Author: Harley Whitworth Barrett
According to the Department Of Social Services – Australia, developing a social impact business entails government departments, service providers, investors, philanthropists, and others collaborating to provide innovative solutions to entrenched social problems.
“In an ideal world, providing value would have a lasting and empowering impact on others. You’ll revitalise them to action or a higher level of understanding, even if you’re a content creator, a coach, or an analyst. Delivering a positive social impact appeals to our innate desire to affect genuine development in people and communities,” says Olivia Jones, a professional business writer at Author Flair.
Here are five reasons why building a social impact business is essential for your company and the community.
Increase Trust And Boost Sales
Positive social impacts generated through commercial activity, social investment programs, and business relationships can boost sales and firm value. Conversely, incidents involving a lack of social responsibility, such as corporate scandals and data security lapses, erode trust and threaten revenue.
Improve Worker’s Productivity
Sound social responsibility practices help an organisation improve its workforce, increasing employee loyalty and productivity. In turn, improved worker engagement boosts job performance, reduces absenteeism, and can eventually cut down on acts of corruption within the company.
Devoting to social responsibility and being consistent in “walking the walk” is vital for retaining current employees and attracting new ones. According to studies and rankings, job seekers perceive companies that practice social responsibility as more trustworthy.
Draw In New Customers
Creating products and solutions that benefit social well-being allows your company to reach a growing market segment willing to pay for a positive impact.
While trust in businesses continues to erode worldwide, consumer demand for socially responsible offerings is increasing. In fact, according to recent research, more people in emerging economies are willing to pay a premium for products and services that positively impact society.
Prevent Social Conflict
Creating or contributing to positive social impacts on workers and communities can lead to time-saving and cost-effective resolutions. Preventing such conflicts through social and environmental responsibilities can save your company money and promote positive societal impacts.
Attract investors with a common social purpose
A solid business case that combines profit with social impact can open new doors for investors. While some take an all-encompassing approach to funding solutions to social and environmental issues, many traditional investors consider the social effects in addition to financial returns.
Get Involved With Positive Social Impact Initiatives With Startup Apprentice
Businesses should view purpose and profit as mutually supportive concepts. Doing good for society makes good economic sense. In addition to being profitable, socially responsible companies also enjoy higher market shares, greater customer loyalty, and more robust brand recognition.
For the past ten years, Startup Apprentice has taught youth entrepreneurship. We create programs, workshops, and presentations to assist high school and tertiary students develop skills such as creativity, adaptability, resilience, leadership, emotional intelligence, technical aptitude, and curiosity to cope with and thrive in the entrepreneurial post-industrial world.
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