The Evolution of ESG: From CSR to ESG 2.0

The evolving landscape of Corporate Social Responsibility (CSR) has transcended its traditional boundaries, transitioning into Environmental, Social, and Governance (ESG) principles and their more advanced iteration, ESG 2.0. Unlike traditional CSR, which primarily emphasizes voluntary ethical pract...

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Main Author: Ioannis Passas
Format: Article
Language:English
Published: MDPI AG 2024-11-01
Series:Encyclopedia
Subjects:
Online Access:https://www.mdpi.com/2673-8392/4/4/112
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author Ioannis Passas
author_facet Ioannis Passas
author_sort Ioannis Passas
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description The evolving landscape of Corporate Social Responsibility (CSR) has transcended its traditional boundaries, transitioning into Environmental, Social, and Governance (ESG) principles and their more advanced iteration, ESG 2.0. Unlike traditional CSR, which primarily emphasizes voluntary ethical practices, ESG integrates sustainability into the core business strategy, transforming how corporations address environmental and societal challenges while enhancing shareholder value. This entry focuses specifically on the European and North American contexts, where regulatory pressures, investor demands, and societal expectations have played pivotal roles in accelerating this transition. Understanding the evolution from CSR to ESG practices is crucial, given the increasing complexity of global challenges such as climate change, inequality, and governance scandals. The emphasis on ESG 2.0 highlights a proactive, strategic approach to embedding sustainability into corporate DNA, ensuring relevance in a rapidly changing world.
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spelling doaj-art-f8f1dc9a811340979f654fed302eee852025-08-20T02:00:27ZengMDPI AGEncyclopedia2673-83922024-11-01441711172010.3390/encyclopedia4040112The Evolution of ESG: From CSR to ESG 2.0Ioannis Passas0Department of Business Administration and Tourism, Hellenic Mediterranean University, 71410 Heraklion, GreeceThe evolving landscape of Corporate Social Responsibility (CSR) has transcended its traditional boundaries, transitioning into Environmental, Social, and Governance (ESG) principles and their more advanced iteration, ESG 2.0. Unlike traditional CSR, which primarily emphasizes voluntary ethical practices, ESG integrates sustainability into the core business strategy, transforming how corporations address environmental and societal challenges while enhancing shareholder value. This entry focuses specifically on the European and North American contexts, where regulatory pressures, investor demands, and societal expectations have played pivotal roles in accelerating this transition. Understanding the evolution from CSR to ESG practices is crucial, given the increasing complexity of global challenges such as climate change, inequality, and governance scandals. The emphasis on ESG 2.0 highlights a proactive, strategic approach to embedding sustainability into corporate DNA, ensuring relevance in a rapidly changing world.https://www.mdpi.com/2673-8392/4/4/112ESGCSRsustainabilityaccountabilitystakeholder theory
spellingShingle Ioannis Passas
The Evolution of ESG: From CSR to ESG 2.0
Encyclopedia
ESG
CSR
sustainability
accountability
stakeholder theory
title The Evolution of ESG: From CSR to ESG 2.0
title_full The Evolution of ESG: From CSR to ESG 2.0
title_fullStr The Evolution of ESG: From CSR to ESG 2.0
title_full_unstemmed The Evolution of ESG: From CSR to ESG 2.0
title_short The Evolution of ESG: From CSR to ESG 2.0
title_sort evolution of esg from csr to esg 2 0
topic ESG
CSR
sustainability
accountability
stakeholder theory
url https://www.mdpi.com/2673-8392/4/4/112
work_keys_str_mv AT ioannispassas theevolutionofesgfromcsrtoesg20
AT ioannispassas evolutionofesgfromcsrtoesg20