A Business Analysis on the Relationship of Sustainability Score and Financial Structure

Abstract

In this business analysis, the complex interplay between the sustainability scores and the financial structures of modern companies is examined in depth. As a case, one of the largest in Turkey, Koç Holding is selected. Koç Holding exports a wide range of products to the EU countries. The study aims to uncover the key drivers and inhibitors that shape this relationship based on a synthesis of academic literature and empirical research. In this study, text mining was performed on a total of 250 sustainability reports as of July 2020. In this way, the scores were calculated for each of the nine headings. The results were interpreted through the calculation of the regressive relationship between these scores and annual financial performance, revealing the increase in the institution's sensitivity to sustainable development over the years.