Towards a Fair and Just Economy

Noble Peace > New Economics > Towards a Fair and Just Economy

It is necessary to create socially responsible companies that are economically sustainable, while avoiding environmental deterioration and promoting social welfare. It is important to differentiate social enterprises from the public sector, the private sector, non-governmental organizations, philanthropy and even traditional corporate social responsibility. Social companies are also governed by the rules of the market, but seek to develop products and services that solve problems of a community. The purpose is that they reinvest part of their profits in the proposed social or environmental objectives. Likewise, there is a global trend towards an increase in impact investment, which consists in placing capital in companies that generate profits and are profitable. The social and environmental impact of a company is a fundamental criterion of the investment decision. In addition to pursuing economic objectives, new businesses solve social problems and encourage positive actions for the environment.

Translated from ‘Empresas sociales: la alternativa hacia un futuro sustentable’ of Forbes Mexico