Primary users

Definition

Primary users are the main stakeholders who rely on sustainability reports for decision-making. They include investors, management, and regulatory bodies concerned with the company's environmental and social impact.

5 Must Know Facts For Your Next Test

1. Investors use sustainability reports to assess long-term risks and opportunities.
2. Management utilizes these reports to align business strategies with sustainable practices.
3. Regulatory bodies review these reports to ensure compliance with environmental laws.
4. Primary users demand transparency in reporting to make informed decisions.
5. Sustainability reporting caters to both financial performance and non-financial impacts.

Review Questions

• Who are considered primary users of sustainability reports?
• Why do investors rely on sustainability reports?
• How do regulatory bodies use sustainability reports?

Related terms

Stakeholders: Individuals or groups affected by or having an interest in a company's activities.

Non-financial Reporting: Disclosure of information not directly related to financial performance, such as environmental and social impact.

Corporate Social Responsibility (CSR): A business model that helps companies be socially accountable to themselves, their stakeholders, and the public.