As against companies Customer Social Responsibilty (CSR) sharing a proportional relation with company’s reputation, the impact of the eco-friendly division of the company on its stock performance is inversely proportional.

As per a report by Goldman Sachs International, global banking and securities firm: Those companies who are actively engaged in managing environmental, social and governance factors have proved better market leaders.

Anthony Ling, Managing Director, Goldman Sachs believes that due to the vibrant spread of the Internet, around 3,000 non-governmental organizations (NGOs) are listed with the UN, generating the lucidity for corporations.

The other side gives a more curvy graph displaying the weak performance in the environmental, social, and governance area will hint towards the lose of company’s competitive advantage, thereby affecting stock performance. This is because investors consider such factors before picking up the stocks.

The report is followed saying eco-friendly companies’ viz. recycling and nutritional foods are growing well and the alternative energy industry had grown five-fold in the last three years, resulting in rising stock of the company.