It’s not just the general public who expect a business to have its affairs in order on the diversity, equity and inclusion front. Potential investors want to know about the social stability of any organization, just as they want to know how its books are managed and what a company has in the pipeline for future business.
Environmental, social and governance (ESG) factors are a key component to any company’s public image and business potential. Consumers use them to decide which businesses they want to patronize and which products they want to buy and support. Socially conscious investors use them as criteria for gauging the viability of a potential investment; many are reluctant to go into business with a company that will end up in the news as a violator of one of these three key areas of social responsibility.