Finance & Accounting
Pages 4 (1004 words)
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Voluntary sustainability disclosure (accounting) Customer inserts his/her name Institution’s name A comprehensive definition of sustainability encompasses all three foundations of sustainability, including the people, economy and the environment. If only the social and environmental development is taking place that is referred to as “bearable” (Chick & Micklethwaite, 2011).


It may be argued that the above definition portrays a simplistic view of sustainability. Hence, one of the greatest difficulties encountered by corporations is to break down the sustainability phenomenon into objective goals. According to O’Dwyer’s definition of what he terms as managerial capture, corporations must define sustainability for themselves keeping in view their primary concern of shareholder wealth maximization (O’Dwyer, 2003). This has called into question the existence of the “social” aspect in “corporate social responsibility”. Sustainability must not be viewed from organization’s perspective; rather, it should be viewed from the perspective of the holistic ecosystem. Owing to an increased focus towards sustainability in the corporate world, there have been expectations from accountants to adopt an influential role in using sustainability in a positive way to enable stakeholders achieve their goals. The environmental impact of the firm’s operations on its assets, liabilities, revenues and costs has been one way of incorporating sustainability into financial statements. ...
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