects & advisory services, including climate strategies & assessment, ESG benchmarking, stakeholder engagement programs, active ownership, developing ESG investment strategies, ESG data services, build corporate sustainability reports. Astra team includes a pool of industry experts and ESG enthusiasts who possess extensive end-end ESG research and consulting experience at a global level.

For more ESG Thematic reports, please visit Astra ESG Solutions, powered by Grand View Research

Sustainability in the Mental Health Apps Industry: ESG Trends

In recent years, the mental health industry has witnessed a significant transformation with the rise of digital platforms and mobile applications designed to support mental well-being. As this sector continues to expand, it is crucial to focus on the Environmental, Social, and Governance (ESG) aspects within the mental health apps industry. ESG considerations are becoming increasingly important in determining the overall sustainability and ethical impact of these applications. In this post, we will explore the significance of ESG principles in the mental health apps industry and examine how companies are incorporating ESG practices to promote positive social change.

Environmental Considerations:

• Carbon Footprint: Mental health apps that rely on cloud-based infrastructure and data storage can contribute to carbon emissions. Companies can prioritize selecting eco-friendly hosting providers and implementing energy-efficient technologies to minimize their carbon footprint.

• Sustainability Initiatives: Organizations can demonstrate their commitment to environmental sustainability by implementing practices such as recycling, reducing paper usage, and adopting renewable energy sources for their operations.

Social Impact:

• Accessibility and Inclusivity: Mental health apps should strive to be accessible to individuals from diverse backgrounds, ensuring that language, cultural, and disability barriers are addressed. Companies can invest in user research and inclusive design to create apps that cater to the needs of all users.

• Privacy and Data Security: Safeguarding user data is of utmost importance. Companies should adhere to stringent data protection regulations, prioritize user consent, and implement secure encryption practices to maintain user trust and privacy.

• Ethical Content and Messaging: Mental health apps must provide accurate and evidence-based information, avoiding stigmatizing language or perpetuating harmful stereotypes. Transparent communication about the limitations and potential risks of the app's features can help users make informed decisions.

Governance Practices:

• Ethical Leadership: Companies in the mental health apps industry should adopt strong governance practices that promote ethical decision-making. This includes establishing a code of conduct, fostering an inclusive and diverse work environment, and implementing robust whistleblower policies.

• Stakeholder Engagement: Engaging with stakeholders, including users, employees, and the wider mental health community, is crucial for understanding their needs and concerns. Regular feedback and collaboration can help companies improve their apps and ensure they meet the highest standards.

Is your business one of participants of the global Mental Health Apps Industry? Contact us for focused consultation around ESG Investing, and help you build sustainable business practices.

As the importance of sustainability, social impact, and ethical governance continues to grow, here are some key ESG trends observed in the mental health apps industry:

1. Ethical Data Handling: With the increasing reliance on user data for personalized mental health support, companies are placing a greater emphasis on ethical data handling practices. This includes obtaining informed consent, anonymizing data, and implementing stringent security measures to protect user privacy.

2. Diversity and Inclusion: Mental health apps are recognizing the importance of diversity and inclusivity in their offerings. Companies are striving to create apps that cater to a wide range of individuals, considering factors such as language, culture, gender identity, and accessibility needs. Inclusive design and user research are being utilized to ensure that these apps are accessible and relevant to diverse populations.

3. Sustainable Technology Infrastructure: Mental health apps rely on technology infrastructure such as servers, data centers, and cloud services. With a growing awareness of environmental impact, companies are seeking sustainable alternatives for hosting and data storage. They are exploring energy-efficient technologies, renewable energy sources, and carbon offsetting to reduce their carbon footprint.

4. Employee Well-being and Support: ESG considerations extend beyond the app users to the companies' own employees. Mental health app providers are prioritizing employee well-being by offering mental health support services, flexible work arrangements, and fostering a positive work culture. These practices promote a healthier and more engaged workforce.

