In a scenario where a company is facing a major ethical dilemma regarding the environmental impact of its new product line, which strategic decision-making approach should the executives prioritize to ensure long-term sustainability while addressing stakeholder concerns?

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Seekh · Accepted Answer

Executives should prioritize a stakeholder‑centric sustainability framework that balances profit, people, and planet, often called the triple‑bottom‑line approach. This means first mapping all stakeholders—customers, suppliers, regulators, local communities—and assessing how the new product line impacts each group’s environmental, social, and economic interests. By conducting a thorough environmental impact assessment and then engaging stakeholders in a transparent dialogue, the company can identify trade‑offs and co‑create solutions such as using recycled materials or offsetting emissions. For example, a consumer electronics firm might replace a single‑use plastic component with a biodegradable alternative after consulting with environmental NGOs and local users, thereby reducing waste while maintaining product performance. This inclusive, forward‑looking decision process not only mitigates risk but also builds long‑term trust and resilience.

In a scenario where a company is facing a major ethical dilemma regarding the environmental impact of its new product line, which strategic decision-making approach should the executives prioritize to ensure long-term sustainability while addressing stakeholder concerns?

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