In the last several years, corporate philanthropy has massively increased. Companies are becoming more conscious of what they contribute to the world and local communities and are beginning to look beyond simply making a profit. While many businesses have always helped out philanthropies and other organizations, these activities are in the public eye much more and it’s usually expected that a large corporation gives back in some way. Corporate philanthropy has significantly increased, but it’s not always clear why it has. A few different factors could be responsible for this trend, which leads to great benefits for various causes around the world.
Consumer interest
Since a company’s main goal is staying in business, a lot of attention is paid to what the consumer wants and what other companies do that are viewed in a positive light. Lately, people are becoming more concerned with whether or not a company has ethical practices and if they make an effort to use their profit to better the world. If a company does something unethical or refuses to participate in philanthropy, a large amount of consumers will stop giving that company their business. While corporate philanthropy isn’t solely a way to keep business, it certainly helps companies retain or attract consumers who also care about philanthropy.
Social awareness
People in general are more concerned about philanthropy and social awareness, not just consumers. The owners, managers, and employees of companies also care about the state of the world around them, so they start initiatives at their jobs to encourage the business and their co-workers to participate in philanthropy. Working in a large company provides endless opportunities to help out a cause that would be difficult for a single person to do on his own. Companies are often motivated by a personal conviction to participate in philanthropy more than what their consumers want them to do. Corporate philanthropy provides a wealth of new ways for people to get involved in charity and makes it easier to find time to volunteer or contribute in some other way.
Easier connections
Though some companies did participate in corporate philanthropy in the past, it wasn’t as obvious or publicized. With the rise of technology, videos, pictures, and messages can be shared in a few seconds, featuring the great work a business is doing to help a specific cause. A local business may have always been incredibly helpful to the community around it, but before the advent of technology, not many people outside of that immediate neighborhood would know about the company’s actions.
In the same way, more corporations may be getting involved in philanthropy because it’s easier to learn how they can help out and then do so. A company can make significant efforts with a cause that’s located on the other side of the world, which would have been impossible several decades ago. Money can be donated or people can even be sent to help out in that specific area that the company is focusing on. One such example is the Bill & Melinda Gates Foundation, which searches for cures to many common diseases that affect people in other countries, even though the Gateses live in the United States.