Author: Valente, Michael
Source: Richard Ivey School of Business
Company Name: South Side Restaurant
Number of pages: 12
The owner of South Side Restaurant, a mid-upper class restaurant located in Chicago, Illinois, must decide which of the three bottles of wine to add to the restaurant's wine list. Given the restaurant prides itself on its environmental and social positioning and that its consumers have come to expect performance in this area, the wine's carbon footprint represents an important decision criterion. South Side Restaurant is a for-profit restaurant and the owner must balance this environmental criterion with short- and long-term financial return.
This case assists students in understanding the business and supply chain implications of climate change and how to incorporate climate change risk into business decisions. Students have to calculate the carbon footprint of the three bottles the owner is considering and work this in to their decision. Students will need to decide which bottle of wine to choose by considering both environmental and financial criteria and the impending effect of the former on the latter. The case is intended for an 80-minute class and is particularly relevant in a supply chain management course, and environmental accounting course or a general management course covering business decision-making. The case is also valuable for specialized courses such as business and sustainability, corporations and society, business and climate change and business ethics.