Climate & Environment
Sustainable Business
Definition
A sustainable business is an enterprise that integrates environmental, social and governance considerations into its core strategy and operations, creating value over the long term without undermining the ecological and social systems on which it and society depend. The concept extends beyond CSR-as-philanthropy to business model level: products, supply chains, governance and incentives aligned with sustainability, evidenced by science-based targets, credible transition plans and accountability mechanisms rather than claims.
References
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This reference provides supporting context for how “Sustainable Business” is defined and used.
Overview
How it is used
The concept structures corporate strategy debates, B Corp and benefit corporation movements, investor assessment of business model resilience, and management education.
Why it matters
Sustainability will be delivered by businesses or not at all; the definition of what a sustainable business is determines the direction of corporate change.