Keurig Green Mountain Case Study

158 Words1 Pages
Keurig Green Mountain’s actions with their K-cups resulted in the unfortunate action of engaging in a non-market failure. The specific non-market failure the company entertained is an derived externality because of the harmful impacts the company has made towards an unsuspecting third party: the environment. This is shown through how the company’s K-cups are producing more greenhouse gas emissions, due to the way it conducts its coffee systems, then in comparison to brewing an equivalent amount of coffee the old-fashioned way. Consequently, I believe the direction of the company needs to be steered more towards sustainability because it would address the issue of harmfully impacting another party. Furthermore, it may also be argued that the