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Articles on ESG

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There are many environmental, social and governance principles worth considering. ArtemisDiana/iStock via Getty Images Plus

What does ESG mean? Two business scholars explain what environmental, social and governance standards and principles are

Many investors and corporations believe that accounting for the impact that businesses have on the environment, society as a whole and their own workforces benefits their bottom line.
McDonald’s is leaving Russia after three decades of operating there. Sefa Karacan/Anadolu Agency via Getty Images

Foreign companies exiting Russia echo the pressure campaign against South Africa’s racist apartheid system

Corporate pressure campaigns usually work best in partnership with local institutions. While Russia’s civic organizations are generally weak, there are some signs of growing defiance.
Tesla CEO Elon Musk, shown at an electric vehicle factory, called ESG ratings ‘a scam’ after an index dropped Tesla. Maja Hitij/Getty Images

How a sustainability index can keep Exxon but drop Tesla – and 3 ways to fix ESG ratings to meet investors’ expectations

Sustainable investing’s credibility took a hit when the S&P 500 ESG index dropped the electric vehicle-maker but kept the oil giant. The SEC is now considering new disclosure rules.
Some motorists are willing to pay more for the price of gas. Others are considering trading in gas-guzzling cars for more efficient vehicles. The price of gas at a Petro Canada gasoline station in Ajax, Ont., on March 7, 2022. THE CANADIAN PRESS/Doug Ives

Why gasoline prices have soared to record highs

Oil supply is very tight, and the current geopolitical crisis involving Russia, one of the world’s largest oil producers, has pushed prices over the edge.
Environmental, social and governance problems in a company’s supply chain can be hard for investors to track. KDP via Getty Images

ESG investing has a blind spot that puts the $35 trillion industry’s sustainability promises in doubt: Supply chains

Two supply chain experts see a major flaw in how ratings agencies measure companies’ environmental, social and governance performance.
ESG rankings and lists aren’t often entirely reliable for consumers or investors wanting to make decisions on companies they buy from or invest in. Appolinary Kalashnikova/Unsplash

Sustainability rankings don’t always identify sustainable companies

Some companies rank high on some lists that measure environmental, social and governance (ESG) initiatives, and rank near the bottom on other lists. Which rankings should we trust?
As consumers, we can change our lifestyle, our investments and demand change from our governments. Together — along with accountants — we can get there. (Charl Folscher/Unsplash)

What is sustainability accounting? What does ESG mean? We have answers

To achieve environmental sustainability, we need strong corporate standards that are quantifiably enforced, accountants trained to accurately measure sustainability — and we must all play a role.
In this April 2013 photo, Bangladeshis gather as rescuers look for survivors and victims at the site of the Rana Plaza building that collapsed a day earlier, in Savar, Bangladesh. (AP Photo/A.M.Ahad)

Corporate social responsibility commitments: All talk, no action

Until there are global standards for authentic corporate social responsibility efforts, we will continue to see local impoverishment, hazardous waste and tragic labour accidents in the Global South.

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