Etsy Joins Patagonia in Becoming a B Corporation
By Ina Steiner
Etsy CEO Chad Dickerson announced on Wednesday the company has been certified a B Corporation, joining companies like Patagonia. B Corporations (for "benefit corporation") are a new kind of company that uses the power of business to solve social and environmental problems, Dickerson explained. "It's like a LEED certification or Fair Trade certification, but for a business, not just a building or a bag of coffee.")
B Lab is a non-profit organization that provides an independent third-party framework for assessing how a business is doing when it comes to employee, community, and environmental interests. Etsy said in states where legislation has passed, B Corps are legally required to consider the impact of their decisions on their employees, suppliers, community, consumers, and environment as well as shareholder value.
The CEO said a group of people at Etsy led by Matt Stinchcomb and Randy J. Hunt defined core values for the company:
- We are a mindful, transparent, and humane business.
- We plan and build for the long term.
- We value craftsmanship in all we make.
- We believe fun should be part of everything we do.
- We keep it real, always.
Dickerson wrote, "Like most businesses, we are imperfect, but we are publicly committing ourselves to upholding our values and grading ourselves for the long term. This is how we hope to make a better world and inspire other companies to do the same."
He also disclosed on Wednesday the company had raised another $40 million in funding to take the company to the next stage of its development.
About the author:
Ina Steiner is co-founder and Editor of EcommerceBytes and has been reporting on ecommerce since 1999. She's a widely cited authority on marketplace selling and is author of "Turn eBay Data Into Dollars" (McGraw-Hill 2006). Her blog was featured in the book, "Blogging Heroes" (Wiley 2008). Follow her on Twitter at @ecommercebytes and send news tips to email@example.com.
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