Egs
- Home
- Egs
The health initiative
Economic:
Economic factors are one of the most significant drivers of business decisions. At its core, economics is the study of how societies allocate scarce resources to satisfy their needs and wants. In the context of ESG, the economic factor looks at how a company manages its finances and how it creates value for stakeholders.
For businesses, this means that they must manage their finances responsibly and create value for stakeholders in a sustainable way. This includes paying fair wages, investing in research and development, and pursuing opportunities that will benefit all stakeholders in the long run.
The health initiative
Social:
Social factors refer to how a company interacts with society as a whole. This includes its impact on the environment, its relationships with employees, suppliers, and customers, and its contributions to the community. Social factors are becoming increasingly important to consumers, investors, and regulators, who are demanding that businesses act in a responsible and sustainable manner.
For businesses, this means that they must take a broader view of their impact on society and consider the social consequences of their decisions. This includes reducing their environmental footprint, treating employees fairly, and contributing to the communities in which they operate.
The health initiative
Corporate Governance:
Corporate governance refers to the systems and processes that companies use to manage their operations and make decisions. Good corporate governance is critical to the long-term success of any business, as it ensures that the company is managed in a responsible, ethical, and transparent manner. This includes having clear policies and procedures for decision-making, establishing effective oversight and control mechanisms, and promoting accountability and transparency.
For businesses, good corporate governance means taking a proactive approach to risk management, promoting ethical behavior, and ensuring that all stakeholders are treated fairly. It also involves being transparent about the company’s performance and decision-making processes, and engaging with stakeholders to ensure that their concerns are addressed.
