USV Annals of Economics and Public Administration (Jun 2023)
THE ROLE OF MNCs IN SUSTAINABLE DEVELOPMENT: A DYNAMIC AND SUSTAINABLE VIEW ON BALANCING PROFITS AND THE PLANET. TOWARDS A MORAL CAPITALISM IN WESTERN WORLD
Abstract
MNCs play a critical role in addressing the sustainable development issue. The traditional profit-maximizing strategy of MNCs has frequently resulted in sustainability problems. This has had a detrimental effect on long-term economic growth, as well as the environment and society. The article will focus on MNCs' contributions to sustainable growth and how they may achieve a healthy balance between profits and the environment to ensure a dynamic future. The research approach focuses on the development of sustainability and the role of MNCs in sustainable development and uses the research methods like systems analysis, comparative analysis, and interpretation of the findings as outlined in the literature. The article acknowledges that MNCs can both cause and address environmental and social issues. It acknowledges that MNCs must strike a balance between economic, social, and environmental issues in order to achieve a sustainable future in a complex and continuously changing global context. A "triple bottom line" strategy, which evaluates success in terms of the environment and social effect in addition to financial performance, is the manner in which MNCs may accomplish this balance. One of the contemporary manifestations of capitalism is "responsible" or "moral" capitalism. Moral capitalism is also described as the constitutional principle of regulating capitalism in order to protect citizens from corporate predators and to prevent economic exploitation based on one's class or financial condition.
