In the News (from BBC News): “…in the next few weeks, half a dozen US states are expected to pass legislation that will for the first time protect companies which value their social impact as much as the bottom line.
“Whether it’s buying locally, protecting the environment or launching community projects, the new ‘benefit corporations’ have a common mission – to do well by doing good.
“‘It’s becoming a national movement,’ says Penny Jones-Napier, owner of the Big Bad Woof pet store in Hyattsville, Maryland, the first business in the US to adopt the new benefit corporation designation. ‘What started with small businesses is moving into the mainstream.’
“As a benefit corporation, Big Bad Woof is protected from legal action if it makes decisions that aren’t in the financial interests of its shareholders.
“The company can support local suppliers for instance, even though that might not be the cheapest option and could reduce the profit margin.
“Ms Jones-Napier says her customers are also happy to pay extra to support the company’s values. …
“‘Benefit corporations are brilliant because they allow companies to pursue profit – for which no one should apologise – and at the same time have a positive impact on society,’ says corporate legal expert Laura Jordan of The Capital Law Firm in Washington DC.
“Whereas the two goals were once seen as incompatible, people in their 20s and 30s regard them as complementary, she says. ‘They want to use the power of business to change the world.’
“Seven states, including New York and California, have already adopted the new business class. These seven states combined produce a third of America’s annual economic output, which makes their support for benefit corporations significant, says Andrew Kassoy, co-founder of B Lab. …
“There are still fewer than 100 benefit corporations in the US, but Mr Kassoy expects that number to grow rapidly over the next few years.”
My Comment: This initiative would be wonderful if it weren’t egoistic and confined within one country or one state. In the end, since this is contrary to the law of nature, to bring us to a total interconnected system, this initiative has no future! It will only delay the end and will bring us to a greater devastation.