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Financial/ESG Sustainable Growth Theory and Practice

Author

Listed:
  • Francesco Bellandi
  • Claudio Chiacchierini

Abstract

Purpose- This article applies and early tests the Financial/Environments, Social, Governance (ESG) Sustainable Growth matrix theory. Design/methodology/approach- A case study of Morgan Stanley Capital International ESG rated airlines. Findings- It shows how the matrix integrates financial sustainable growth, ESG, Corporate Social Responsibility, sustainable development, and stakeholder theories into a practical application that generates analysis of impact and strategic options prescriptions. Originality- This article illustrates the maximization of the allocation of societal surplus between shareholders and other stakeholders. It also constructs a proxy for ESG-sustainable growth rate, where no metrics still exist for this. Research limitations/implications- By the integration of the above theories, sustainable development can change from an all-encompassing umbrella concept to doable courses of actions and measurable metrics. Practical implications- The article shows the practical usefulness of the matrix for corporate strategists. Social implications- Industrial economists can also use the matrix to compare industries about their capacity to generate financial and ESG sustainable growth and allocate societal surplus.

Suggested Citation

  • Francesco Bellandi & Claudio Chiacchierini, 2025. "Financial/ESG Sustainable Growth Theory and Practice," International Journal of Business and Management, Canadian Center of Science and Education, vol. 20(5), pages 106-106, October.
    • Handle: RePEc:ibn:ijbmjn:v:20:y:2025:i:5:p:106
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    References listed on IDEAS

    as
    1. Alexandre Sanches Garcia & Renato J. Orsato, 2020. "Testing the institutional difference hypothesis: A study about environmental, social, governance, and financial performance," Business Strategy and the Environment, Wiley Blackwell, vol. 29(8), pages 3261-3272, December.
    2. Christopher Wickert, 2021. "Corporate Social Responsibility Research in the Journal of Management Studies: A Shift from a Business‐Centric to a Society‐Centric Focus," Journal of Management Studies, Wiley Blackwell, vol. 58(8), pages 1-17, December.
    3. Adler, Nicole & Martini, Gianmaria & Volta, Nicola, 2013. "Measuring the environmental efficiency of the global aviation fleet," Transportation Research Part B: Methodological, Elsevier, vol. 53(C), pages 82-100.
    4. Alan Gregory & Rajesh Tharyan & Julie Whittaker, 2014. "Corporate Social Responsibility and Firm Value: Disaggregating the Effects on Cash Flow, Risk and Growth," Journal of Business Ethics, Springer, vol. 124(4), pages 633-657, November.
    Full references (including those not matched with items on IDEAS)

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    More about this item

    JEL classification:

    • R00 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General - - - General
    • Z0 - Other Special Topics - - General

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