The Generosity Crisis

CHAPTER 7When Generosity Is Good for Business—and Society

Some industries have better reputations than others for embracing the mission-driven philanthrocapitalism mimicking nonprofits—at least in the eyes of the public. Think of clothing companies like TOMS, a trailblazer in marketing its poverty-ending mission. Another example can be found in internet-based apparel company Bombas. It donates clothing to homeless shelters with every purchase. Bombas proudly states it has given out more than 50 million items, primarily socks and underwear, to 3,500 giving partners in all 50 states. “One Purchased = One Donated” is such a central part of the company's value proposition to customers and it features in every advertisement.

Corporate responsibility is also on the rise in the food industry. Ben & Jerry's has inspired a wave of mission-driven corporate responsibility in this sector. Likewise, Panera Bread’s more than 2,000 restaurants provide unsold baked goods to local nonprofits daily. The program amounts to more than $100 million in donated food yearly. The Panera Bread Foundation also provides grants to nonprofits focused on mentorship, professional development, and workforce skill building. The company has several other programs designed to assist nonprofits and build mission-driven connection with its customers.

Food and textiles are just a few industries with numerous companies embracing mission-driven philanthrocapitalism. What about finance? Banks and stockbrokers are decidedly ...