Prineville Data Center Analysis and Greenwashing
48 Questions
0 Views

Choose a study mode

Play Quiz
Study Flashcards
Spaced Repetition
Chat to Lesson

Podcast

Play an AI-generated podcast conversation about this lesson

Questions and Answers

What was the primary reason for choosing Prineville for the data center?

  • Talented regional workforce and supportive business environment (correct)
  • Low property taxes in the region
  • Proximity to major urban centers
  • High availability of traditional energy sources
  • What percentage of IT power was consumed by the facility?

  • 30%
  • 50%
  • 25%
  • 15% (correct)
  • Which company was the power provider for the Prineville data center?

  • Portland General Electric
  • Avangrid
  • Pacific Gas and Electric
  • PacifiCorp (correct)
  • What was the total cost of the facility in Prineville?

    <p>$188 million (C)</p> Signup and view all the answers

    What was the projected energy consumption of Facebook by 2020 compared to several countries?

    <p>Larger than France, Germany, Canada, and Brazil combined in 2010 (B)</p> Signup and view all the answers

    What percentage of PacifiCorp’s energy was sourced from coal, according to the content?

    <p>60% (B)</p> Signup and view all the answers

    What was the size of the Prineville facility in square feet?

    <p>147,000 square feet (A)</p> Signup and view all the answers

    What was the unemployment rate in Prineville at the time the facility was established?

    <p>20% (A)</p> Signup and view all the answers

    What is an example of a false label in greenwashing?

    <p>Claiming ‘all natural’ for chicken without third-party validation (C)</p> Signup and view all the answers

    Which of the following is NOT one of the effective ESG disclosure standards?

    <p>Transparency (A)</p> Signup and view all the answers

    What does the term 'lesser of two evils' refer to in greenwashing?

    <p>Advertising minor improvements when major issues exist (A)</p> Signup and view all the answers

    Which of the following metrics is critical to ensure the reliability of ESG disclosures?

    <p>Independent verification (C)</p> Signup and view all the answers

    What does fibbing in the context of greenwashing imply?

    <p>Claiming environmental results that are blatantly false (D)</p> Signup and view all the answers

    Which requirement for effective ESG disclosure ensures metrics are comparable across different companies?

    <p>Comparability (D)</p> Signup and view all the answers

    Which of the following statements best represents irrelevance in greenwashing?

    <p>Claiming sustainability but financing fossil fuel projects (D)</p> Signup and view all the answers

    In ESG investing, what does the term 'comparability' imply?

    <p>Metrics need to be consistent across various companies (C)</p> Signup and view all the answers

    What is the first phase in the evolution of social issue recognition to regulation?

    <p>Development (D)</p> Signup and view all the answers

    During which phase do politicians begin to engage with the social concern?

    <p>Politicization (A)</p> Signup and view all the answers

    What primarily motivates new statutes to address social concerns?

    <p>Majority support (B)</p> Signup and view all the answers

    What is the nature of compliance choices firms make regarding social regulation?

    <p>Maximized based on expected net benefits (B)</p> Signup and view all the answers

    Which company profile is more likely to yield higher returns from social targeting campaigns?

    <p>Well-recognized brands (D)</p> Signup and view all the answers

    In the phase of Implementation, how are new rules enforced?

    <p>By regulators who can be challenged in court (D)</p> Signup and view all the answers

    How does the perceived threat from NGO lobbying affect a firm's compliance decision?

    <p>It raises the benefits of compliance. (C)</p> Signup and view all the answers

    What is a potential outcome if a company is labeled as the 'biggest sinner' in its industry?

    <p>It may face increased pressure from consumers and NGOs. (C)</p> Signup and view all the answers

    What percentage of compliance with social regulations did Facebook achieve with Greenpeace?

    <p>Near full compliance (D)</p> Signup and view all the answers

    What is the primary energy source Facebook aims to utilize to achieve net zero greenhouse gas emissions?