Growth of the Mental Health Apps Market

Mental health apps Market size has been valued at USD 4.2 billion in 2021 and is expected to expand at a compound annual growth rate (CAGR) of 16.5% from 2022 to 2030. Rising utilization of mental health apps owing to their benefits in improving treatment outcomes and lifestyle and increasing awareness regarding mental health as a significant health condition are some of the major factors boosting the market growth. Telemedicine Practice Guidelines in accordance with WHO as well Ministry of Health and Family Welfare (MoHFW) have been monitoring these Mental Health Apps segment.

Key Companies in this theme

    • Mindscape, Calm

    • Mood Mission Pty Ltd.

    • Sanvello Health

    • Headspace Inc.

    • Flow

    • Youper, Inc.

Conclusion:

The mental health apps industry has immense potential to positively impact individuals' well-being. However, it is essential to consider the ESG aspects within this industry to ensure that these apps not only deliver effective support but also contribute to a sustainable and ethical future. By prioritizing environmental considerations, focusing on social impact, and implementing strong governance practices, companies can lead the way in creating meaningful and responsible mental health solutions that benefit both individuals and society as a whole.

About Astra – ESG Solutions By Grand View Research

Astra is the Environmental, Social, and Governance (ESG) arm of Grand View Research Inc. - a global market research publishing & management consulting firm.

Astra offers comprehensive ESG thematic assessment & scores across diverse impact & socially responsible investment topics, including both public and private companies along with intuitive dashboards. Our ESG solutions are powered by robust fundamental & alternative information. Astra specializes in consulting services that equip corporates and the investment community with the in-depth ESG research and actionable insight they need to support their bottom lines and their values. We have supported our clients across diverse ESG consulting projects & advisory services, including climate strategies & assessment, ESG benchmarking, stakeholder engagement programs, active ownership, developing ESG investment strategies, ESG data services, build corporate sustainability reports. Astra team includes a pool of industry experts and ESG enthusiasts who possess extensive end-end ESG research and consulting experience at a global level.

For more ESG Thematic reports, please visit Astra ESG Solutions, powered by Grand View Research

Digital Health Companies Leading the Way in ESG

The digital health industry has a significant impact on the environment, society, and governance (ESG) factors. With the increasing demand for healthcare services, the industry is faced with the challenge of balancing the need for quality care with sustainable operations. In this blog post, we'll explore some of the key ESG considerations in the digital health industry.

Environment:

The digital health industry has the potential to significantly reduce the carbon footprint of healthcare services. Online consultations and digital health platforms can help reduce the need for patients to physically travel to healthcare facilities, reducing transportation-related emissions. Additionally, digital health solutions can reduce the amount of paper used in healthcare, leading to reduced deforestation and waste. However, the industry must also ensure that the production and disposal of electronic devices used in healthcare do not have negative environmental impacts.

Society:

Digital health solutions have the potential to improve healthcare access and outcomes, particularly for underserved communities. Telemedicine and remote monitoring technologies can help bridge gaps in healthcare access, enabling patients to receive care regardless of their location. Additionally, digital health solutions can help reduce healthcare costs, making it more affordable for patients. However, the industry must address issues of data privacy and security to ensure that patient information is protected.

Governance:

The digital health industry must adhere to regulatory requirements and ethical standards to ensure patient safety and trust. Companies must ensure that their products and services are compliant with relevant laws and regulations. Additionally, companies must be transparent about their data collection and usage practices, and ensure that patients have control over their data. Companies must also address issues such as bias in healthcare algorithms to ensure fair and equitable access to care.

Is your business one of participants of the global Digital Health Industry? Contact us for focused consultation around ESG Investing, and help you build sustainable business practices.

The digital health industry is a rapidly growing and diverse field, with a wide range of companies operating in various sectors. Here are some key companies in the digital health industry:

1. Cerner Corporation: Cerner is a healthcare technology company that offers electronic health record (EHR) solutions, population health management tools, and clinical decision support systems.

