August 20, 2025
Peter Curtain
We’re told businesses have become quieter about their good-citizen credentials. Why do they do that?
Much as they admire social or environmental outcomes, investors value financial returns, PR departments can get carried away, and there’s a limit to consumer indulgence of grandstanding – especially from highly paid executives. Over in the US, firms would rather not offend President Trump.
However, while companies may be more reluctant to use acronyms such as ESG – for environmental, social and governance, and CSR – corporate social responsibility, the good ones remain very aware of their wider obligations.
Why? Events can get out of control fast in the digital age with its headline-hungry, non-stop news cycle. That means responsible leaders must identify and manage risks.
Enhancing long-term sustainability means making people aware what a business does and why it matters – you can’t expect people to care about an enterprise if they know nothing about it beyond a label or price tag.
The best businesses grow roots in the communities they serve. I remember as a reporter, the furore over a Midlands gardening products company closing its sports and social club. The short-term cost savings were tiny compared to the lasting reputational harm. The firm was acquired by a German competitor and no longer manufactures in the UK.
Property developers must now by law deliver a ‘biodiversity net gain’ of 10% for new schemes, resulting in more or better quality natural habitat than there was before development. Such regulation is likely to expand into other sectors to counter man-made pressures on nature.
A property professional tells me that while companies across the board are quieter about ESG, they’re closely examining their supply chains for examples of good and bad practice, to inform future decision-making.
The message for business leaders – however you communicate the message, being a good corporate citizen is more important than ever.
#business #CSR #ESG #nature