Green Economics

This article examines the improvement of business processes of companies operating in Azerbaijan within the framework of sustainable development principles, the implementation of the ESG (Environmental, Social, Governance) strategy and its impact on the economic sustainability of companies. The article analyzes the essence of the ESG strategy, mechanisms for its implementation by companies and the influence of this strategy on investor decision-making. At the same time, the problems faced by local companies during the implementation of ESG principles in 2024-2025 and the ways to solve them are presented. The research methodology includes scientific methods such as a systemic approach, comparative analysis, induction and deduction. The results show that the implementation of ESG principles provides companies with economic, social and reputational advantages and creates conditions for the formation of sustainable business.