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International Journal of System Design and Information Processing

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Sustainable Business Practices and their influence on corporate profitability

Paper ID:
IJSDIP_2023_VOLUME 11_ISSUE 4_294-299
Author's Name:
Mr. Amitbrata Nag
Volume:
11
Issue:
Issue 4
Year:
2023
Pages:
294-299

Abstract

Sustainable business practices have become a very important strategy to organizations that want to strike a balance between economic performance and environmental and social responsibility. This research paper investigates how the sustainability programs, including resource efficiency, waste minimization, ethical sourcing and corporate social responsibility, affect corporate profitability. The study conducts a mixed-method analysis of qualitative information and quantitative measures of performance of the organizations implementing the sustainable strategy. The results show that companies which adopt sustainability initiatives have a better operational efficiency, brand reputation and customer loyalty which translates into greater profitability in the long run. Nevertheless, there are high costs of initial investment, challenges in adapting to technologies, and organizational change resistance, which usually accompany the shift to sustainable systems. Practical constraints are variability of data across industries and inability to isolate effects of sustainability among other business factors. Future research directions are incorporating new technologies such as AI to optimize sustainability and creating standardized measures of sustainability-motivated profitability.

Keywords

Sustainable Business, Corporate Profitability, Green Practices, CSR, Resource Efficiency, Environmental Management, Economic Performance.

References

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