2. Apple: Apple is a technology company that has recently expanded into the healthcare sector, offering wearable health tracking devices, health data management tools, and telehealth solutions through its Health app and Apple Watch.

3. Allscripts: Allscripts is a healthcare technology company that offers electronic health record (EHR) solutions, population health management tools, and patient engagement solutions. The company has made sustainability a priority, with a focus on reducing the environmental impact of its operations. Allscripts has set targets to reduce greenhouse gas emissions, water consumption, and waste generation, and has implemented sustainability programs across its business operations.

4. Telefónica S.A.: Telefónica is a multinational telecommunications company that has expanded into the digital health sector, offering connected health solutions and telemedicine services. The company has made efforts to address environmental impacts through its "Green ICT" program, which aims to reduce its carbon footprint and promote sustainable business practices. Telefónica has also prioritized social impact, with a focus on digital inclusion and promoting access to healthcare services for underserved communities.

5. McKesson Corporation: McKesson is a healthcare services and technology company that offers pharmaceutical distribution, medical supplies, and health IT solutions. The company has made sustainability a priority, with a focus on reducing its environmental impact and addressing social and governance issues. McKesson has set targets to reduce greenhouse gas emissions, water consumption, and waste generation, and has implemented sustainable sourcing practices across its supply chain. The company has also prioritized social impact, with a focus on promoting diversity and inclusion, ethical business practices, and community engagement.

6. Orange: Orange is a telecommunications company that has expanded into the digital health sector, offering connected health solutions and telemedicine services. The company has made efforts to address environmental impacts through its "Green IT" program, which aims to reduce its carbon footprint and promote sustainable business practices. Orange has also prioritized social impact, with a focus on digital inclusion and promoting access to healthcare services for underserved communities.

ESG Challenges

- Accessibility is a major challenge for the digital health market globally, with 50% of people lacking remote internet access and a lack of diversity and inclusion.

- Cybersecurity and interoperability of data are also a barrier, leading to poor quality data and potential security vulnerabilities.

Growth of the Digital Health Market 

In 2021, the global Digital Health market size was valued at USD 175.6 billion and is projected to expand at a compound annual growth rate (CAGR) of 27.7% from 2022 to 2030. The sector is identified to observe a year-on-year growth of between 21.2% to 29.8% post-Covid-19 in the coming five years. Factors driving growth include smartphone penetration, internet connectivity, increasing healthcare expenditures, and accessibility of virtual care. Healthcare professionals and patients are voluntarily adopting telehealth options to avoid in-person consultations.

About Astra – ESG Solutions By Grand View Research

Astra is the Environmental, Social, and Governance (ESG) arm of Grand View Research Inc. - a global market research publishing & management consulting firm.

Astra offers comprehensive ESG thematic assessment & scores across diverse impact & socially responsible investment topics, including both public and private companies along with intuitive dashboards. Our ESG solutions are powered by robust fundamental & alternative information. Astra specializes in consulting services that equip corporates and the investment community with the in-depth ESG research and actionable insight they need to support their bottom lines and their values. We have supported our clients across diverse ESG consulting projects & advisory services, including climate strategies & assessment, ESG benchmarking, stakeholder engagement programs, active ownership, developing ESG investment strategies, ESG data services, build corporate sustainability reports. Astra team includes a pool of industry experts and ESG enthusiasts who possess extensive end-end ESG research and consulting experience at a global level.

For more ESG Thematic reports, please visit Astra ESG Solutions, powered by Grand View Research

Sustainable Practices in the Food Grocery Retail Sector

 A strategic combination of brick-and-mortar stores and sustainability has come of age to help create a society free of hunger and waste—a commitment that is all but likely to foster the ESG performance of food grocery retailers. A holistic approach and concerted efforts for a circular economy have unlocked avenues of opportunities to underscore sustainability, complementing good governance, transparency, ethics, diversity, health & wellbeing, renewable energy and greenhouse gas reduction.

