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. 2021;52(5):999-1030.
doi: 10.1057/s41267-021-00445-y. Epub 2021 May 25.

Implementing the United Nations' Sustainable Development Goals in international business

Ivan Montiel  1 , Alvaro Cuervo-Cazurra  2 , Junghoon Park  1 , Raquel Antolín-López  3 , Bryan W Husted  4
Affiliations

Implementing the United Nations' Sustainable Development Goals in international business

Ivan Montiel et al. J Int Bus Stud. 2021.

Abstract
in English, French, Spanish, Portuguese, Chinese

Building on the concept of externalities, we propose an explanation of how multinationals can contribute to the enactment of the United Nations' Sustainable Development Goals as part of their ordinary investments. First, we suggest grouping the 17 Sustainable Development Goals into six categories based on whether they increase positive externalities - knowledge, wealth, or health - or reduce negative externalities - the overuse of natural resources, harm to social cohesion, or overconsumption. Second, we propose placing these categories within an extended value chain to facilitate their implementation. Third, we argue that multinationals' internal investments in host-country subsidiaries to improve their competitiveness contribute to addressing externalities in host-country communities, while external investments in host communities to solve underdevelopment generate competitiveness externalities on host-country subsidiaries.

Nous appuyant sur le concept d’externalités, nous proposons une explication de la manière dont les entreprises multinationales peuvent contribuer à l’adoption des objectifs de développement durable des Nations Unies dans le cadre de leurs investissements ordinaires. Premièrement, nous suggérons de regrouper les 17 objectifs de développement durable en six catégories selon qu'ils augmentent les externalités positives - connaissance, richesse ou santé - ou réduisent les externalités négatives - la surutilisation des ressources naturelles, l’atteinte à la cohésion sociale ou la surconsommation. Deuxièmement, nous proposons de placer ces catégories dans une chaîne de valeur étendue pour faciliter leur mise en œuvre. Troisièmement, nous argumentons que les investissements internes des entreprises multinationales dans leurs filiales dans le pays d’accueil, destinés à améliorer la compétitivité de ces dernières, contribuent à lutter contre les externalités dans les communautés du pays d’accueil, tandis que les investissements externes dans ces dernières, destinés à résoudre le sous-développement, génèrent les externalités de compétitivité sur les filiales dans le pays d’accueil.

Basándonos en el concepto de externalidad, proponemos una explicación de cómo las multinacionales pueden contribuir a la promulgación de los Objetivos de Desarrollo Sostenible de las Naciones Unidas como parte de sus inversiones. Primero, sugerimos agrupar los 17 Objetivos de Desarrollo Sostenible en seis categorías basado en si estas aumentan las externalidades positivas -conocimiento, riqueza o salud- o reducen las externalidades negativas -el uso excesivo de recursos naturales, daño a la cohesión social y consumo excesivo. Segundo, proponemos situar estas categorías dentro de una cadena de valor ampliada para facilitar su implementación. Tercero, argumentamos que las inversiones internas de las multinacionales en los países anfitriones de las filiales puede mejorar su competitividad para abordar las externalidades en las comunidades del país anfitrión, mientras que las inversiones externas en comunidades del país anfitrión para resolver el subdesarrollo genera externalidades de competitividad en las filiales del país anfitrión.

Com base no conceito de externalidades, propomos uma explicação de como multinacionais podem contribuir para a implementação dos Objetivos de Desenvolvimento Sustentável das Nações Unidas como parte de seus investimentos ordinários. Em primeiro lugar, sugerimos agrupar os 17 Objetivos de Desenvolvimento Sustentável em seis categorias com base em se eles aumentam externalidades positivas - conhecimento, riqueza ou saúde - ou reduzem externalidades negativas – o uso excessivo de recursos naturais, danos à coesão social ou consumo excessivo. Em segundo lugar, propomos colocar essas categorias em uma cadeia de valor estendida para facilitar sua implementação. Em terceiro lugar, argumentamos que investimentos internos de multinacionais em subsidiárias do país anfitrião para melhorar sua competitividade contribuem para abordar as externalidades nas comunidades do país anfitrião, enquanto investimentos externos em comunidades anfitriãs para resolver o subdesenvolvimento geram externalidades de competitividade nas subsidiárias do país anfitrião.

在外部性概念的基础上, 我们解释了跨国公司如何能够作为其普通投资的 – 部分为联合国可持续发展目标的制定做出贡献。第一, 我们建议根据它们是否增加正外部性 (知识、财富或健康) 或减少负外部性 (自然资源过度使用, 对社会凝聚力的破害或过度消费) 将17个可持续发展目标分为六类。第二, 我们建议将这些类别放在扩展的价值链中以促进其实施。第三, 我们认为, 跨国公司为提高其东道国子公司的竞争力的内部投资有助于解决东道国社区的外部性, 而为解决发展不足对东道国社区的外部投资在东道国子公司中产生竞争力外部性。.

Keywords: Sustainable Development Goals (SDGs); externalities; grand challenges; international business; multinationals; sustainability.

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Figures

Figure 1
Figure 1
Translating SDGs into actionable goals for multinationals to address externalities. Note that the use of the SDG icons is permitted under the United Nations Department of Global Communications (United Nations, 2019).
Figure 2
Figure 2
Multinational subsidiary investments and host-country communities SDG agenda. Note that the use of the SDG icons is permitted under the United Nations Department of Global Communications (United Nations, 2019). Use of the six icons representing each of the externalities is permitted by the Noun Project under a Creative Commons license.
See this image and copyright information in PMC

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