The Environmental and Social Impact of Products and Services

The Environmental and Social Impact of Products and Services Material ESG Issue (MEI) evaluates how companies manage the environmental and social impacts of their products and services, considering aspects from input materials to use, disposal, and recycling.

Understanding Environmental and Social Impact Management
As regulations and consumer demand for sustainable products grow, companies face both risks and opportunities in addressing environmental and social impacts.

How Morningstar Sustainalytics Evaluates Companies on the Environmental and Social Impact of Products and Services
By leveraging our ESG Risk Ratings framework, we score companies based on a set of subindustry-specific exposure and management indicators. Our assessment considers whether a company sells products with known human and environmental concerns and evaluates their commitment to sustainable products. Depending on the subindustry, we scrutinize management practices related to product stewardship and participation in relevant industry initiatives.