Determinants and consequences of sustainability accounting

This chapter explores the key factors influencing the adoption of sustainability accounting and its far-reaching implications. Internal determinants, including corporate strategy, leadership commitment, and financial capacity, shape how organisations integrate sustainability into their operations. External pressures, such as regulatory frameworks, market dynamics, and societal expectations, drive transparency, and accountability. This chapter also examines the consequences of sustainability accounting on financial performance, including cost efficiency, access to capital, and risk management. Non-financial impacts, such as enhanced reputation, employee engagement, and innovation, are highlighted alongside broader societal and environmental benefits. By linking determinants to outcomes, this chapter underscores sustainability accounting's transformative potential in advancing global sustainability goals.