A grouping of the Sustainable Development Goals (SDGs) and their influence on business results: An analysis for Spanish companies

Authors

DOI:

https://doi.org/10.24136/oc.2023.015

Keywords:

SDGs, sustainability, business results, Spanish companies

Abstract

Research background: In 2015, the United Nations (UN) set the 2030 Agenda for Sustainable Development and established 17 Sustainable Development Goals (SDGs) containing the social, economic, and environmental pillars of sustainable development. These focus on governments, society, non-profit organisations, and the private sector. This last pillar plays a key role in the pursuit of these goals, but there remains a lack of knowledge regarding how companies achieve the SDGs.

Purpose of the article: Some authors have analysed the effect of companies' adoption of the SDGs on their business performance. However, there is a gap in the analysis of this influence when considering the groups of SDGs. This study examines the level of commitment of a sample of Spanish companies with a grouping of the SDGs and their effects on business results.

Methods: We obtained information on companies from the UNGC and developed a panel regression.

Findings & value added: We concluded that all the SDGs do not have the same effect on companies that incorporate them into their activities. Although it is possible to make progress in all the SDGs, complementarities and trade-offs influence companies' results. The results obtained in this study incorporate new ideas into this issue and provide a new vision of how companies should incorporate sustainability into their businesses. It is not a question of achieving as many sustainable development goals as possible, but rather of focusing on those that can contribute the most to improving business performance. The clustering of the SDGs that we have undertaken and their subsequent analysis facilitates this work.

Downloads

Download data is not yet available.

References

Adamkaite, J., Streimikiene, D., & Rudzioniene, K. (2023). The impact of social responsibility on corporate financial performance in the energy sector: Evidence from Lithuania. Corporate Social Responsibility and Environmental Management, 30(1), 91–104. doi: 10.1002/csr.2340.

DOI: https://doi.org/10.1002/csr.2340
View in Google Scholar

Agrawal, R., Majumdar, A., Majumdar, K., Raut, R. D., & Narkhede, B. E. (2022). Attaining sustainable development goals (SDGs) through supply chain practices and business strategies: A systematic review with bibliometric and network analyses. Business Strategy and the Environment, 31(7), 3669–3687. doi: 10.1002/ bse.3057.

DOI: https://doi.org/10.1002/bse.3057
View in Google Scholar

Al Lawati, H., & Hussainey, K. (2022). Does Sustainable Development Goals disclosure affect corporate financial performance? Sustainability, 14(13), 7815. doi: 10.3390/su14137815.

DOI: https://doi.org/10.3390/su14137815
View in Google Scholar

Alcaide González, M. Á., De La Poza Plaza, E., & Guadalajara Olmeda, N. (2020). The impact of corporate social responsibility transparency on the financial performance, brand value, and sustainability level of IT companies. Corporate Social Responsibility and Environmental Management, 27(2), 642–654. doi: 10.1002 /csr.1829.

DOI: https://doi.org/10.1002/csr.1829
View in Google Scholar

Alkaraan, F., Elmarzouky, M., Hussainey, K., & Venkatesh, V. G. (2023). Sustainable strategic investment decision-making practices in UK companies: The influence of governance mechanisms on synergy between industry 4.0 and circular economy. Technological Forecasting and Social Change, 187, 122187. doi: 10.1016/j. techfore.2022.122187.

DOI: https://doi.org/10.1016/j.techfore.2022.122187
View in Google Scholar

Ang, R., Shao, Z., Liu, C., Yang, C., & Zheng, Q. (2022). The relationship between CSR and financial performance and the moderating effect of ownership structure: Evidence from Chinese heavily polluting listed enterprises. Sustainable Production and Consumption, 30, 117–129. doi: 10.1016/j.spc.2021.11.030.

DOI: https://doi.org/10.1016/j.spc.2021.11.030
View in Google Scholar

Balcerzak, A. P., MacGregor, R. K., Pelikánová, R. M., Rogalska, E., & Szostek, D. (2023). The EU regulation of sustainable investment: The end of sustainability trade-offs? Entrepreneurial Business and Economics Review, 11(1), 199–212. doi: 10.15678/eber.2023.110111.

