What are B Corps? What is the difference between a B Corp and a company that participates in the UN Global Compact? Discuss the limits and potential of B Corps for promoting CSR. Illustrate with examples
Universidad Nacional de San Martín
In the following paper, I am going to analyse the concept of Beneficial Corporations (B Corps) as an alternative to the average enterprise created and designed during the capitalist system. In the last two decades, Capitalism has shown it is the most powerful economic system ever created. It has improved the quality of life for billions of people. However, many people have come to feel that there is something wrong with the system and its relationship between business and society: The gap between rich and poor is getting wider every day and with this comes social and environmental issues. In this paper I will present the concept of B Corps as an alternative business focus on resolving social and environmental issues. Likewise, I will introduce cases of current B Corps in Latin America. Also, I am going to describe the benefits of being part of B Corps and its areas of evaluation: Management, Workers, Community, Environment and business model. Additionally there will be an analysis of the differences between B Corps and United Nations Global Compact Management model. Furthermore, I will present the example of Corporations that have been acquired by Bcorps and belong to the Global compact. Finally, we will discuss the limits and the potential associated with B corps and their ability to promote CSR.