Cambridge IGCSE Business (0264) syllabus reference: 6.3.1
Negative effects: air, water and noise pollution; depletion of resources; waste and litter; loss of green spaces and habitats.
Why respond: better reputation, more sales to environmentally aware customers, avoid fines and taxes, attract employees and investors.
How to respond: cleaner technology, recycling and reuse, renewable energy, environmentally friendly packaging, reducing waste.
Effects of legal controls: they influence how goods are made (cleaner processes), what is made (e.g. banned plastics) and where (planning laws), and they increase costs.