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Sustainability as a Strategic Advantage: Evaluating the Financial Benefits of Environmental Criteria and Sustainability Perceptions in Colombian Enterprises

Year: 2025

Type: article

Abstract: This study examines the relationship between sustainable practices and corporate profitability in Colombian enterprises using data from 3572 responses to the FAEDPYME 2022 survey. Through Structural Equation Modeling, the research analyzes how environmental criteria and sustainability perceptions impact business performance, considering operational efficiency and corporate reputation as mediators. The results demonstrate that environmental supplier selection, energy efficiency management, and environmental certifications positively correlate with increased profitability. Conversely, plastic packaging management shows a negative relationship. The perception that sustainability enhances profitability strongly is associated with higher business performance. Both operational efficiency and corporate reputation serve as significant mediators in these relationships. The study confirms that the strategic implementation of specific sustainable practices is positively associated with enhanced corporate profitability. Furthermore, a managerial conviction that sustainability drives profitability appears to be a significant factor in achieving such positive financial outcomes.

Source: Sustainability

DOI: 10.3390/su17219723

Authors: Jorge Aníbal Restrepo-Morales, Jaime Andrés Ararat-Herrera, Angela Fremiot Rodriguez Armas

Institutions: Antioquia Institute of Technology, University of Córdoba, National University of Trujillo

Language: English

Topic: Environmental Sustainability in Business

Subfield: Marketing

Field: Business, Management and Accounting

Domain: Social Sciences

SDGs: Decent work and economic growth, Responsible consumption and production

Open Access status: gold

Estimated APC paid: $2,896