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Sustainability Accounting: The Role of ESG Reporting in Business Success

Chief Editors:  Mr. Irshadullah Asim Mohammed, Dr. Yogesh Mohan Gosavi, and Prof. (Dr.) Vineeta Kaur Saluja

Associate Editor: Mrs. Sruthi S

Co-Editors: Dr. S. Rajeswari, Dr. Nikhil Saini, and Ms. Atreyee Banerjee

ISBN:  978-81-985805-1-1

Chapter: 40

Author: Dr. Sonali Shrotri

DOI: https://doi.org/10.59646/mrnc40/321

Abstract

Sustainability accounting has emerged as a critical tool in modern business, helping organizations align financial performance with environmental, social, and governance (ESG) considerations. ESG reporting plays a pivotal role in enhancing corporate transparency, risk management, and long-term value creation. Companies that integrate sustainability into their accounting frameworks can improve investor confidence, stakeholder trust, and regulatory compliance while mitigating risks related to climate change, social responsibility, and governance failures. This paper explores the significance of ESG reporting in business success, highlighting its impact on corporate reputation, financial performance, and strategic decision-making. Additionally, it examines global reporting frameworks, challenges in ESG disclosure, and best practices for effective sustainability accounting. The findings suggest that organizations embracing robust ESG reporting mechanisms gain a competitive advantage and contribute to sustainable economic growth.

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