Abstract:
This case study examines the B Corp certification process of Paris-based food products company Danone’s North American business. With $6 billion in sales, in 2018 Danone NA became the largest Certified B Corp in the world by a factor of two. The certification of this massive entity created many strategic and logistical challenges for both Danone and B Lab, the non-profit that certifies B Corps. B Corp certification assesses a company's social and environmental performance, and so the case study provides an opportunity to discuss an on-the-ground example of how some of the largest companies in the world are becoming more accountable to the general public. Furthermore, looking forward, students can analyze how the system that B Lab set up to certify mostly smaller and medium-size organizations can be improved in order enable larger organizations to join the B Corp movement. More generally, a key question is about consumer awareness and support. When will large numbers of consumers start making purchases based on their social and environmental values?
Learning Objective:
To examine how the B Corp movement is expanding to large corporations, and thereby creating a viable alternative form of capitalism. More generally, the case study also examines challenges inherent in large-scale institutional and social change efforts.
