Sustainability Leadership Pays Off

In January 2007, when Duquesne was recruiting students for our first MBA Sustainability cohort, the cover of what was then BusinessWeek magazine invited readers to “Imagine a world in which eco-friendly and socially responsible practices actually help a company’s bottom line.”

Sustainable-Growth-Strategy

Less than a decade later, McKinsey describes sustainability as “profits with purpose” and reports that “companies pursue sustainability because it has a material financial impact.” 

  • Companies with high ESG ratings outperform market in the medium and long-term and have lower cost of debt and equity.
  • Companies in Carbon Disclosure and Carbon Performance Leadership Indices have superior stock market returns.
  • Efficient use of resources is an indicator of overall superior financial performance.
  • Socially responsible investment accounted for more than 11% of assets under management in the United States ($3.74 trillion) in 2013.

As MBA students with a focus in sustainability, we are preparing to strengthen the business case for the positive change we want to see in the world!

Source:  “Profits with purpose:  How organizing for sustainability can benefit the bottom line,” McKinsey, 2014
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