As the global community pays increasing attention to sustainable development and corporate responsibility, ESG has become an important reference standard for companies and investors, and it is crucial to understand the impact of ESG on the future.
What is ESG
ESG is the abbreviation of Environmental, Social, and Governance. It is a framework for sustainable investment and corporate management that is used to evaluate the environmental, social, and governance performance of enterprises.
Environment
E focuses on companies' environmental performance, including reducing carbon emissions, water resources management, waste disposal, energy efficiency and climate change response. Businesses need to take measures to reduce their adverse impact on the environment to reduce ecological risks and increase environmental awareness.
Social
S focuses on corporate social performance, including labor relations, employee welfare, diversity and inclusion, human rights, and corporate contributions to local communities. Companies need to ensure that their business activities not only create value for shareholders, but also consider their contribution to society and promote social equity and positive social impact.
Governance
G focuses on the corporate governance structure, including board of directors structure, shareholder rights, ethical standards, financial transparency, risk management and anti-corruption. Good governance is key to ensuring that businesses operate fairly, transparently and responsibly, helping to reduce risk and enhance long-term value.
Concrete actions taken by well-known global companies for ESG
Apple
Apple is a technology company committed to sustainability. They are committed to achieving carbon neutrality goals and have determined the carbon footprint of their entire supply chain. They also work to improve the energy efficiency of their products and promote recycling and reuse to reduce the generation of e-waste.
Microsoft
Microsoft is actively working on sustainability, announcing that it will achieve carbon neutrality by 2030 and remove past carbon emissions by 2050. The company also focuses on digital inclusion and promotes equality in technology through education and training programs.
Unilever
The multinational company is a leader in the FMCG industry and is known for its sustainability initiatives. Unilever is committed to becoming fully carbon neutral by 2039, while providing sustainable product options and actively supporting social equity and environmental protection projects.
Tesla
As a pioneer in the field of electric vehicles, Tesla aims to reduce the carbon footprint of the automotive industry. Their mission is to accelerate the full implementation of renewable energy and reduce carbon emissions through electric vehicle technology while making transportation more efficient.
Doing a good job in ESG can help companies achieve sustainable value, risk management and market competitive advantages, including improving brand image, reducing risks, attracting the support of investors and consumers, etc.
Global ESG trend
ESG was originally a concept in the investment community, used to evaluate and select investment projects. However, now it has expanded to all levels of corporate management, and companies are increasingly paying attention to integrating ESG principles in their business operations to ensure sustainable development and social responsibility. This concept has become increasingly important in the financial and business world and is widely used in corporate and investment strategies around the world.
EN 
TW