Abstract

This case traces the sustainable development (SD) journey undertaken by Hong Kong’s flagship carrier, Cathay Pacific Airways, to bring environmental issues from the periphery to the core of the organization. In 2012, the airline set 20 SD targets to be achieved by 2020. It soon realized that integrating sustainable practices into the overall strategy was vital for the long-term viability of the business. The key challenge for the airline’s Environmental Affairs Department was twofold—to embed sustainability into the mainstream thinking of the organization, and to align environmental and social initiatives that cut across all departments with the overall business goals of the airline.

Learning Objectives

After analyzing the case, students are able to:

- Identify success factors of sustainable development;
- Describe how sustainability has had an impact on business strategies and structures;
- Discuss how sustainability and CSR concepts can be incorporated into business practice;
- Explain how “being green” fits with the profit maximization objectives of the business; and
- Analyze the key considerations when implementing sustainability and CSR-related strategies.