Grocery CEOs, shoppers, vendors, investors, NGOs and government organizations are zeroing in on ESG targets to streamline the path to sustainability. A spike in greenhouse gas emissions has meant grocers have upped their efforts on environmental, social and governance fronts—known as ESG.

With consumer behavior shifting towards sustainable products, more so during the COVID-19 pandemic, food manufacturing companies have exhibited resilience. Of late, brands are not shying from making their ESG performance public, communicating their milestones and sharing credentials.

Learn more about the practices & strategies being implemented by industry participants from the Food Grocery Retail Industry ESG Thematic Report, 2023, published by Astra ESG Solutions

Walmart Echoes Green Growth

Millennials and the Gen Z population prioritize sustainability-marketed products as grocery shoppers emphasize GHG emission reduction and raw material conservation. Amidst the popularity of ready-made meals, consumers expect brands to adhere to sustainability goals. Brands are gearing to reduce virgin plastic content and invest in recyclable packaging. Walmart is heading to 100% recyclable, reusable or compostable packaging by 2025. The behemoth aims for 20% post-consumer recycled content in private-brand product packaging across North America by 2025.

The American retail brand is on the cusp of innovation and is committed to science-based targets (SBTs) to attain a 35% reduction in absolute scopes 1 & 2 emissions by 2025. In fact, the company is on course to minimize or avoid one billion metric tons of GHG emissions (Project Gigaton) in the global value chain by 2030. It claims that over 4,500 suppliers have joined the project since 2017.

On the other side of the spectrum of opportunities and challenges, an unprecedented rise in waste has prompted Walmart to use reusable packaging containers and navigate unsold food issues. The retailer giant is aiming for zero operational waste in the U.S., Canada and Mexico by 2025. Leading brands are expected to develop an ESG impact that resonates the sentiments of the circular economy.

Kroger Insists on Food & Product Safety to Bolster Philanthropy

The COVID-19 disruption was a wake-up call for retailers to reinforce responsible sourcing and foster quality food across the supply chain. A robust social profile is paramount to provide convenience and add value to customers through the inculcation of, including but not limited to, integrity, safety, respect and inclusion. Kroger has set bullish strategies across manufacturing and distribution centers, such as environmental monitoring programs, hazard analysis and risk-based preventive controls, leadership and training, food allergen control, food safety maintenance, cleaning practices and pest prevention.

Brands are positioning themselves to tap into social pillars to foster donations and meals for communities. Ever since the retail company set the Zero Hunger | Zero Waste plan in 2017, it has taken a giant stride to achieve the philanthropic goals of creating communities free from food waste and hunger. Kroger infers to have trained 98% of associates in personal safety, while it boasts of rescuing 94 million pounds of surplus food for donation. In 2021, the American brand asserted to have directed 546 million meals to communities.

The retailer explored diversity-focused development and learning opportunities to underpin positive change in the workplace. The company joined forces with historically Black colleges and universities (HBCUs) and Hispanic-serving institutions (HSIs) to foster a diverse talent pipeline. It essentially injected around USD 450 million into associate wages and training in 2021.

Is your business one of participants to the Food Grocery Retail Industry? Contact us for focused consultation around ESG Investing, and help you build sustainable business practices

Costco Wholesale Underscores Corporate Governance

Strong corporate governance heralds a company culture that complements transparency, ethics & compliance, engagement in public policy, board diversity and human rights. The FY 2022 saw Costco make sustainability a "core part of the charter and responsibility" for the Board's Nominating and Governance Committee. It has also introduced ESG Executive Advisory Council and aligned executive compensation with ESG priorities, including but not limited to, waste reduction, diversity, equity and inclusion (DEI), climate and resource consumption.

Risk assessment in financial planning, strategy and business has become paramount to upholding sustainability standards. Costco has qualitatively analyzed and identified potential climate-related risks influencing the Food & Beverage and Multiline retail industries. In 2022, its global executives reportedly held in-depth climate-pertaining scenarios assessments to decipher risks and opportunities to supply chain, operations, goodwill, employees, members and products.

