Sustainability Communication in Corporate Strategy: The Case of Valmex S.p.A.

The concept of sustainability has evolved into a pivotal element of corporate strategy, necessitating businesses to integrate sustainable practices into their operations and to communicate them effectively. As environmental, social, and governance (ESG) considerations gain increasing prominence in global markets, organizations face mounting pressure from stakeholders - including consumers, investors, and regulatory bodies - to demonstrate transparency and accountability in their sustainability commitments. While major companies have widely adopted sustainability strategies, sustainability communication (SC) - a key component of sustainability management - has only recently gained attention in both academia and practice. Despite the absence of a universally accepted definition, there is a broad consensus that SC plays a vital role in enhancing understanding and engagement with corporate sustainability initiatives. The primary objective of sustainability communication (SC) is to inform and engage customers and stakeholders, rather than to persuade. The company’s overarching objective is to establish a robust connection between its stakeholders and the organisation itself. This is achieved by highlighting the company's sustainability initiatives and ensuring that these align with the expectations of its stakeholders. The capacity of SC to exert influence over corporate reputation is welldocumented, with the potential to serve as a primary catalyst for competitive advantage in a market characterised by increasing complexity. In contradistinction to conventional corporate communication, SC is distinguished by its emphasis on transparency, authenticity, and active stakeholder engagement. However, inadequate or poorly executed sustainability communication can lead to reputational risks, stakeholder disengagement, and accusations of greenwashing, ultimately undermining corporate credibility and trust. Companies that fail to convey their sustainability efforts effectively may struggle to differentiate themselves in competitive markets and risk missing opportunities to strengthen brand loyalty and investor confidence. This paper explores the challenges and opportunities associated with sustainability communication within corporate contexts by examining the case of Valmex S.p.A., an Italian manufacturer of heat exchangers. The study employs a single case study approach, supported by a focus group with key company stakeholders, to analyse how sustainability communication is structured within Valmex and how effectively it engages external audiences. The manufacturing sector is characterised by its own distinctive sustainability challenges, including high energy consumption, complex supply chains and stringent regulatory compliance requirements. This research offers valuable insights into how industrial firms can develop more impactful communication strategies. The findings indicate that, despite Valmex’s strong commitment to sustainability, its current communication strategies are beset by significant challenges, including limited stakeholder engagement and underutilisation of digital platforms. The absence of a cohesive and interactive communication strategy has resulted in limited visibility of the company’s sustainability initiatives among key stakeholders, potentially hindering its ability to build a strong reputation in ESG performance.