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Published on Wednesday, 03 December 2014

Sustainability pays, suggests meta-study

Written by John Mowbray

Zara owner, Inditex, has proved that sustainability pays

LONDON - Almost 90 per cent of just under 200 media sources evaluated by a meta-study found that companies with robust sustainability practices demonstrate stronger operational performance, while 80 proved a link between systematic sustainability management practice and a positive influence on share prices. The work, carried out by UK, asset manager Arabesque and the University of Oxford, led the authors to conclude that "responsibility and profitability are not incompatible, but in fact wholly complementary." It claims to represents "the most comprehensive knowledge base on sustainability to date," and is based on more than 190 academic studies, industry reports, newspaper articles, and books.

In the apparel sector, the findings of the research round-up would appear to be borne out by the robust financial performance of the likes of H&M, Nike and Inditex, all these fast growing businesses having ramped up their sustainable textile activities in recent years.


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