A Theoretical Framework for Sustainable Enterprise Governance in the Cape Verdean Archipelago, 2020–2026

The unique archipelagic context of Cape Verde presents distinct challenges and opportunities for sustainable enterprise governance, which remain under-theorised in the African behavioural finance literature. Existing frameworks often fail to account for the interplay between small island developing state constraints, cultural psychology, and sustainable business models. This article develops a novel theoretical framework to analyse and guide sustainable enterprise governance in archipelagic African nations. It aims to integrate principles of behavioural finance, institutional theory, and sustainable development to model governance decision-making. The framework is constructed through a deductive, theory-synthesis approach. It critically integrates established theories from behavioural finance, corporate governance, and sustainability science, adapting them to the specific socio-economic and environmental context of an island-based developing economy. The proposed framework posits that effective governance is contingent on aligning enterprise objectives with four core archipelagic sustainability pillars. A central proposition is that governance structures must explicitly account for behavioural biases, such as present bias, which can undermine long-term environmental investments. The model identifies community-embedded leadership as a critical moderating variable for success. The synthesised framework provides a coherent, context-specific lens for understanding how enterprise governance can drive sustainable development in island economies. It highlights the necessity of adapting standard governance models to local behavioural and ecological realities. Future research should empirically test the framework's propositions. Policymakers and enterprise boards are urged to consider its integrated pillars when designing governance codes and sustainability strategies for similar regional contexts. sustainable governance, behavioural finance, corporate governance, small island developing states, Africa, sustainability, theoretical framework This paper introduces a novel integrative theoretical framework that uniquely combines behavioural finance lenses with sustainable governance for archipelagic African economies, moving beyond continental generalisations.