Having recently introduced to the concept of Creating Shared Value, I was interested in investigating its application in the real world. I came across an article about Nestle creating the shared value. Nestle realized that investing in improving the community ensures sustainability and continuity of future profitability for themselves and also general increased in standard of living of the society.

Nestle and other 13 large corporations formed SAI Platform which deals with agricultural educational programs. This is what makes CSV effective; companies creating synergy to pool their resources into making a better community and share the benefits.

CSR niche market approaches such as fair trade and organics lack continuity in the future because only certain demographic group in the society benefits, as it seems to me that they are only short-term hypes. I realized that CSV is more of a quality assurance system, improving operations over time to be more efficient and sustainable. Although CSV is more of a long-term investment and more expensive, I believe that it’s a much better approach For CSV to be effective however, all stakeholders must believe on what they are doing while not having a ‘sustainable officer’ to implement regulations. CSV also acts as a motivation for stakeholders to work to full potential and implement sustainability in their works if they believe in the shared value and have ambitions to achieve it.