DOI: https://doi.org/10.15678/EBER.2023.110111
View in Google Scholar

Balcerzak, A. P., & Pelikánová, R. M. (2020). Projection of SDGs in codes of ethics—case study about lost in translation. Administrative Sciences, 10(4), 95. doi: 10.3390 /admsci10040095.

DOI: https://doi.org/10.3390/admsci10040095
View in Google Scholar

Barbier, E. B., & Burgess, J. C. (2019). Sustainable development goal indicators: Analyzing trade-offs and complementarities. World Development, 122, 295–305. doi: 10.1016/j.worlddev.2019.05.026.

DOI: https://doi.org/10.1016/j.worlddev.2019.05.026
View in Google Scholar

Berrone, P., Ricart, J. E., Duch, A. I., Bernardo, V., Salvador, J., Piedra Peña, J., & Rodríguez Planas, M. (2019). EASIER: An evaluation model for public–private partnerships contributing to the Sustainable Development Goals. Sustainability, 11(8), 2339. doi: 10.3390/su11082339.

DOI: https://doi.org/10.3390/su11082339
View in Google Scholar

Biggeri, M., Clark, D. A., Ferrannini, A., & Mauro, V. (2019). Tracking the SDGs in an ‘integrated’ manner: A proposal for a new index to capture synergies and trade-offs between and within goals. World Development, 122, 628–647. doi: 10.10 16/j.worlddev.2019.05.022.

DOI: https://doi.org/10.1016/j.worlddev.2019.05.022
View in Google Scholar

Bowie, N. E. (2019). International business as a possible civilizing force in a cosmopolitan world. Journal of Business Ethics, 155(4), 941–950. doi: 10.1007/s10 551-017-3670-8.

DOI: https://doi.org/10.1007/s10551-017-3670-8
View in Google Scholar

Brodny, J., & Tutak, M. (2023). The level of implementing sustainable development goal "Industry, innovation and infrastructure" of Agenda 2030 in the European Union countries: Application of MCDM methods. Oeconomia Copernicana, 14(1), 47–102. doi: 10.24136/oc.2023.002.

DOI: https://doi.org/10.24136/oc.2023.002
View in Google Scholar

Caldana, A. C. F., Pacheco, L. M., Alves, M. F. R., Eustachio, J. H. P. P., & Santos, N. M. B. F. (2022). Strategy implementation for the 2030 agenda: Insights from Brazilian companies. Business Ethics, the Environment & Responsibility, 31(2), 296–306. doi: 10.1111/beer.12409.

DOI: https://doi.org/10.1111/beer.12409
View in Google Scholar

Claro, P. B. d. O., & Esteves, N. R. (2021). Sustainability-oriented strategy and Sustainable Development Goals. Marketing Intelligence & Planning, 39(4), 613–630. doi: 10.1108/MIP-08-2020-0365.

DOI: https://doi.org/10.1108/MIP-08-2020-0365
View in Google Scholar

Costanza, R., Daly, L., Fioramonti, L., Giovannini, E., Kubiszewski, I., Mortensen, L. F., Pickett, K. E., Ragnarsdottir, K. V., De Vogli, R., & Wilkinson, R. (2016). Modelling and measuring sustainable wellbeing in connection with the UN Sustainable Development Goals. Ecological Economics, 130, 350–355. doi: 10.1016/ j.ecolecon.2016.07.009.

DOI: https://doi.org/10.1016/j.ecolecon.2016.07.009
View in Google Scholar

Dalampira, E.-S., & Nastis, S. A. (2020). Mapping Sustainable Development Goals: A network analysis framework. Sustainable Development, 28(1), 46–55. doi: 10.10 02/sd.1964.

DOI: https://doi.org/10.1002/sd.1964
View in Google Scholar

Daugaard, D. (2020). Emerging new themes in environmental, social and governance investing: A systematic literature review. Accounting & Finance, 60(2), 1501–1530. doi: 10.1111/acfi.12479.

DOI: https://doi.org/10.1111/acfi.12479
View in Google Scholar

Dawes, J. H. P. (2022). SDG interlinkage networks: Analysis, robustness, sensitivities, and hierarchies. World Development, 149, 105693. doi: 10.1016/j.wor lddev.2021.105693.

