Long-term Business Sustainability Through Corporate Governance

Research Article
Open access

Long-term Business Sustainability Through Corporate Governance

Sun Yang 1*
  • 1 York University    
  • *corresponding author sunyangkim11@gmail.com
Published on 13 September 2023 | https://doi.org/10.54254/2754-1169/19/20230146
AEMPS Vol.19
ISSN (Print): 2754-1177
ISSN (Online): 2754-1169
ISBN (Print): 978-1-915371-81-2
ISBN (Online): 978-1-915371-82-9

Abstract

Effective corporate governance and sustainability practices can help a company build trust with stakeholders, reduce risks, and improve financial performance. They can also help a company demonstrate its commitment to responsible business practices and increase its credibility and transparency. However, companies that fail to address these issues may face reputational damage, financial losses, and regulatory penalties. Thus the role of corporate governance in long-term business sustainability is significant. The primary objective of this study is to investigate the concept of long-term business sustainability, with particular emphasis placed on the value that organizations bring to their stakeholders and shareholders, mainly through a discussion of the connection between corporate governance.  The study analyses the numerous environmentally responsible business practices that are now in place by developing the findings by conducting a comprehensive literature review. Conclusions were drawn about the relationship between corporate governance and long-term business viability based on the literature review after discussing the result.

Keywords:

corporate governance, sustainability, long-term business

Yang,S. (2023). Long-term Business Sustainability Through Corporate Governance. Advances in Economics, Management and Political Sciences,19,255-262.
Export citation

References

[1]. Roberts, J. and Van den Steen, E. "Corporate Governance and Firm Performance," Journal of Corporate Finance, vol. 6, no. 3 (2000), pp. 223-249.

[2]. Iansiti, M. and Levien, R. "The Keystone Advantage: What the New Dynamics of Business Ecosystems Mean for Strategy, Innovation, and Sustainability," Harvard Business School Press (2004).

[3]. Farnham, K. "What is the Relationship between Corporate Governance & Sustainability?," Diligent Corporation (2021).

[4]. Aziz1, N. A. A., Manab, N. A., and Othman, S. N. "Exploring the Perspectives of Corporate Governance and Theories on Sustainability Risk Management (SRM)," Asian Economic and Financial Review (2015).

[5]. Salvioni, D. M. and Gennari, F. "Corporate Governance, Ownership and Sustainability," Virtus InterPress (2016).

[6]. Ganesan, Yuvaraj, Hwa, Yew, Jaafar, Amar, and Hashim, Fathyah. "Corporate Governance and Sustainability Reporting Practices:The Moderating Role of Internal Audit Function," Global Business and Management Research: An International Journal (2017).

[7]. Alhadhrami, Ahmed and Nobanee, Haitham. "Sustainability Practices and Sustainable Financial Growth." SSRN Electronic Journal (2019).

[8]. Sar, A. K. "Impact of Corporate Governance on Sustainability: A Study of the Indian FMCG Industry," Academy of Strategic Management Journal (2018).

[9]. Scherer, A. G. and Voegtlin, C. "Corporate Governance for Responsible Innovation: Approaches to Corporate Governance and Their Implications for Sustainable Development," Academy of Management Perspectives (2020).

[10]. Kocmanová, Alena, Dočekalová, Marie, Škapa, Stanislav, and Smolíková, Lenka. "Measuring Corporate Sustainability and Environmental, Social, and Corporate Governance Value Added," Sustainability (2016).

[11]. Salvioni, Daniela, Gennari, Francesca and Bosetti, Luisa. "Sustainability and Convergence: The Future of Corporate Governance Systems?," Sustainability 8 (2016).

[12]. Mahmood, Zeeshan, Kouser, Rehana, Ali, Waris, Ahmad, Zubair, and Salman, Tahira. "Does Corporate Governance Affect Sustainability Disclosure? A Mixed Methods Study," Sustainability (2018).

