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Leadership Conversations by TSB

Alex Edmans on Rational Sustainability

Mar 5, 2024
Professor Alex Edmans discusses rational sustainability, focusing on long-term value creation over politics. Boards should evaluate sustainability issues rationally, recognizing trade-offs. Sustainability initiatives can lead to long-term profits and serve both business and society.
26:45

Episode guests

Podcast summary created with Snipd AI

Quick takeaways

  • Rational sustainability prioritizes long-term value creation over ideology, fostering decisions that benefit both business and society.
  • Effective sustainability strategies require evidence-based decision-making, questioning assumptions, and recognizing trade-offs for societal impact.

Deep dives

Importance of Sustainable Practices for Business Success

Companies need to focus on sustainability in a way that enhances shareholder returns without being detrimental. Research and evidence play a crucial role in understanding the relationship between sustainability and profitability. The business case for sustainability has evolved over time from philanthropy to CSR and now to ESG, highlighting the importance of integrating environmental, social, and governance factors for long-term success.

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