Is it true that social and environmental resposiblity goes hand in hand with superior financial performance? According to an article titled "Holy Grail Found", the anwers is an emphatic yes. The article states that two "meta-studies" (studies of studies) were performed and have concluded that a "statistically significant association between corporate social performance and financial performance exists, which varies 'from highly positive to modestly positive.'"
So what does this mean? If a company wants to be superior does it have to focus on being socially and environmentally responsible? Maybe superior financial performance is enhanced because of other factors such as good management, product differentiation, or low cost. Perhaps companies that do well financially just have more resources to invest into being socially responsible. Whatever the case, what is a company that wants to out-perform competitors supposed to do? Focus more on the environment, and use its resources in that manner? Maybe resources could be better distributed to society by other means. What do you think?