DOI: https://doi.org/10.1016/j.worlddev.2021.105693
View in Google Scholar

Dorber, M., Panzacchi, M., Strand, O., & van Moorter, B. (2023). New indicator of habitat functionality reveals high risk of underestimating trade-offs among sustainable development goals: The case of wild reindeer and hydropower. Ambio, 52(4), 757–768. doi: 10.1007/s13280-022-01824-x.

DOI: https://doi.org/10.1007/s13280-022-01824-x
View in Google Scholar

Dubravská, M., Marchevská, M., Vašaničová, P., & Kotulič, R. (2020). Corporate social responsibility and environmental management linkage: An empirical analysis of the Slovak Republic. Sustainability, 12(13), 5431. doi: 10.3390/su1213 5431.

DOI: https://doi.org/10.3390/su12135431
View in Google Scholar

Eppinga, M. B., Mijts, E. N., & Santos, M. J. (2022). Ranking the sustainable development goals: Perceived sustainability priorities in small island states. Sustainability Science, 17(4), 1537–1556. doi: 10.1007/s11625-022-01100-7.

DOI: https://doi.org/10.1007/s11625-022-01100-7
View in Google Scholar

Fonseca, L. M., Domingues, J. P., & Dima, A. M. (2020). Mapping the Sustainable Development Goals relationships. Sustainability, 12(8), 3359. doi: 10.3390/su12 083359.

DOI: https://doi.org/10.3390/su12083359
View in Google Scholar

Fraser, J. (2019). Creating shared value as a business strategy for mining to advance the United Nations Sustainable Development Goals. Extractive Industries and Society, 6(3), 788–791. doi: 10.1016/j.exis.2019.05.011.

DOI: https://doi.org/10.1016/j.exis.2019.05.011
View in Google Scholar

Friedman, M. (1970). The social responsibility of business is to increase its profits [J]. New York Times Magazine, 32(33), 173–178.

DOI: https://doi.org/10.1007/978-3-540-70818-6_14
View in Google Scholar

Fuso Nerini, F., Tomei, J., To, L. S., Bisaga, I., Parikh, P., Black, M., Borrion, A., Spataru, C., Broto, V. C., Anandarajah, G., Milligan, B., & Mulugetta, Y. (2018). Mapping synergies and trade-offs between energy and the Sustainable Development Goals. Nature Energy, 3(1), 10–15. doi: 10.1038/s41560-017-0036-5.

DOI: https://doi.org/10.1038/s41560-017-0036-5
View in Google Scholar

Ghardallou, W., & Alessa, N. (2022). Corporate social responsibility and firm performance in GCC countries: A panel smooth transition regression model. Sustainability, 14(13), 7908. doi: 10.3390/su14137908.

DOI: https://doi.org/10.3390/su14137908
View in Google Scholar

Goedeke, M. J., & Fogliasso, C. (2020). Is CSR becoming a corporate requirement? Journal of Managerial Issues, 32(2), 162–175. doi: 10.3397/jmi12654.
View in Google Scholar

Grewatsch, S., & Kleindienst, I. (2017). When does it pay to be good? Moderators and mediators in the corporate sustainability–corporate financial performance relationship: A critical review. Journal of Business Ethics, 145(2), 383–416. doi: 10.1007/s10551-015-2852-5.

DOI: https://doi.org/10.1007/s10551-015-2852-5
View in Google Scholar

Grijalvo, M., & García-Wang, C. (2023). Sustainable business model for climate finance. Key drivers for the commercial banking sector. Journal of Business Research, 155, 113446. doi: 10.1016/j.jbusres.2022.113446.

DOI: https://doi.org/10.1016/j.jbusres.2022.113446
View in Google Scholar

Hirai, T., & Comim, F. (2022). Measuring the sustainable development goals: A poset analysis. Ecological Indicators, 145, 109605. doi: 10.1016/j.ecolind.2022.109 605.

DOI: https://doi.org/10.1016/j.ecolind.2022.109605
View in Google Scholar

Inoue, Y., & Lee, S. (2011). Effects of different dimensions of corporate social responsibility on corporate financial performance in tourism-related industries. Tourism Management, 32(4), 790–804. doi: 10.1016/j.tourman.2010.06.019.