[13]. Vahdati, Sahar, Zulkifli, N. and Zakaria, Zarina. "Corporate Governance Integration with Sustainability: A Systematic Literature Review," Corporate Governance: The International Journal of Business in Society (2018).

[14]. Krechovská, M. and Taušl Procházková P. "Sustainability and its Integration into Corporate Governance Focusing on Corporate Performance Management and Reporting," University of West Bohemia (2014).

[15]. Nobanee, Haitham and Ellili, Nejla. "Corporate Sustainability Disclosure in Annual Reports: Evidence from UAE Banks: Islamic versus Conventional," Renewable and Sustainable Energy Reviews (2015).

[16]. Alshehhi, Ali, Nobanee, Haitham, and Khare, Nilesh. "The Impact of Sustainability Practices on Corporate Financial Performance: Literature Trends and Future Research Potential," Sustainability (2018).

[17]. Almansoori, A. and Nobanee, H. "How Sustainability Contributes to Shared Value Creation and Firms' Value," SSRN (2019).

[18]. Chen, J. "Corporate Governance Definition: How it Works, Principles, and Examples," Investopedia (2022).

[19]. Fombrun, Charles, Gardberg, Naomi, and Sever, Joy. "The Reputation QuotientSM: A Multi-stakeholder Measure of Corporate Reputation," Journal of Brand Management (2013).

[20]. Koçoğlu Sazkaya, Merve, Cetin Gurkan, Guney, and Aktaş, Hakkı. "The Mediating Role of Workload on the Relationship Between Leader Member Exchange (LMX) and Job Satisfaction," Canadian Social Science (2014).

[21]. Elijido-Ten, Evangeline. "Sustainability Balanced Scorecard Disclosures and Corporate Commitment to Sustainability: An Australian Study," Issues in Social and Environmental Accounting (2014).


Cite this article

Yang,S. (2023). Long-term Business Sustainability Through Corporate Governance. Advances in Economics, Management and Political Sciences,19,255-262.

Data availability

The datasets used and/or analyzed during the current study will be available from the authors upon reasonable request.

Disclaimer/Publisher's Note

The statements, opinions and data contained in all publications are solely those of the individual author(s) and contributor(s) and not of EWA Publishing and/or the editor(s). EWA Publishing and/or the editor(s) disclaim responsibility for any injury to people or property resulting from any ideas, methods, instructions or products referred to in the content.

About volume

Volume title: Proceedings of the 2023 International Conference on Management Research and Economic Development

ISBN:978-1-915371-81-2(Print) / 978-1-915371-82-9(Online)
Editor:Javier Cifuentes-Faura, Canh Thien Dang
Conference website: https://2023.icmred.org/
Conference date: 28 April 2023
Series: Advances in Economics, Management and Political Sciences
Volume number: Vol.19
ISSN:2754-1169(Print) / 2754-1177(Online)

© 2024 by the author(s). Licensee EWA Publishing, Oxford, UK. This article is an open access article distributed under the terms and conditions of the Creative Commons Attribution (CC BY) license. Authors who publish this series agree to the following terms:
1. Authors retain copyright and grant the series right of first publication with the work simultaneously licensed under a Creative Commons Attribution License that allows others to share the work with an acknowledgment of the work's authorship and initial publication in this series.
2. Authors are able to enter into separate, additional contractual arrangements for the non-exclusive distribution of the series's published version of the work (e.g., post it to an institutional repository or publish it in a book), with an acknowledgment of its initial publication in this series.
3. Authors are permitted and encouraged to post their work online (e.g., in institutional repositories or on their website) prior to and during the submission process, as it can lead to productive exchanges, as well as earlier and greater citation of published work (See Open access policy for details).

References

[1]. Roberts, J. and Van den Steen, E. "Corporate Governance and Firm Performance," Journal of Corporate Finance, vol. 6, no. 3 (2000), pp. 223-249.