The retailer has taken a quantum leap in transparency through frameworks, including CDP. The retail giant has rolled out several frameworks to augment data security. The manufacturing company is counting on the NIST Cyber Security Framework (CSF), ISO27001 and the Payment Card Industry Data Security Standard (PCI DSS). The adoption of measures, such as multi-factor authentication, phishing detection and mitigation and file integrity monitoring, has furthered the company's governance policies.

At a time when brands are grappling to protect the planet and propel their business performance, creating a transparent baseline around GHG emissions could be the silver bullet. For instance, the AEON Group has set the AEON Decarbonization Vision 2050 to minimize CO2 emissions to zero at stores by 2040, helping achieve a decarbonized society. 

Growth Of The Food Grocery Retail Market

As of 2022, the global food grocery retail market is valued at USD 11,324.4 billion and is expected to grow at a compound annual growth rate (CAGR) of 3.0%. In addition to increased grocery expenditures induced by COVID-19 lockdown, higher online grocery sales volumes, and consumer polarization, the growth is primarily attributed to these factors. As a result of the pandemic, consumers became polarized where some were ready to pay for premium-priced products. The food & grocery retail sector has been altered by the COVID-19 pandemic.

About Astra – ESG Solutions by Grand View Research

Astra is the Environmental, Social, and Governance (ESG) arm of Grand View Research Inc. - a global market research publishing & management consulting firm.

Astra offers comprehensive ESG thematic assessment & scores across diverse impact & socially responsible investment topics, including both public and private companies along with intuitive dashboards. Our ESG solutions are powered by robust fundamental & alternative information. Astra specializes in consulting services that equip corporates and the investment community with the in-depth ESG research and actionable insight they need to support their bottom lines and their values. We have supported our clients across diverse ESG consulting projects & advisory services, including climate strategies & assessment, ESG benchmarking, stakeholder engagement programs, active ownership, developing ESG investment strategies, ESG data services, build corporate sustainability reports. Astra team includes a pool of industry experts and ESG enthusiasts who possess extensive end-end ESG research and consulting experience at a global level.

For more ESG Thematic reports, please visit Astra ESG Solutions, powered by Grand View Research

ESG Reporting in the E-commerce Sector

The Environmental, Social, and Governance (ESG) approach is not only important in risk approaches such as risk avoidance but has significant impact on financial growth. The e-commerce sector has seen tremendous growth in recent years since they sell millions of products every day through e-commerce platforms. This has continued to increase post the Covid pandemic as people’s shopping behavior has changed dramatically. The change in shopping preferences has increased the responsibility of e-commerce retailers to make everyday products safer and more sustainable. This means effectively managing a company’s goals in line with ESG initiatives.

ESG activities in e-commerce are crucial for consumer choice. A fire at a retailer's logistics center led to a boycott due to poor labor practices. Covid-19 pandemic helped online shopping businesses create a positive socio-economic impact globally.

ESG Trends

The ‘E’ in the ESG – the environmental criteria, is a key factor that makes investment in this sector uniquely attractive to investors. The e-commerce industry produces less carbon footprint compared to retail shopping spaces, which helps economies meet their Net Zero goals. According to a study by Goldman Sachs, the carbon footprint from a typical e-commerce delivery only has about half the footprint of the traditional retail shopping space. Also, some of the transport fleets of some of the biggest e-commerce retailers are aggressive in transitioning to low-emission fleets around the world, thus helping the industry to emerge as a carbon winner.

E-commerce companies are making efforts to achieve a carbon-neutral economy. Leading players have launched climate change manifestos, while some companies have supported sustainable food production. The industry also addresses labor, with one company hiring half a million employees in 2020.