DOI: https://doi.org/10.1016/j.tourman.2010.06.019
View in Google Scholar

Jan, A. A., Lai, F.-W., Asif, M., Akhtar, S., & Ullah, S. (2023). Embedding sustainability into bank strategy: Implications for sustainable development goals reporting. International Journal of Sustainable Development & World Ecology, 30(3), 229–243. doi: 10.1080/13504509.2022.2134230.

DOI: https://doi.org/10.1080/13504509.2022.2134230
View in Google Scholar

Kludacz-Alessandri, M., & Cygańska, M. (2021). Corporate social responsibility and financial performance among energy sector companies. Energies, 14(19), 6068. doi: 10.3390/en14196068.

DOI: https://doi.org/10.3390/en14196068
View in Google Scholar

Lassala, C., Orero-Blat, M., & Ribeiro-Navarrete, S. (2021). The financial performance of listed companies in pursuit of the Sustainable Development Goals (SDG). Economic Research-Ekonomska Istraživanja, 34(1), 427–449. doi: 10.108 0/1331677X.2021.1877167.

DOI: https://doi.org/10.1080/1331677X.2021.1877167
View in Google Scholar

Le, T. T. (2022a). Corporate social responsibility and SMEs' performance: Mediating role of corporate image, corporate reputation and customer loyalty. International Journal of Emerging Markets. Advance online publication. doi: 10.1108/ijoem07-2021–1164.

DOI: https://doi.org/10.1108/IJOEM-07-2021-1164
View in Google Scholar

Le, T. T. (2022b). How do corporate social responsibility and green innovation transform corporate green strategy into sustainable firm performance? Journal of Cleaner Production, 362, 132228. doi: 10.1016/j.jclepro.2022.132228.

DOI: https://doi.org/10.1016/j.jclepro.2022.132228
View in Google Scholar

Margolis, J. D., & Walsh, J. P. (2003). Misery loves companies: Rethinking social initiatives by business. Administrative Science Quarterly, 48(2), 268–305. doi: 10.23 07/3556659.

DOI: https://doi.org/10.2307/3556659
View in Google Scholar

Martínez-Falcó, J., Marco-Lajara, B., Sánchez-García, E., & Millan-Tudela, L. A. (2023). Sustainable Development Goals in the business sphere: A bibliometric review. Sustainability, 15(6), 5075. doi: 10.3390/su15065075.

DOI: https://doi.org/10.3390/su15065075
View in Google Scholar

Mayorga, M., & Muñoz, E. (2000). La técnica de datos de panel una guía para su uso e interpretación. Banco Central de Costa Rica. Documento de trabajo.
View in Google Scholar

Mio, C., Panfilo, S., & Blundo, B. (2020). Sustainable development goals and the strategic role of business: A systematic literature review. Business Strategy and the Environment, 29(8), 3220–3245. doi: 10.1002/bse.2568.

DOI: https://doi.org/10.1002/bse.2568
View in Google Scholar

Moore, D. R. J., & Sciulli, N. (2022). Sustainable development goal disclosures within Australian superannuation funds: An exploratory study. Australasian Accounting, Business and Finance Journal, 16(2), 72–90. doi: 10.14453/aabfj.v16i2.6.

DOI: https://doi.org/10.14453/aabfj.v16i2.6
View in Google Scholar

Morioka, S. N., Bolis, I., Evans, S., & Carvalho, M. M. (2017). Transforming sustainability challenges into competitive advantage: Multiple case studies kaleidoscope converging into sustainable business models. Journal of Cleaner production, 167, 723–738. doi: 10.1016/j.jclepro.2017.08.118.

DOI: https://doi.org/10.1016/j.jclepro.2017.08.118
View in Google Scholar

Mozas-Moral, A., Fernández-Uclés, D., Medina-Viruel, M. J., & Bernal-Jurado, E. (2021). The role of the SDGs as enhancers of the performance of Spanish wine cooperatives. Technological Forecasting and Social Change, 173, 121176. doi: 10.1016 /j.techfore.2021.121176.

