The Many Faces of Firm Sustainability Orientation
(A2025-126054)

AUTHORS

JOHANNA FRÖSÉN, Aalto University School of Business; JOHANNA GUMMERUS; HENRIKKI TIKKANEN

ABSTRACT

Recent EU legislation requires more stringent reporting on the sustainability aspects of business throughout the supply chain. Besides the normative pressures linked to legislative requirements, many firms have endogenously reinforced the sustainability aspects in their business, whereas others lag behind. This study builds on national survey data from over 500 top-level managers to map firms’ foci and profiles related to adoption of sustainability goals, i.e. sustainability orientations. The study identifies four foci in firms’ sustainability orientations (SOs): (1) strategic focus on environmental issues, (2) strategic focus on social issues, (3) tactical focus, and (4) normative focus. We also reveal four sustainability profiles which we label as “Responsible reformers,” “Rule-followers,” “Do-gooders,” and “Business-as-usuals.” Taken together, these foci and profiles shed light on the diverse ways in which firms weave in sustainability goals into their strategizing.