Is your business one of participants to the E-commerce Industry? Contact us for focused consultation around ESG Investing, and help you build sustainable business practices

ESG Challenges

The biggest challenge for stakeholders in the e-commerce industry is the lack of transparency around ESG disclosures, compared to other industries which have raised the bar in key ESG metrics reporting, including safety, turnover and emissions. Other challenges that are prevalent are labor management which identifies pay equity, working conditions, and the quality of jobs generated. Negative impact from the environment including the increase in CO2 emissions and end-of-life waste in packaging are also major concerns. The rise in the number of e-commerce shoppers’ online means an increase in the availability of customer data, which calls for increased cybersecurity and data security risks; thus, requiring e-commerce companies to protect consumer data effectively.

Growth Of The E-commerce Market

In 2021, the global e-commerce market size was valued at US$ 13 Trillion and is expected to expand at a compound annual growth rate (CAGR) of 27.4% during 2022 to 2027. In 2022, the Indian e-commerce market is predicted to increase by 21.5%, reaching US$ 74.8 billion. E-commerce has completely changed the way business is done in India. The Indian e-commerce market is expected to grow to US$ 188 billion by 2025 from US$ 46.2 billion as of 2020.  Much of the growth in the industry has been accelerated by an increase in the access to the internet and the availability of smartphones to everyone. 

BharatNet Scheme, launched by the government of India under the Digital India program, to provide high-speed internet connectivity in rural areas at an affordable price and, with the launch of 5G network in early 2023, the e-commerce market is expected to grow faster.

Key companies in this theme

    • Amazon.com, Inc.

    • JD.com, Inc.

    • Apple, Inc.

    • Alibaba Group Holding Limited

    • Flipkart Private Limited

    • Walmart, Inc

    • eBay, Inc.,

    • Best Buy

About Astra – ESG Solutions by Grand View Research

Astra is the Environmental, Social, and Governance (ESG) arm of Grand View Research Inc. - a global market research publishing & management consulting firm.

Astra offers comprehensive ESG thematic assessment & scores across diverse impact & socially responsible investment topics, including both public and private companies along with intuitive dashboards. Our ESG solutions are powered by robust fundamental & alternative information. Astra specializes in consulting services that equip corporates and the investment community with the in-depth ESG research and actionable insight they need to support their bottom lines and their values. We have supported our clients across diverse ESG consulting projects & advisory services, including climate strategies & assessment, ESG benchmarking, stakeholder engagement programs, active ownership, developing ESG investment strategies, ESG data services, build corporate sustainability reports. Astra team includes a pool of industry experts and ESG enthusiasts who possess extensive end-end ESG research and consulting experience at a global level.

For more ESG Thematic reports, please visit Astra ESG Solutions, powered by Grand View Research

ESG Implications for Life Science Analytics Companies

Business goals in the healthcare and medical sectors are increasingly linked with big data, so much so that life science analytics has become a major proponent of environmental, social and governance (ESG) practices. At a time when life science companies are painstakingly emphasizing the manufacturing and distribution of medicines, research and development and innovation, sustainable reporting has become instrumental in solidifying their brand positions.

ESG reporting can be the silver bullet to retain talent and drive business results with a positive influence on society and the best possible outcome for all.

A concerted and sustainable effort to expedite replacement, reduction and refinement to foster new research models, approaches and tools has panned well. Several organizations are banking on diversity to minimize attrition rates and employees who prioritize environmental issues and social factors for good health. Furthermore, policymakers, consumers, employees, investors and venture capitalists have prioritized transparency, leadership behavior, opportunities and pay parity.

IBM Views Sustainability as Vehicle to Drive Business

Business leaders have fostered their roles in the environment portfolio to bolster carbon footprint monitoring and develop recycling initiatives. Life science companies are poised to play an invaluable role in combating climate change. The 2021 UN Climate Change Conference (COP26)—Glasgow Climate Pact—has potentially encouraged companies to move towards a low-carbon and more sustainable path. IBM will use renewable sources to procure 75% of its global electricity consumption by 2025, the giant mentioned in its 2022 ESG report. The company is also committed to implementing at least 3,000 new energy conservation projects to offset the consumption of 275,000 MWh of energy from 2021 through 2025.