DOI: https://doi.org/10.1016/j.techfore.2021.121176
View in Google Scholar

Muhmad, S. N., & Muhamad, R. (2021). Sustainable business practices and financial performance during pre- and post-SDG adoption periods: A systematic review. Journal of Sustainable Finance & Investment, 11(4), 291–309. doi: 10.1080/20430795 .2020.1727724.

DOI: https://doi.org/10.1080/20430795.2020.1727724
View in Google Scholar

Nechita, E., Manea, C. L., Nichita, E.-M., Irimescu, A.-M., & Manea, D. (2020). Is financial information influencing the reporting on SDGs? Empirical evidence from Central and Eastern European chemical companies. Sustainability, 12(21), 9251. doi: 10.3390/su12219251.

DOI: https://doi.org/10.3390/su12219251
View in Google Scholar

Okafor, A., Adeleye, B. N., & Adusei, M. (2021). Corporate social responsibility and financial performance: Evidence from U.S tech firms. Journal of Cleaner Production, 292, 126078. doi: 10.1016/j.jclepro.2021.126078.

DOI: https://doi.org/10.1016/j.jclepro.2021.126078
View in Google Scholar

Palmer, T. B., Phadke, S., Nair, M. V., & Flanagan, D. J. (2019). Examination of sustainability goals: A comparative study of U.S. and Indian firms. Journal of Management & Organization. Advance online publication. doi: 10.1017/jmo.201 9.9.
View in Google Scholar

Pham, D. C., Do, T. N. A., Doan, T. N., Nguyen, T. X. H., & Pham, T. K. Y. (2021). The impact of sustainability practices on financial performance: Empirical evidence from Sweden. Cogent Business & Management, 8(1), 1912526. doi: 10.108 0/23311975.2021.1912526.

DOI: https://doi.org/10.1080/23311975.2021.1912526
View in Google Scholar

Politis, Y., & Grigoroudis, E. (2022). Incorporating the sustainability concept in the major business excellence models. Sustainability, 14(13), 8175. doi: 10.3390/su14 138175.

DOI: https://doi.org/10.3390/su14138175
View in Google Scholar

Preston, L. E., & O'Bannon, D. P. (1997). The corporate social-financial performance relationship: A typology and analysis. Business & Society, 36(4), 419–429. doi: 10.1177/000765039703600406.

DOI: https://doi.org/10.1177/000765039703600406
View in Google Scholar

Queenan, K., Garnier, J. N., Nielsen, L., & Buttigieg, C. (2017). Roadmap to a one health Agenda 2030. CAB Reviews, 12. doi: 10.1079/pavsnnr201712014.

DOI: https://doi.org/10.1079/PAVSNNR201712014
View in Google Scholar

Quintana-García, C., Marchante-Lara, M., & Benavides-Chicón, C. G. (2022). Towards sustainable development: Environmental innovation, cleaner production performance, and reputation. Corporate Social Responsibility and Environmental Management, 29(5), 1330–1340. doi: 10.1002/csr.2272.

DOI: https://doi.org/10.1002/csr.2272
View in Google Scholar

Rajesh, R., & Rajendran, C. (2020). Relating environmental, social, and governance scores and sustainability performances of firms: An empirical analysis. Business Strategy and the Environment, 29(3), 1247–1267. doi: 10.1002/bse.2429.

DOI: https://doi.org/10.1002/bse.2429
View in Google Scholar

Renaud, F. G., Zhou, X., Bosher, L., Barrett, B., & Huang, S. (2022). Synergies and trade-offs between sustainable development goals and targets: Innovative approaches and new perspectives. Sustainability Science, 17(4), 1317–1322. doi: 10.1007/s11625-022-01209-9.

DOI: https://doi.org/10.1007/s11625-022-01209-9
View in Google Scholar

Santos, M. J., & Silva, C. (2021). The adoption of sustainable development goals by large Portuguese companies. Social Responsibility Journal, 17(8), 1079–1099. doi: 10.1108/srj-07-2018-0184.

DOI: https://doi.org/10.1108/SRJ-07-2018-0184
View in Google Scholar

Shahbaz, M., Karaman, A., Kılıç Karamahmutoğlu, M., & Uyar, A. (2020). Board attributes, CSR engagement, and corporate performance: What is the nexus in the energy sector? Energy Policy, 143, 111582. doi: 10.1016/j.enpol.2020.111582.

