Sustainability Reporting In Unbalanced Global Economy
Yulia Kazakova is a Master Student at the University Higher School of Economics in Russia. Her research is one of the first in our series of published student research. To download this research, please download here
This paper examines the role of the sustainability reporting and its features in European countries and in Russia. Using the open sources of the Global Reporting Initiative (GRI) the information about the indicators of sustainability report is collected. In particular, the influence on financial indicators of companies by indirect factors such as working condition is measured. Sustainability reporting creates real opportunity for unbalanced economy to diversify risks of companies’ performance, reduce costs and improve efficiency.
Unbalanced global economy is influenced by such factors as forced and compulsory labor, internal frauds, wasting of energy resources and discrimination of particular groups. Sustainability reporting is a recent development that promotes the principles of fair trading, investing in new technologies and scientific researches.
Pressures of increasing population, overgrazing, overcultivation have a strong influence on the future performance of particular companies. A life cycle of a company that cuts down trees and doesn’t care about reforestation can’t be considered as long-term and perspective. Eventually, fertile topsoil may be entirely destroyed, leaving only dust, bare rock and no perspectives for doing business and money in the future.
Company should be aware of any possible risks on financial markets. In this case financial reporting provides t