Sustainability As Strategy: The Competitive Edge For The Net-Zero Economy

Abstract

The transition to a net-zero economy is reshaping corporate strategies worldwide, demanding that sustainability become a central business imperative rather than a peripheral activity. This study explores how embedding sustainability into core corporate strategy creates a competitive advantage by driving innovation, improving operational efficiency, enhancing brand equity, and attracting responsible investment. Drawing from academic literature, ESG frameworks, and case studies of industry leaders such as Unilever, Ørsted, Tesla, and Microsoft, the paper identifies critical enablers and barriers in operationalizing sustainability strategically. Findings reveal that leadership commitment, integrated ESG metrics, transparent reporting, and stakeholder engagement are essential for unlocking sustainability’s full value. This research underscores that sustainability is a transformative force—integral to achieving resilience, profitability, and long-term success in the emerging net-zero economy.