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CMA Foundation · Fundamentals of Business Economics and Management · Economic and Business Environment

The sustainability idea of the 'triple bottom line' evaluates a business performance on which three dimensions?

The triple bottom line measures performance on profit, people and planet, that is, economic results, social impact and environmental impact. It argues that a firm's success should not be judged by financial returns alone but also by its effect on society and the environment.

  1. AProfit, people and planetCorrect
  2. BPrice, product and promotion
  3. CProduction, productivity and profit
  4. DPlanning, organizing and controlling

Explanation

The triple bottom line widens performance measurement beyond financial profit to include social impact (people) and environmental impact (planet). Price-product-promotion are marketing mix elements, and the others are not the triple bottom line framework.

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