Following ESG Principles as one of the Key Business Factors

Kadyrov Chechen State University, Sheripova Street, 32, 364024, Grozny, Russia

^* Corresponding author: raya.bek@yandex.ru

Abstract

Following ESG principles is now one of the key drivers of business value. In this regard, there are companies that try to mislead stakeholders, which has a negative impact on the whole process of responsible investment, as it reduces investor confidence. Such activity is called impact (green) washing - imitation of the company’s implementation of an environmental or social mission. In connection with the observed large trend of the “green” agenda, greenwashing has become especially widespread. In the modern sense, greenwashing is a false positive communication of a company about its environmental impact on the environment, in other words, it is a misrepresentation by a company about a product, service or investment, in which they appear to be more environmentally friendly than they really are.