For the decades sustainable growth of the firm has been analyzed on the basis of sustainable growth rate  which combined few financial ratios. The new approaches in the area of sustainable business development challenges . A group of researchers sets a clear standpoint that shareholder value maximization can be achieved only together with fundamental growth of a corporation. In this project we develop a hypothesis that companies with long term sustainable capitalization growth should show sustainable growth in operating performance. It will allow us to differentiate the companies based on their characteristics of long term sustainable value growth.

We would also check whether qualitative corporate governance practices help company to achieve the goal of sustainable value growth.

We expect corporate governance practices to play a significant role in differentiating winners (companies with long history of sustainable value growth) from losers (companies that were not able to achieve sustainable growth in capitalization). If this is true, then implementing a good CG system in a company could be viewed as a source of sustainable value growth.