Business Sustainability

Name

Institutional Affiliation

Business Sustainability

Introduction

The business environment has evolved continuously forcing firm owners to devise ways of gaining competitiveness. For companies to succeed in a hypercompetitive market, they have to apply a compelling mix of approaches which can guarantee long and short-term advantage over the other market players. In this case, knowledge on business sustainability, the nature of the capital structure, and benefits of sustainable capital market play a significant role in position a business within its industry of operation.

Meaning of business sustainability and key determinates

Business sustainability is concerned with conducting operations which do not hurt future generation. In daily activities, a firm has a critical responsibility towards stakeholders, customers, employees, suppliers, and general society within its area of operation. Therefore, to meet all competing requirements, firms have a role in ensuring the community is taken care of socially, rewarding stakeholders, and preserving ecology through proper environmental management strategies. Key determinates of business sustainability encroach a triple-bottom-line concept. The first core aspect is social consideration of people within the region where business operated; which includes, providing community cleaning service, sponsoring social welfare and proving scholarships. Secondly, the financial aspect is ensuring a company does not run out of money to conducts its operation and that the shareholders are well rewarded. The crucial third determinant is environmental aspects which entail being responsible to the ecology by planting trees and using sustainable energy sources (The Future of Sustainable Business, 2018).

Meaning of sustainable capital structure and green financial markets

A sustainable capital structure is concerned with how a firm funds its operation. There exist various ways of generating money to run the daily affairs of a company. For example, a company can use debt financing or equity financing. A sustainable capital structure contains a good mix between borrowed funds and the amount of investment obtained from shareholders as equality financing. On the other hands, a green financial market is a form of investment which...