Michael Porter proposes to redefine capitalism based on the idea of “shared value”. His idea involves reducing the negative impact of companies in society (the economy’s negative externalities: for example, pollution, considered inevitable until now for manufacturing operations) and increasing their positive impact on it (for example, stimulating qualified employment in a population through long-term training strategies). “The company’s main function should be to meet the needs of citizens, who periodically also become customers if what the company is offering also has value for them.
“This shared value would be the set of “policies and operating practices that enhance the competitiveness of a company while simultaneously advancing the economic and social conditions in the communities in which it operates”. With a mutual commitment that goes beyond its contribution to social progress through the payment of its taxes and job creation. “The impact may be much greater if the company, for example, creates more efficient ideas and products that are also eco-sustainable, thus generating a benefit for citizens/ consumers (in their personal finances), the community (better use of available resources) and the planet as a whole (less pollution).
The idea behind this is that not all benefits are good. Those that are good are good for all the agents involved. And society is always one of the main agents. A company must look to prosper (do well) by having a positive impact on the environment (do good).
From Alfons Cornella book: The solution begins with co-