creating shared value
what is it?
Creating shared value (CSV) is a broad economic theory that suggests that businesses can create economic value by creating societal value. In other words, by actively improving society, businesses increase their own competitiveness. In this way of thinking, by acting as as a force for good, businesses improve their performance.
Unlike CSR, which emphasizes doing good through philanthropy or volunteering, CSV is an integral part of business strategy and profit maximization.
It is perhaps unnecessary to make a business case for CSV, since the entire premise is that the most successful businesses are the ones that actively improve the environment, public health, infrastructure in their communities, and more.
Think about it: A coffee company that supports coffee farmers strengthens local economies and ecologies, and improves its product. A software company that offers coding courses educates its community and grows its potential employee pool.
Listen to the creator of the concept himself explain the importance of CSV: