Analysis of the impact of ESG strategies on the competitiveness of industrial enterprises

Abstract

In the context of growing demands for sustainable development, the study of practical approaches to maintaining stable market positions for enterprises across industries is critical. This article aims to determine the impact of ESG strategies on the competitiveness of industrial enterprises and to identify the mechanisms through which environmental, social, and management practices are transformed into sustainable competitive advantages in the context of the modern economy and post-war recovery. The study employs methods of structural-logical, comparative, and institutional analysis, as well as the generalisation of empirical research results and ESG integration practices in the industrial sector. This approach enabled the determination of the industry-specific impact of individual ESG components on enterprise production sustainability, management quality, and market positions.

The results obtained indicate that the environmental component contributes to increasing the efficiency of resource use, reducing technological risks, and reducing production costs through equipment modernisation, emission control, and energy-saving solutions. The social component ensures the stability and quality of the labour force, reducing the risk of downtime and affecting labour productivity and product quality. The management component strengthens corporate sustainability by promoting transparency in decision-making, effective risk management, and clear accountability, thereby building trust in supply chains and among partners. It is demonstrated that the competitive effect of ESG implementation arises not from individual initiatives but from a systematic strengthening of the enterprise's operational and management sustainability.

The study's conclusions emphasise that implementing ESG strategies in industrial enterprises is a key factor in achieving long-term competitive advantage. The level and effectiveness of ESG integration depend on the industry structure, scale of the enterprise and access to investment resources. Prospects for further research include the quantitative assessment of the impact of individual ESG components on competitiveness and the development of models for integrating ESG into the strategic management of enterprises during the post-war industrial modernisation period.