Triple Bottom Line Boosts Company Value, Gross Profit Margin Key
The study tested how a company's economic, environmental, and social performance affects its value. They looked at manufacturing companies in the basic and chemical industry that reported their performance in 2018. They used the Gross Profit Margin to measure economic performance and Tobin's Q to measure company value. The results showed that a company's triple bottom line performance does impact its value. Additionally, the Gross Profit Margin can be used as an indicator of economic performance that influences a company's value.