The environment is amongst Volvos three core values; this means that the protection of it is taken very seriously. Volvo has been at the forefront with regards to the environment for a long time. Their main successes include engineering the first hybrid gas and electricity concept car whereby all the materials used in it’s production did not cause any damage to the environment while at the same time being recyclable.
Their success is largely dependent on the interest of the markets they choose to sell their environmentally friendly cars to.
For example Scandinavian countries such as Sweden and Denmark are very environmentally conscious, while some other countries show limited interest. Volvo has a very good reputation in China also in regards to their environmental practices which brings more publicity to their business practices. Car models such as the Volvo S70, V50, C30, and C70 convertible have made the Volvo brand a great deal more appealable to the younger generation which contributes to making the environmental movement more modern and sought after; As it is essential that the main core of the demographic market understand the importance of environmental awareness to bring more strength and publicity to the Volvo brand.
Volvo’s commitment to the environment started in the early 1970s and it is present throughout the car’s entire lifecycle, from design, engineering and production to use, service and recycling contains green aspects. Efficient energy and resource utilisation and reduced emissions are important components in their dedication, and also contribute to a healthy environment inside the car.
Volvo Cars has considerably reduced the environmental impact of car manufacturing-for instance; emissions of solvents are among the lowest in the industry. And Volvo models are designed for 85% recyclability. They are also the first carmaker with environmental product information that helps the consumer customise their Volvo model on the basis of its environmental performance throughout its lifecycle.
“Volvo is a premium brand with a real heart and real emotional pull,” said Pete Favat, chief creative officer at Arnold, in a statement. “We are so excited to build on Volvo’s safety heritage and propel the brand to its rightful place in the marketplace.” Wednesday 31ST January Arnold finalists for $150 million advertising account www.boston.bizjournals.com/Boston/stories. Volvo is involved in several environmental projects-everything from the Volvo Environment Prize to the Volvo Adventure, an environmental competition for young people throughout the world that they operate in collaboration with the UN Environmental Programme (UNEP).
Volvo cars environmental thinking goes beyond planning new ways to replace oil-burning engines but their vision is to use renewable natural products for the textiles and materials in the car by 2020. In terms of its “perceived position” Volvo have the safest and most eco-friendly cars and trucks due to years of engineering safe cars and a very aggressive marketing campaign to promote the safety of their cars.
Volvo has teamed up with the ExelCompany which has become the UK’s largest independent drinks distributor; the plan is to replace its fleet of around 200 custom-built Volvo FL drays with 306 new models. “The old trucks had reached the end of their lives,” says Exel’s Nigel Bailey, “and technology has moved on.” The unique aluminium gull-wing bodies were no longer needed because of modern, secure curtains. All-round air suspension meant they didn’t need the ultra-low decks of the old vehicles. As well as wanting to invest in new technology the main reason for the depollution of the trucks was simply to improve customer image and improve environmental footprint.
Transport news Network “Volvos for old at Exel Tradeteam” www.tnn.co.uk The U.S. Environmental Protection Agency has certified that ” Volvo Trucks North America’s new engines meet the lower emissions requirements that take effect from January 1st 2008. The new standards reduce allowable emissions of nitrogen oxides by 50 percent and emissions of soot by 90 percent compared to today’s standards.” Cited from: Monday November 13th 2006 VOLVOS New engines certified by Environmental protection agency.
Volvo still seems to be the brand that middle-class buyer most associate with safety; and that’s still a strong selling feature. However, recently the Volvo brand has been able to drive solidly into the luxury market, where the prestige and the profits are greater. Recommendations for performance and improvement When analysing the Volvo car industry in detail with regards to their environmental footprint, recommendations in this area would be focused upon a more strategic method of implementing a stronger and more reinforced environmental footprint, focusing on delivering more eco-friendly cars to appeal to a wider market.
More recently, other companies have taken over with stemming ahead to first position for eco-friendliness, such as Smart cars. Although Volvo has chosen to use flexifuel as another way of protecting the environment, it has not been widely publicised as much as it could have, perhaps more work should go into marketing it so more people would trust buying Volvo cars in favour of others and thus protect the environment.
References
Williander, R.M. (2006) European Journal of Innovation Management, Vol. 9 No. 1, pp. 92-107, ISSN 1460 1060. Columbia Corporate Social Responsibility Network Newsletter October 23rd, 2005 Elkington J (1983) Cleaner technology-who gains from pollution prevention. Process Eng 64:24-27 Dobers P (1996) Legislation-induced bubble markets: Driving forces of air pollution control technology in the field of waste incineration. Scand J Manage 12:255-273
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