What is Corporate Sustainability?Indian and Global Perspective

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Corporate sustainability cancels out any risks from the economy, environment or society and hence, increases shareholder value in the long term. Since there is an intense shortage of resources, companies into sustainability have a better chance of survival in the long run than otherwise.

Climate Change 7

Thus, those companies that haven’t addressed the issue of the oncoming repletion of resources should do it soon. However, Corporates are largely into sustainable development and are looking at things from a long term perspective. There has been a climate change on the large scale causing a paradigm shift in the expectations of the society. Since there is a change in policies, regulations, environments etc. there is also a change in the corporate business scenario. The perspective of investors has also changed considerably as they are no longer looking only towards short term profits.

It is indeed a challenging time for the Corporates as they shall have to maintain the quality of their products without disturbing the ecological balance and at the same time, also indulge in CSR. Unless the corporate has some innovative thinkers on board, the companies may collapse sooner or later.

It is these innovative long term strategies that draw investors towards companies. Thus companies that understand and correctly respond to risks and opportunities due to emergence of sustainability, are the ones most preferred by investors. The investors follow the Corporate Sustainability Assessment devised by Robeco SAM.

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Quite a few firms have been able to imbibe both CSR and sustainability into their ecosystem at a micro-level. Coca Cola is one such company.


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