B Corporations towards a new way of doing business: the effects of the Certification on companies in the Veneto Region

Abstract

In recent years, to address some of the difficulties deriving from traditional capitalism, various business models focused on the shared benefit have emerged. One of these derives from the phenomenon of the B Corporations, born in the United States and then spread to 74 countries around the world that support its philosophy. Enough to welcome today a community of about 4000 different companies united by the common goal of reforming traditional capitalism by reversing shareholders' primacy into stakeholders' primacy. The B Corporations, or B Corps, represent an alternative way of doing business, combining the production of profits with well-being for people and the environment. To demonstrate this commitment, the B Corps voluntarily submit to precise standards and virtuous performances that culminate in the homonymous certification, which is a symbol that attests to the business responsibility to return more of what it extracts to the environment and the stakeholders. The main objective of this research is to investigate and assess whether and to what extent the acquisition of the B Corp Certification has resulted in innovation or change in companies that achieved it. Through empirical research conducted on a sample of Italian businesses, the study will try to understand if the certification can be used as a strategic tool to improve or develop the business and possibly replicate it in other contexts. After proposing a study on the literature that characterizes and describes the phenomenon, the focus shifts to the communities of B Corporations of the various member countries, then culminating on the Italian movement and the 115 companies that are part of it. Italy was the first country in Europe to join the movement as well as the first country outside the United States to pass Benefit Corporation legislation, with the legal recognition of the so-called "Società Benefit". As a result, the case of the Italian B Corps is particularly relevant, both for the history that distinguishes it and its propagation. Following an introduction of the Italian community of B Corporations, the focus narrows to the case of five certified companies located in the Province of Vicenza. This sample was selected as a case study of this research and was subjected to a qualitative interview to assess any changes made by companies following the certification process. From the testimonies gathered, it was possible to outline the profile of a Certified B Corporation and the changes that the certification stimulated on the selected sample, both in terms of innovation and development. In particular, the qualitative survey has allowed an in-depth study of the Italian phenomenon, bringing out significant considerations on the usefulness of this tool as a strategic asset to innovate the business and, above all as a means of corporate sustainability.