    <p>Renewable energy from solar and wind (C)</p> Signup and view all the answers

    What type of organization is the Climate Science Center launched by Facebook intended to connect users with?

    <p>Factual resources from climate experts (B)</p> Signup and view all the answers

    What was the expected benefit that motivated Facebook to invest in compliance with Greenpeace's demands?

    <p>Protected profit (C)</p> Signup and view all the answers

    What is the marginal cost of solar and wind power once the infrastructure is established?

    <p>Essentially zero (B)</p> Signup and view all the answers

    How did Facebook respond initially to Greenpeace's message?

    <p>With an initially negative reply (B)</p> Signup and view all the answers

    What strategy did Facebook utilize to manage its remaining emissions?

    <p>Purchasing carbon offsets on voluntary markets (D)</p> Signup and view all the answers

    What was the main factor that made Greenpeace's demands seem reasonable to Facebook?

    <p>Threat to profit (C)</p> Signup and view all the answers

    What was a primary reason Prineville was chosen for Facebook's data center?

    <p>Its location supported energy efficiency. (C)</p> Signup and view all the answers

    What was a concern regarding Facebook's potential concession to Greenpeace?

    <p>It might lead to accusations of greenwashing. (B)</p> Signup and view all the answers

    What is a consequence of Facebook promoting a single social issue?

    <p>It could encourage demands for a variety of other issues. (B)</p> Signup and view all the answers

    What was implied about Greenpeace’s demands for Facebook?

    <p>They had an implicit flexibility. (B)</p> Signup and view all the answers

    Which aspect of Facebook’s operational strategy was consistent with sharing its carbon footprint data?

    <p>Aligning with its role as an information provider. (A)</p> Signup and view all the answers

    What was the response of Greenpeace to Facebook's stance on coal?

    <p>To create 'The So Coal Network' as a counter-campaign. (C)</p> Signup and view all the answers

    Which statement best reflects Facebook’s user demographics concerning the 'Unfriend Coal' movement?

    <p>It was a small fraction of the total user base. (D)</p> Signup and view all the answers

    By 2020, what was perceived as a business advantage for Facebook regarding Greenpeace's demands?

    <p>Meeting the demands was considered good business. (B)</p> Signup and view all the answers

    What is considered an economic profit?

    <p>Accounting profit adjusted for the opportunity cost of alternative investments. (D)</p> Signup and view all the answers

    Which of the following is a key feature of entrepreneurial ventures?

    <p>They introduce new products and redefine markets. (D)</p> Signup and view all the answers

    What does the opportunity cost represent in investment decisions?

    <p>The profit lost by not choosing the best alternative investment. (B)</p> Signup and view all the answers

    Which statement accurately reflects the relationship between entrepreneurial innovation and ecological impact?

    <p>Innovation has reduced the carbon dioxide to real GDP ratio over time. (C)</p> Signup and view all the answers

    Why must entrepreneurial ventures earn more profit than traditional investments?

    <p>Investors expect higher returns due to increased risks associated with new ventures. (B)</p> Signup and view all the answers

    What is the average annual return rate of the S&P 500 since its inception?

    <p>12% (A)</p> Signup and view all the answers

    What role does microcredit play in entrepreneurial ventures?

    <p>It provides loans to small groups, promoting economic activity. (D)</p> Signup and view all the answers

    Which of the following is NOT an example of home medical technology?

    <p>Traditional hospital machinery. (A)</p> Signup and view all the answers

    Flashcards

    Greenwashing

    Presenting a misleading or unsubstantiated environmental improvement in order to portray a positive image.

    False Labels

    Claiming achievements that lack verification, especially about environmental impact.

    Lesser of Two Evils

    Highlighting minor improvements, ignoring major issues.

    Irrelevance

    Promoting achievements unrelated to core environmental problems.

    Signup and view all the flashcards

    Fibbing

    Making false claims regarding environmental results or achievements.

