Leadership Approaches for Sustainable Development: Balancing Profitability and Sustainability

Abstract

This study aimed to explore how transformative, paradoxical, and inclusive leadership styles can collectively address the challenges of balancing economic growth with environmental and social sustainability. Drawing on paradox theory and social exchange theory, the research sought to understand how these leadership approaches foster innovation, collaboration, and ethical accountability in organizations. Using a quantitative research approach, the study was conducted as an organizational case study in Punjab, Pakistan, avoiding a strict positivist framework to provide nuanced insights. The findings demonstrate that the integration of these leadership styles effectively supports the achievement of the triple bottom line—profit, planet, and people—by resolving tensions between short-term profitability and long-term sustainability. The study offers a comprehensive framework for leaders in resource-intensive industries, suggesting actionable strategies to align profitability with sustainability imperatives.