Sustainable Business Development in the Research Paper

These seem as basic criteria to start from, but things become more complicated when this is analyzed over a longer period of time. Some of the positive effects of sustainable business development are not immediately translated into quantifiable elements. A program that the business might launch in the community could have perceivable benefits in the not so near future or not at all, if factors do not come into play.

On the other hand, some of the companies can exercise a proactive approach by using risk identification and assessment factor methodologies that would be able to reveal for the decision factors in the organization the societal impact of the business development and whether this is socially sustainable or not. The risk identification and assessment factor process would include a clear analysis of the community in which the business is present, of its main activities and areas of development and of the domains where the company can make a different. The risk identification phase would let the company know whether its development, at any point, might have a negative impact for the community of which it is a part.

In the end, the business will be evaluated not only by the shareholders (who, as shareholders, are looking primarily towards profit maximization), but also by all stakeholders. Several relevant issues should be discussed here. First, even the shareholders move away from a simple, plain evaluation based solely on profits. They understand that a socially sustainable business development feeds, in the medium and long-term, into the company's profits, with all financial implications deriving from that.

If one looks at the stakeholders, as a larger group that includes the shareholders, the customers are likely to play an essential role in the evaluation of the company.As pointed out previously in the paper, consumers no longer base their purchases on simple assessments of price and quality, but look at the social impact the company plays, how the company development impacts lives and communities, including their own. Consumers will just be more aware of the societal dimension of sustainable business and will consider this in their evaluation.

To conclude, companies have gradually moved away from a model that relied entirely on profit maximization towards a model that combines profit maximization with a long-term perspective of the company's communal and societal impact. The motivation from this goes beyond a simple change in philosophy and is, in fact, related to the fact that stakeholders have become much more aware of the societal dimension of business development. Companies need to be socially responsible in order to perform well with the consumers and with the market in general.

Being socially responsible will need a proactive approach from the company. As part of the societal sustainable business development, the company will need to conduct a risk assessment and a general evaluation of the community and society where it activates. Such an analysis would reveal potential sensitive areas where additional attention would be needed, as well as areas where programs would bring most benefits.

Bibliography

1. Dillard, Jesse, Dujon, Veronica, King, Mary. 2008. Understanding the Social Dimension of Sustainability. Routledge 2. Geibler, Justus. 2006. Accounting for the social dimension of sustainability: experiences from the biotechnology industry. John Wiley & Sons, Ltd. And ERP Environment

3. Anand, S. And Sen, a.K. 1996. Sustainable human development: concepts and priorities. Office of Development Studies….....