Sustainability and Climate Risk (SCR) — Question 58

A retail company operates internationally, and increasingly incurs scrutiny for environmental and social impacts. In response, the company adopts the SDGs. The company sustainability director begins this process by linking the SDGs to material concerns for the company.
Which strategy should the director suggest the company take to directly address one of the SDGs?

Answer options

• A. Disclose ESG factors to investors and stakeholders.
• B. Maximize profits from green forest bonds.
• C. Promote equitable access to water for surrounding communities.
• D. Ensure the company follows through on stated CSR commitments.

Correct answer: C

Explanation

The correct answer is C because promoting equitable access to water directly aligns with one of the SDGs focused on clean water and sanitation. The other options, while important, do not directly address a specific SDG in the same impactful way. Option A focuses on transparency, B emphasizes profit over sustainability, and D involves compliance without addressing specific SDG goals.