New sustainability index reveals firms' true impact on environment and society.
The article presents a framework for measuring how well companies are doing in terms of sustainability. The framework combines economic, environmental, and social factors, taking into account the idea of strong sustainability. By including thresholds related to carrying capacity and critical capital, the framework shows that social and environmental factors are crucial for a company's overall sustainability performance. The proposed index can help both experts and practitioners understand how to measure corporate sustainability effectively.