With IBM expecting to reach net-zero operational GHG emissions by 2030, it has addressed market-based scope 1 and 2 emissions and scope 3 emissions (linked with electricity consumption) at third-party co-location data centers. Besides, the technology behemoth pegged its weighted average power usage effectiveness (PUE) at 1.52 in 2022 vis-à-vis 1.552 PUE (baseline) in 2019. Commitment to environmental leadership has received an impetus, creating a path to reduce climate-related risks.

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Wipro and Novartis Up Social Commitment to Turn ESG Goals into Actions

Employees and consumer safety are pivotal to further sustainable goals as companies foster social targets to underpin the business strategy. So much so that ESG-themed bond has become pronounced to make drugs more accessible to everyone. In September 2020, Novartis reportedly became the first pharma company to issue a sustainability-linked bond at EUR 1.85 billion (USD 2.2 billion) to impel patient reach in low- and middle-income countries (LMICs). The company is bullish on augmenting patient reach in LMICs through strategic innovative therapies by 200% by 2025.

Wipro underpinned its social profile with an infusion of funds into an inclusive and diverse culture that fosters sustainable performance. The Indian giant has implemented buoyant policies to attract and retain LGBTQ+ employees. It has apparently revised group mediclaim insurance and the medical insurance scheme to include same-sex partners of employees. In February 2021, Wipro was named in the Human Rights Campaign Foundation's Corporate Equality Index (CEI)—the U.S. corporate policies and practices pertaining to LGBT workplace equality. Cultivating a culture of inclusion will sow the seed of a plurality of ideas and embrace all forms of differences.

Accenture Invests in Board Diversity to Pave Path with Vision and Value

Gender-diverse boards are widely linked with better engagement, increased investment efficiency and increased work-life balance. The trend toward transparent disclosure and creating an equitable environment can be contagious. Accenture infers that 50% of its board of directors is women, while 50% is racially and ethnically diverse. The company's 2021 U.S. workforce data reveal that it has fostered the number of Asia Americans and Asia executives by 3.5 percentage points. The service company is gearing up to achieve its 2025 goals of boosting representation of Black, African American, Hispanic American and Latinx among its leadership and workforce. Forward-looking companies are expected to uphold sound corporate governance practices to ramp up their ESG objectives.

Amid medical device, pharmaceutical and diagnostic regulatory scenarios changing, top-performing companies are poised to inject funds into sustainable goals. Tax transparency, for instance, is invaluable to building trust among stakeholders. Plastic packaging tax in the U.K. came into force in April 2022, with the charge pegged at £210.82 per ton from 1 April 2023 on plastic packaging with less than 30% recycled plastic, imported or manufactured into the U.K.

Price transparency in hospitals has gained a considerable uptick, a compelling portfolio to raise the ESG bar. In January 2021, each hospital functioning in the U.S. have been required to offer accessible and clear pricing information online about services and items. With the ESG pressure compelling businesses to enhance their sustainable value chain, Grand View Research forecasts the global life science analytics market to exhibit a 7.7% CAGR between 2022 to 2030.

About Astra – ESG Solutions by Grand View Research

Astra is the Environmental, Social, and Governance (ESG) arm of Grand View Research Inc. - a global market research publishing & management consulting firm.

Astra offers comprehensive ESG thematic assessment & scores across diverse impact & socially responsible investment topics, including both public and private companies along with intuitive dashboards. Our ESG solutions are powered by robust fundamental & alternative information. Astra specializes in consulting services that equip corporates and the investment community with the in-depth ESG research and actionable insight they need to support their bottom lines and their values. We have supported our clients across diverse ESG consulting projects & advisory services, including climate strategies & assessment, ESG benchmarking, stakeholder engagement programs, active ownership, developing ESG investment strategies, ESG data services, build corporate sustainability reports. Astra team includes a pool of industry experts and ESG enthusiasts who possess extensive end-end ESG research and consulting experience at a global level.

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