A Vernacular Model of ESG Transformation Through South Asian Institutional Cultures

Abstract

The combination of vernacular architecture principles and Environmental, Social, and Governance (ESG) has been considered in overcoming sustainability issues in South Asia. The study proposes a vernacular approach to ESG transformation based on cultural, social, and institutional peculiarities of the region. The model suggests the localization of ESG standards to be in line with South Asian values, which ensure the improved adoption and more effective results. The methodology relies on pre and post implementation of the model using the case studies with particular attention to the family-owned business and local communities. The research utilizes qualitative data analysis methods such as thematic analysis and content analysis to investigate the impact of local systems of governance, local cultural practices and community-based decision making on ESG adoption. It also uses AI-based environmental impact assessment and ESG reporting tools. As the case studies show, prior to using the model, ESG practices were frequently narrow in scope and bureaucratic inefficiencies and insufficient community involvement slowed the process. Following the implementation of the vernacular ESG model, there was a substantial change in the sustainability indicators in the listed businesses, 25% less water usage and 30% increased community participation. The model does not only address the main obstacles to change like resistance to change and financial limitations, but also improves the cooperation between local stakeholders, which creates long-term value. The results point to the prospects of adopting international standards of ESG and applying them to national cultural systems to facilitate sustainable development in South Asia, which can be generalized to other areas with comparable socio-cultural patterns. The study should add to the overall body of knowledge on ESG adjustment in emerging markets.