Japanese Companies Become More Proactive on the Environment- The Nissay Business Conditions Survey (February 2001)

the Survey Analysis Team

Introduction

As global warming， industrial waste disposal and other environmental issues grow more prominentworldwide， companies are becoming increasingly sensitized to the environmental impact of businessactivities and the risk of unexpected losses. Indeed， the environment is shaping up to be one of themost important challenges facing corporate management in the new century.

To examine this trend in greater detail， the latest Nissay Business Conditions Survey (conducted inFebruary jointly by Nippon Life Insurance Company and NLI Research Institute; 3，764 responsesreceived nationwide) focused on the corporate sector’s response to environmental issues.

To our surprise， the survey results indicate that as many companies have a positive perception as a negativeone regarding the impact of environmental awareness on business. Despite the additional cost，many companies say they are taking environmental measures to fulfill their social responsibility orimprove their corporate image. Moreover， approximately half of the companies - including 36 percentwho have been asked by companies they do business with to take environmental measures - predictthat the choice of business partners will be influenced by environmental considerations.