    Signup and view all the flashcards

    ESG Disclosure Standards

    Set of standards for reporting sustainability activities.

    Signup and view all the flashcards

    Materiality (ESG)

    Metrics must measure significant changes in social impact.

    Signup and view all the flashcards

    Comparability (ESG)

    Metrics must allow comparison of data across companies.

    Signup and view all the flashcards

    Social Issue Regulation Phases

    The predictable stages of addressing social issues, from initial concern to implementation of regulations.

    Signup and view all the flashcards

    Phase 1: Development

    The first phase where activists express concern, but there's little public support.

    Signup and view all the flashcards

    Phase 2: Politicization

    Public awareness grows, and politicians get involved in addressing the concern.

    Signup and view all the flashcards

    Phase 3: Legislation

    New laws are created to address a concern if there's widespread support.

    Signup and view all the flashcards

    Phase 4: Implementation

    Regulators enforce the new rules, which may be challenged in court.

    Signup and view all the flashcards

    Social Regulation Compliance

    A company's decision on how much to comply with new social regulations, to maximize their profits.

    Signup and view all the flashcards

    Factors Affecting Compliance

    Things like perceived threats from social lobbying, demands from NGOs, and company profile impact how much firms comply.

    Signup and view all the flashcards

    Company Profile for Social Targeting

    Features of a company that make it a prime target for social campaigns by NGOs.

    Signup and view all the flashcards

    Prineville Data Center Location Factors

    Prineville, Oregon, was chosen for its favorable climate for cooling, renewable energy resources, available land, skilled workforce, and supportive business environment.

    Signup and view all the flashcards

    Prineville Data Center Cost

    The Prineville data center cost $188 million.

    Signup and view all the flashcards

    Data Center Size

    The Prineville data center was 147,000 square feet.

    Signup and view all the flashcards

    Data Center Employment

    The Prineville data center would employ 35 full-time staff, plus additional part-time and contract positions.

    Signup and view all the flashcards

    Data Center Cooling Method

    The Prineville facility used an airside economizer to utilize outside air for cooling IT systems.

    Signup and view all the flashcards

    Data Center Energy Efficiency

    The data center consumed only 15% of the IT's total power.

    Signup and view all the flashcards

    Global Data Center Energy Impact

    Data centers, if considered a country, would be among the top 5 largest energy consumers globally.

    Signup and view all the flashcards

    Prineville Power Source

    PacifiCorp, the power provider, sourced 60% of its energy from coal.

    Signup and view all the flashcards

    Facebook's data center location

    Prineville, Oregon, was chosen because it allowed for an energy-efficient facility.

    Signup and view all the flashcards

    Greenpeace's demand impact

    Greenpeace's demand for a "coal-free" data center could draw further activist pressure on Facebook.

    Signup and view all the flashcards

    Facebook's response strategy

    Facebook's response to Greenpeace was to release detailed carbon footprint data and set goals that were flexible and adjustable.

    Signup and view all the flashcards

    Facebook's brand concern

    To maintain a politically neutral image, Facebook sought to avoid being seen as too involved in activism.

    Signup and view all the flashcards

    Greenpeace's "Unfriend Coal" campaign

    Greenpeace's "Unfriend Coal" campaign, though having a large following, represented a very small proportion of Facebook's user base.

    Signup and view all the flashcards

    Greenpeace's "So Coal Network"

    Greenpeace’s response to Facebook's stance on coal-free data centers.

    Signup and view all the flashcards

    Flexibility in activism

    A strategy that is flexible and allows for adjustment over time is better than one that is fixed.

    Signup and view all the flashcards

    Data sharing and company strategy

    Sharing carbon footprint data was consistent with Facebook's core competency (as a provider of information).Facebook could easily raise awareness of renewable energy and potentially do that in a brand-consistent way.

    Signup and view all the flashcards

    Net Zero Emissions

    A state where a company's greenhouse gas emissions are balanced out by removals, resulting in no net impact on the environment.

