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Purpose – This paper aims to propose an effective response by business organizations to the impact of global challenges and sustainable development (SD). It also presents an overview model of organizational performance employing such an approach. Design/methodology/approach – This paper is a conceptual work based upon a review of theories, research findings and reports gathered from relevant literature. The review yielded the following research framework: many countries are facing global challenges; these global challenges are affecting business organizations as external factors; SD is a concept employed to address these challenges; SD can be applied in business organizations through corporate social responsibility (CSR), corporate governance (CG) and sustainability policy and practices; and embedding CSR, CG and sustainability concepts at a strategic level is an effective response to global challenges. Findings – Global challenges are impacting on business organizations and will continue to do so into the future. CSR, CG and sustainability concepts are increasingly being adopted by leading business organizations throughout the world. Embedding CSR, CG and sustainability concepts at a strategic level can sustain long-term organizational performance, as they help businesses face global challenges in a positive manner and maintain their position in societies on good terms with all stakeholders. Research limitations/implications – Different cultural or socio-economic environments may limit the interpretation and application of the findings or propositions in this research. Practical implications – How CSR, CG and sustainability concepts can be holistically implemented in business practices. Social implications – The role of business in lessening the effect of global challenges and supporting SD is illustrated in the proposed model. Originality/value – This paper demonstrates connections among the following critical influences on organizational performance: global challenges; SD; and CSR, CG and sustainability.
European Business Review – Emerald Publishing
Published: Jun 8, 2015
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