Corporate sustainability and ESG: an imperative distinction

ABSTRACT

Society increasingly incorporates concerns about environmental and social issues that may affect future generations, especially after the Covid-19 pandemic alert about the interdependence of social, environmental and economic relationships. With an increasingly responsible demand on their way of acting towards society, organizations are faced with a propagation of the term ESG by the financial market, which also brings the re-discussion of the concept of corporate sustainability towards society. Both concepts have been used by many companies indiscriminately and without proper connection with the organizational spheres of corporations. Our goal is to clarify the essential differences so that organizations can take advantage of both concepts in their management and strategy.