    Signup and view all the flashcards

    Renewable Energy Sources

    Energy sources like solar and wind that are naturally replenished, unlike fossil fuels.

    Signup and view all the flashcards

    Purchase Power Agreements (PPAs)

    Contracts between companies and energy providers to purchase renewable energy from new solar and wind farms.

    Signup and view all the flashcards

    Carbon Offsets

    Investments in projects that reduce greenhouse gas emissions elsewhere to compensate for emissions that can't be eliminated.

    Signup and view all the flashcards

    Marginal Cost of Renewable Energy

    The cost of producing one additional unit of renewable energy, which is very low once the infrastructure is built.

    Signup and view all the flashcards

    Climate Science Center

    A platform created by Facebook to connect users with credible information about climate change from leading experts.

    Signup and view all the flashcards

    Social Regulation

    Pressure from non-governmental organizations (NGOs) like Greenpeace to enforce social responsibility and ethical behavior.

    Signup and view all the flashcards

    Expected Benefit vs. Cost

    The principle that companies weigh the potential gains of complying with social demands against the cost of doing so.

    Signup and view all the flashcards

    Entrepreneurial Ventures

    Businesses created to introduce new products or redefine markets, often focusing on social impact and economic profit.

    Signup and view all the flashcards

    Opportunity Cost

    The potential profit lost by choosing one investment over another.

    Signup and view all the flashcards

    Economic Profit

    Accounting profit minus the profit that could have been earned from the best alternative investment.

    Signup and view all the flashcards

    S&P 500

    A stock market index tracking the performance of 500 large publicly traded companies in the United States.

    Signup and view all the flashcards

    Entrepreneurial Innovation's Impact

    New ideas and products can reduce the amount of carbon dioxide released for every dollar of economic output.

    Signup and view all the flashcards

    Net Income

    Revenue minus expenses, representing the profit made by a business.

    Signup and view all the flashcards

    Micro Credit

    Small loans given to individuals or groups, particularly women in developing countries, to start small businesses.

    Signup and view all the flashcards

    Home Medical Technology

    Technology that enables affordable and accessible healthcare in homes, reducing the need for expensive hospital visits.

    Signup and view all the flashcards

    Study Notes

    Course Information

    • Course name: Business, Government, and Society
    • Course code: BUS-G202
    • Instructor: Professor Phil Powell
    • Topics covered include: Business Analytics, Stakeholder Engagement, Asymmetric Information, Social Regulation, Social Innovation
    • Case studies: BlackRock, Starbucks, BP, Nike, and Greenpeace.

    Exam 3 Information

    • Exam date: Thursday, December 5th
    • Exam duration: 40 minutes
    • Format: Multiple choice (25 questions)
    • Topics covered: Topics 9 through 13, as outlined in the review sheet
    • Materials needed: Scantron sheet and knowledge of the course material
    • AES accommodation arrangements to be confirmed in View'em

    Other Important Information

    • Course evaluation link: https://coursequestionnaire.iu.edu/
    • Class schedule adjusted due to instructor's external obligations
    • No class on Thursday, November 7th
    • Lecture video provided in lieu of class
    • Online Quizzes 9 and 10 close on November 5th
    • Case discussion on BlackRock closes on November 4th

    Additional Notes

    • Study materials for the exam should include notes taken during lectures and case study reviews
    • Review the provided review sheet for specific exam topics and study suggestions.
    • Material on topics like prediction errors, regression analysis, profit maximizing calculations should be reviewed.

    Studying That Suits You

    Use AI to generate personalized quizzes and flashcards to suit your learning preferences.

    Quiz Team

    Description

    This quiz explores key facts about the Prineville data center, its energy consumption, and the impact of greenwashing in ESG disclosures. Test your knowledge on the reasons for selecting Prineville, its economic factors, and the principles of effective sustainability reporting.

    Use Quizgecko on...
    Browser
    Browser