Green for Profit or Green for the Environment?

The socially responsible company I chose is Patagonia. Although the company has complications regarding its size and supply chain complications, its ethical and social responsibility can still be used as an effective example. Patagonia was the first Benefit Corporation in California when legislation was passed to allow this (Ames, 2023). “A benefit corporation is a corporate form designed for for-profit entities that want to consider society and the environment in addition to profit in their decision-making process.” (Benefit…2023).

Patagonia’s founder gains a commitment from each member company to donate 1% of revenue to environmental nonprofit organizations. Patagonia was also one of the first companies of its kind to offer paid leave and on-site child care for staff. It also offers flexibility with work schedules and is co-founder of the Regenerative Organic Alliance, an organization that is accountable for certifying farms for their regenerative organic agriculture practices (Ames, 2023).

Patagonia’s complications in the industry were mainly due to difficulty in keeping up with its complex globalized supply chain. It has been linked to its supply chain connections with forced Chinese labor. The company pulled back, but shareholders wonder if the company should have started production there to begin with (Ames, 2023).

I feel that Patagonia is “green” for the environment and for profit. Its donations are extremely generous and go to a good cause that’s helpful to the environment. It also takes excellent care of its employees, which is a great way to boost morale and maintain a happy, motivated staff. I would confidently say that Patagonia is a true benefit corporation (Ames, 2023).

Ames, C. (2023, September 7). The 10 most socially responsible companies (2023). Grow Ensemble. https://growensemble.com/socially-responsible-companies/ 

Benefit corporation. corporations.utah.gov. (2023, October 11). https://corporations.utah.gov/business-entities/benefit-corporation/