[2]. Iansiti, M. and Levien, R. "The Keystone Advantage: What the New Dynamics of Business Ecosystems Mean for Strategy, Innovation, and Sustainability," Harvard Business School Press (2004).

[3]. Farnham, K. "What is the Relationship between Corporate Governance & Sustainability?," Diligent Corporation (2021).

[4]. Aziz1, N. A. A., Manab, N. A., and Othman, S. N. "Exploring the Perspectives of Corporate Governance and Theories on Sustainability Risk Management (SRM)," Asian Economic and Financial Review (2015).

[5]. Salvioni, D. M. and Gennari, F. "Corporate Governance, Ownership and Sustainability," Virtus InterPress (2016).

[6]. Ganesan, Yuvaraj, Hwa, Yew, Jaafar, Amar, and Hashim, Fathyah. "Corporate Governance and Sustainability Reporting Practices:The Moderating Role of Internal Audit Function," Global Business and Management Research: An International Journal (2017).

[7]. Alhadhrami, Ahmed and Nobanee, Haitham. "Sustainability Practices and Sustainable Financial Growth." SSRN Electronic Journal (2019).

[8]. Sar, A. K. "Impact of Corporate Governance on Sustainability: A Study of the Indian FMCG Industry," Academy of Strategic Management Journal (2018).

[9]. Scherer, A. G. and Voegtlin, C. "Corporate Governance for Responsible Innovation: Approaches to Corporate Governance and Their Implications for Sustainable Development," Academy of Management Perspectives (2020).

[10]. Kocmanová, Alena, Dočekalová, Marie, Škapa, Stanislav, and Smolíková, Lenka. "Measuring Corporate Sustainability and Environmental, Social, and Corporate Governance Value Added," Sustainability (2016).

[11]. Salvioni, Daniela, Gennari, Francesca and Bosetti, Luisa. "Sustainability and Convergence: The Future of Corporate Governance Systems?," Sustainability 8 (2016).

[12]. Mahmood, Zeeshan, Kouser, Rehana, Ali, Waris, Ahmad, Zubair, and Salman, Tahira. "Does Corporate Governance Affect Sustainability Disclosure? A Mixed Methods Study," Sustainability (2018).

[13]. Vahdati, Sahar, Zulkifli, N. and Zakaria, Zarina. "Corporate Governance Integration with Sustainability: A Systematic Literature Review," Corporate Governance: The International Journal of Business in Society (2018).

[14]. Krechovská, M. and Taušl Procházková P. "Sustainability and its Integration into Corporate Governance Focusing on Corporate Performance Management and Reporting," University of West Bohemia (2014).

[15]. Nobanee, Haitham and Ellili, Nejla. "Corporate Sustainability Disclosure in Annual Reports: Evidence from UAE Banks: Islamic versus Conventional," Renewable and Sustainable Energy Reviews (2015).

[16]. Alshehhi, Ali, Nobanee, Haitham, and Khare, Nilesh. "The Impact of Sustainability Practices on Corporate Financial Performance: Literature Trends and Future Research Potential," Sustainability (2018).

[17]. Almansoori, A. and Nobanee, H. "How Sustainability Contributes to Shared Value Creation and Firms' Value," SSRN (2019).

[18]. Chen, J. "Corporate Governance Definition: How it Works, Principles, and Examples," Investopedia (2022).

[19]. Fombrun, Charles, Gardberg, Naomi, and Sever, Joy. "The Reputation QuotientSM: A Multi-stakeholder Measure of Corporate Reputation," Journal of Brand Management (2013).

[20]. Koçoğlu Sazkaya, Merve, Cetin Gurkan, Guney, and Aktaş, Hakkı. "The Mediating Role of Workload on the Relationship Between Leader Member Exchange (LMX) and Job Satisfaction," Canadian Social Science (2014).

[21]. Elijido-Ten, Evangeline. "Sustainability Balanced Scorecard Disclosures and Corporate Commitment to Sustainability: An Australian Study," Issues in Social and Environmental Accounting (2014).