Almost everyone has heard the term “sustainability”. But do we really know what this means? Do we understand what sustainable entrepreneurships means? Or what are sustainable business models and how to run my company in sustainable way?
The United Nations presents a widely accepted definition of sustainability within the framework of sustainable development. Sustainability is the practice of meeting the needs of the present without compromising the ability of future generations to meet their own needs. It emphasizes the importance of responsible resource use, environmental preservation, and equitable development to ensure a better future for all (UN, 2023).
Sustainability is often broken down into three core parts: economic, environmental, and social. These are also referred to as ESG (Environmental, Social, and Governance). ESG represents the factors used to measure how well a company handles its impact on the environment, treats people fairly, and manages its operations responsibly. In business settings, sustainability frequently strives to safeguard natural or physical resources, ensuring their availability for future generations.
UNDERSTANDING SUSTAINABLE ENTREPRENEURSHIP
In general terms, entrepreneurship means starting and running your own business or project. Entrepreneurship involves the process of 1) identifying opportunities; 2) developing innovative ideas; 3) taking calculated risks to create and manage a new business or venture.
Entrepreneurs often navigate challenges, adapt to changing circumstances, and seek outopportunities for growth. Sustainable entrepreneurship ensures that a business not only makes a profit but also takes care of people and the planet. Sustainable entrepreneurship is a business model in which the company seeks to create value by addressing social, environmental needs, while sustaining economic gains. Sustainable entrepreneurs focus on creating products and services that have a positive impact on the environment, while also providing economic benefits. Sustainable entrepreneurship is often referred toalso as social entrepreneurship.
Watch video and get the answer why does sustainable entrepreneurship matter? Interview with Constanze Chwallek from AACHEN University of Applied Sciences, Germany.