In the context of the worldwide concern with the sustainability of current forms of development, business managers are being required to engage with environmental policy more creatively than in the past. At the broadest level, business managers are being advised to embrace regulation as a source of competitive advantage rather than viewing it simply as a compliance cost and administrative burden. Irrespective of whether managers accept that “going beyond compliance” is a stimulus for innovation, business managers frequently face a policy environment in which choices need to be made over how policy agendas should be responded to.

Contemporary policy approaches may mandate demonstration of best practice, without defining what constitutes best practice or use policy approaches that give the option of “paying for pollution” or investing in clean technology. Frequently, the argument is made that there are reputational gains to being a first mover and putting the organization ahead of regulation, but the implication can be considerable upfront investment for uncertain returns. Against this context, this book provides a guide to the new world of environmental regulation for managers within business and students with a particular interest in understanding how environmental regulation works.