Top 5 Sustainable Business Trends for 2025: What Future Leaders Need to Know

Posted October 31, 2024 by Kaitlyn Harlow

As we approach 2025, sustainable solutions in business are no longer a niche trend; sustainability is necessary for the longevity of society, businesses and organizations, and the environment. As the economic landscape continues to evolve due to changes in the environment, technology, and societal demand, leaders must prioritize sustainable practices to stay ahead of competitors and uncover opportunities for growth, innovation, and impact. Presidio graduate programs at University of Redlands empower the next generation of environmental business leaders to enact change that addresses global challenges such as the climate crisis, social inequality, and resource depletion. To prepare our graduates to become impactful leaders, we are focusing on a triple-bottom-line approach to business (balancing people, planet, and profit) with particular attention to these five trends:

1. ESG metrics and transparent reporting

Environmental, Social, and Governance (ESG) metrics have become mainstream business requirements, allowing investors, consumers, and regulators better to evaluate organizations on their ethical and sustainable operations. As societal demands for ethical and eco-friendly goods and services continue to rise, transparent reporting and stricter regulations around greenwashing—making false or misleading claims about a company’s environmental impact—are becoming more prominent. Business leaders must ensure reliable data and clear descriptions support their ESG framework and sustainability claims.1

2. Circular economy model

The shift from a linear economy—where products are made, used, and disposed of—to a circular economy is gaining momentum. In a circular economy, businesses design products and processes that prioritize resource efficiency, reuse, and recycling. Future business leaders will need to adopt these closed-loop systems to reduce waste and minimize environmental footprint2 through extending product life cycles and maximizing the reuse of materials across supply chains.

3. Decarbonization and renewable energy

As the world grapples with the impacts of climate change, businesses are taking steps not only to reduce their carbon footprint but to go beyond neutrality and become “climate positive” by removing more carbon dioxide from the atmosphere than they emit. Businesses will need leaders adopting climate-positive strategies like carbon capture technology, regenerative agriculture, and renewable energy projects to help reverse environmental damage.3

4. Technology-driven accountability

The rise of artificial intelligence (AI) and other advanced technologies can benefit the environment by allowing businesses to analyze and manage sustainability data, optimize resource use, and improve supply chain transparency. This real-time reporting will enable future leaders to unlock new opportunities for sustainable innovation and operational efficiency.4

5. Enhanced social responsibility

While the environment typically takes center stage in discussions around sustainability, the social aspect in ESG reporting is a critical component. Social responsibility encompasses environmental stewardship, philanthropy, ethical labor practices, and community engagement. Leaders who incorporate these practices will benefit from increased trust, enhanced brand reputation, and stronger relationships with their stakeholders.5

An impactful degree

Presidio graduate programs at University of Redlands include two unique degree programs in sustainable solutions: our MBA and our dual MBA/MPA. These master’s programs are available online with the opportunity to join us in person at our Bay Area campus in California for monthly residencies. Apply today to join our supportive, purpose-driven community and discover how you can make an impact as a sustainable business leader and help create a better future.

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