Content area
Full Text
This study includes an analysis of Conscious Capitalism literature using four tenets: higher purpose, total stakeholder orientation, leadership with a holistic world view, and values driven culture. Emerging themes are that Conscious Capitalism: is a philosophy of generating customer value for long-term emotional, social, and financial competitive advantage; emerges naturally from within the organization and is not a bolt-on CSR program; represents unapologetic advocacy for free market entrepreneurship, property rights, freedom to contract, and the rule of law. Secondly, the study includes a financial analysis showing that Conscious Capitalism organizations outperform the market in traditional 5-year perform- ance indicators.
ANALYSIS OF THE LITERATURE
With the backing of Whole Foods Market founder and co-CEO John Mackey, Conscious Capitalism has managed to pique the interest of businesses, employees, and scholars alike. The tenets of Conscious Capitalism include: 1) operating with a higher purpose, 2) taking a total stakeholder orientation, 3) conscious leadership, and 4) establishing a values driven culture. While these tenets may initially seem straightforward, Conscious Capitalism is a philosophy with a breadth of deeper meaning and altruism.
Other Movements
To gain a full understanding and appreciation of Conscious Capitalism and its distinct features, it is imperative to examine preceding social business programs. The first of these programs emerged in 1968 with the "National Alliance of Business." The "National Alliance of Business" aimed to reduce urban unemployment. During the 1970s America saw the birth of "Corporate Social Responsibility," which hoped to expand the role businesses played in addressing key societal needs (Hanson, 2011). At the turn of the millennium other Corporate Social Responsibility (CSR) programs began to take root such as the United Nations Global Compact, as well as a host of corporate ethics programs. Many, if not most, multinational enterprises (MNEs) employ a version of CSR in their corporate strategy. However, CSR programs are not the only form of social business programs in existence.
Two additional trends in social business programs have been gaining traction in the most recent decade. These programs are: Triple Bottom Line (3BL) management and Social Venture. Managing towards the triple bottom line has become a mantra of organizational sustainability advocates. The 3BL ideology consists of profit, people, and planet, also known as financial, social, and environmental performance (Merriman &...