DOI: https://doi.org/10.1016/j.enpol.2020.111582
View in Google Scholar

Sharma, R., & Aggarwal, P. (2022). Impact of mandatory corporate social responsibility on corporate financial performance: The Indian experience. Social Responsibility Journal, 18(4), 704–722. doi: 10.1108/srj-09-2020-0394.

DOI: https://doi.org/10.1108/SRJ-09-2020-0394
View in Google Scholar

Singh, G. G., Cisneros-Montemayor, A. M., Swartz, W., Cheung, W., Guy, J. A., Kenny, T., McOwen, C. J, Asch, R., Geffert, J. L., Wabnitz, C. C. C., Sumaila, R., Hanich, Q., & Ota, Y. (2018). A rapid assessment of co-benefits and trade-offs among Sustainable Development Goals. Marine Policy, 93, 223–231. doi: 10.1016/j.marpol.2017.05.030.

DOI: https://doi.org/10.1016/j.marpol.2017.05.030
View in Google Scholar

Suárez-Serrano, E., González-Torre, P. L., & Covián-Regales, E. (2023). A business prioritisation of the sustainable development goals indicators: Building bridges between academics and practitioners in the Spanish case. Environmental Development, 46, 100827. doi: 10.1016/j.envdev.2023.100827.

DOI: https://doi.org/10.1016/j.envdev.2023.100827
View in Google Scholar

UN (2014). Commission Regulation (EU) No 651/2014 of 17 June 2014 declaring certain categories of aid compatible with the internal market in application of Articles 107 and 108 of the Treaty Text with EEA relevance.
View in Google Scholar

UN (2015). Transforming our world: the 2030 Agenda for Sustainable Development.
View in Google Scholar

Urban, P., & Hametner, M. (2022). The economy–environment nexus: Sustainable Development Goals interlinkages in Austria. Sustainability, 14(19), 12281. doi: 10.3390/su141912281.

DOI: https://doi.org/10.3390/su141912281
View in Google Scholar

van Zanten, J. A., & van Tulder, R. (2018). Multinational enterprises and the Sustainable Development Goals: An institutional approach to corporate engagement. Journal of International Business Policy, 1(3), 208–233. doi: 10.1057/s 42214-018-0008-x.

DOI: https://doi.org/10.1057/s42214-018-0008-x
View in Google Scholar

Waage, J., Yap, C., Bell, S., Levy, C., Mace, G., Pegram, T., Unterhalter, E., Dasandi, N., Hudson, D., Kock, R. A. , Mayhew, S., Marx, C., & Poole, N. (2015). Governing the UN sustainable development goals: interactions, infrastructures, and institutions. Lancet Global Health, 3(5), 251–252. doi: 10.1016/s2214-109x(15) 70112-9.

DOI: https://doi.org/10.1016/S2214-109X(15)70112-9
View in Google Scholar

Ye, J., Moslehpour, M., Tu, Y.-T., Vinh, N. T., Ngo, T. Q., & Nguyen, S. V. (2022). Investment on environmental social and governance activities and its impact on achieving sustainable development goals: Evidence from Chinese manufactu-ring firms. Economic Research-Ekonomska Istraživanja, Advance onnline publicaiton. doi: 10.1080/1331677X.2022.2076145.

DOI: https://doi.org/10.1080/1331677X.2022.2076145
View in Google Scholar

Yilmaz, M. K., Aksoy, M., & Tatoglu, E. (2020). Does the stock market value inclusion in a sustainability index? Evidence from Borsa Istanbul. Sustainability, 12(2), 483. doi: 10.3390/su12020483.

DOI: https://doi.org/10.3390/su12020483
View in Google Scholar

Downloads

Published

2023-06-30

How to Cite

Peña, I., Andrade, S. M., Muñoz, R. M., & Martínez, I. (2023). A grouping of the Sustainable Development Goals (SDGs) and their influence on business results: An analysis for Spanish companies. Oeconomia Copernicana, 14(2), 551–583. https://doi.org/10.24136/oc.2023.015

Issue

Section

Articles

Similar Articles

<< < 2 3 4 5 6 7 8 9 10 11 > >> 

You may also start an advanced similarity search for this article.