Business Strategy

Research Note
Sustainable Business Practices for Profitability: A Review

Article Details

Pub. Date	: Dec' 2023
Product Name	: The IUP Journal of Business Strategy
Product Type	: Article
Product Code	: IJBS041223
Author Name	: Suneeta Hegde and Pavithra Salanke
Availability	: YES
Subject/Domain	: Strategic Journals
Download Format	: PDF Format
No. of Pages	: 06

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Abstract

Sustainability is a phenomenon of three major components-people, planet, and profit-which are in direct relationship with social, environmental, and economic factors. The natural urge of humans to give back to society pays off rich dividends to the organizations. The increased awareness of sustainability and global concerns around environmental, social, and governance (ESG) issues among institutional investors and employees in general has brought a greater focus on sustainable production. This, combined with statutory compulsion, has created avenues for research in this area. The study examines the nexus between statutory requirement and short-term profits in business. The purpose of the paper is not just to support the argument of sustainability with profit, but also explore the motivation derived from sustainable practices. It reviews the competitive advantages that businesses have to offer with sustainability practices and the impact of sustainability practices on the profits of organizations.

Introduction

It has been observed that the emerging economies are always under pressure to perform. Multinational business interests and approvals from the West to sustainability practices have created a considerable amount of pressure on businesses to practice sustainability. The recently held G20 summit in India highlighted sustainability priorities for member nations. Every participating country has an important role to play in advancing global sustainability.