Sustainable Business Development the Notion

Sustainable Business Development

The notion of sustainability has been growing in importance in the global discourse as individuals and decision makers agree on one particular thing: we need to grow in a way that will allow future generations to have their own opportunities as well. With that in mind, sustainable business development becomes a way in which businesses, corporations, multinationals and other economic entities correlate and connect to the concept of sustainability.

This paper will aim to analyze this through the definitions given to sustainable business development and to the way that these definitions actually describe the way companies develop in a sustainable manner. The overall purpose of the paper will be, at the end, to deliver a personal interpretation of sustainable business development and its application in practice.

One direction of definitions of sustainable business development point out that this is a strategy that more and more businesses have adopted that helps them "prosper in sustainable way" (Ethical Marketing Firm website, 2010). This means that sustainable business development is, in one definition, directly linked to profitability. As such, sustainable business development is a way that companies develop taking into consideration "ethical standards" (Ethical Marketing Firm website, 2010).

According to this definition, sustainable business development ties into the main objective of the company, profit maximization, and the relationship between the two is ensured by the customers, who are now care more about the environment and the workers who produce the goods they buy, thus becoming more savvy when it comes to picking providers that take these issues into consideration in the way they grow their business and make profits.

Sustainable business development is also an instrument which marries "economic efficiency with environmental excellence to ensure continued economic growth, while consuming the world's resources and protecting its environment in a way that did not compromise the needs of the future generation" (Stigson, 2000). There are several parts to this definition that are worth discussing.

First of all, sustainable business development is about relating economic efficiency with environmental excellence. Even more extensive than the previous definition that referred to the connection between profitability and sustainability, this definition shows that this relationship goes both ways: the company cannot damage its economic efficiency because of the need to develop in a sustainable manner, but definitely needs to take into consideration the environment when making its business decisions, in a balanced approach.

The second part of this definition relates to the way the company uses resources. A sustainable business development means that the company is using resources in a way that will not damage the capacity of future generations to use what the planet offers them or for them to develop in a way that is consistent with their own aspirations. Bottom line, it means that the company is seriously taking into consideration the fact that resources are limited and that, any time that this is possible, it is advisable for alternative resources to be chosen.

Finally, this definition, as several others, also looks at the output of companies. From this perspective, sustainable business development means that the company's output is not dangerous or harming the environment in any way. This ranges from the effect that it can have on the environment to the negative effects that the business can have in the communities and the people who live there.

Another direction or group of definitions for sustainable business development looks at the scope of business development. One such scope is to identify and benefit from new markets, such as nanotechnology or solar energy (Kulongoski, 2010). Many companies have become more and more aware of the fact that sustainability is not necessarily a new trend that will go away, but rather a new concept that more and more individuals are likely to embrace. With that in mind, companies look to sustainable business development as a way to diversify their markets and enter new ones, markets that are likely to become very profitable in the next period of time.

There is also the internal aspect of sustainable business development. A sustainable business development concept could be judged against the company's own resources and internal capacities. If it develops in a sustainable manner, it can mean that it is not overstretched, that it is using its resources in a way that is rational and that it has a long-term strategy for that. It can also mean that it is allocating its resources properly, depending on the activities it is following and the new markets that it is aiming to establish.

As one can see from this presentation, the definitions for the concept of sustainable business development vary depending on the perspective that is used for interpretation. There are several such perspective, including the consumers' perspective, the business perspective, the external perspective (including the governmental perspective, such as the legislation that needs to be implemented and abided by) etc. All tend to point out towards a common denominator: sustainable business development places the company into an ecosystem that includes human beings, the environment and communities. It cannot act unsustainably in such an ecosystem, because it is part of it and, as such, acting unsustainably would affect the company as well.