Shared Value
Simplistically, shared value is the notion that what is good for business and what is good for society should not be mutually exclusive, and that businesses that address societal needs create a long-term advantage. The central premise behind creating shared value is that the competitiveness of a company and the health of the communities around it are mutually dependent. For example, it is in the interest of chocolate companies to ensure that the future of cocoa production is sustainable (otherwise they will put themselves out of business by reducing the ability to produce cocoa), which also serves social needs for protecting our environment and people at the source. There is no business to be done on a dead planet or when people don’t have basic means, so it’s worthwhile for companies to share business value with society.
