Patagonia’s Corporate Social Responsibility
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Patagonia’s Corporate Social Responsibility
Patagonia is a privately held outdoor clothing firm with its headquarters in Ventura, California. The firm has integrated various core values and beliefs into the production of the goods it offers and is renowned for its exceptional quality, innovative designs as well as environmental ingenuity. The firm is determined to be the leading socially and environmentally responsible supply chain in the world. In order to attain this feat, Patagonia has put in place a comprehensive corporate social responsibility (CSR) framework. Corporate social responsibility refers to an approach taken by firms in balancing responsibilities towards various stakeholders when making ethical, economic, social and legal decisions (Drews, 2010). Patagonia strongly believes in giving back, sustainability, and caring for earth and this is clear in its conviction which customers see. There is a controversy that arises from the issue of CSR with some people claiming that it has much …show more content…
The CSR initiatives started by the firm need a lot of funding and some actually involve giving money to firms that champion environmental conservation. All these costs are eventually paid by the sales from the company. It can be said that the costs of the products of the company are high so as to be able to support the CSR activities. If there was no need for these activities, the company would have been making more profits. The company would even have lowered the costs of their products to boost sales and still made more profits. These large costs needed to fund CSR activities are transferred to investors, employees, and customers. Investors get lower dividends, employees get lower wages and customers have to pay more for the products of the
Student’s Name
Institutional Affiliation
Patagonia’s Corporate Social Responsibility
Patagonia is a privately held outdoor clothing firm with its headquarters in Ventura, California. The firm has integrated various core values and beliefs into the production of the goods it offers and is renowned for its exceptional quality, innovative designs as well as environmental ingenuity. The firm is determined to be the leading socially and environmentally responsible supply chain in the world. In order to attain this feat, Patagonia has put in place a comprehensive corporate social responsibility (CSR) framework. Corporate social responsibility refers to an approach taken by firms in balancing responsibilities towards various stakeholders when making ethical, economic, social and legal decisions (Drews, 2010). Patagonia strongly believes in giving back, sustainability, and caring for earth and this is clear in its conviction which customers see. There is a controversy that arises from the issue of CSR with some people claiming that it has much …show more content…
The CSR initiatives started by the firm need a lot of funding and some actually involve giving money to firms that champion environmental conservation. All these costs are eventually paid by the sales from the company. It can be said that the costs of the products of the company are high so as to be able to support the CSR activities. If there was no need for these activities, the company would have been making more profits. The company would even have lowered the costs of their products to boost sales and still made more profits. These large costs needed to fund CSR activities are transferred to investors, employees, and customers. Investors get lower dividends, employees get lower wages and customers have to pay more for the products of the