March 2016

LA FAGEDA, a business helping the community

La Fageda is a social enterprise founded in 1982 in Olot, Spain. Its core business is the production of dairy products, such as yogurts, ice creams and jams. Nowadays, it is the third yogurt producer in the province of Catalonia, and they not only taking care of the production of the products, but also taking care of the entire supply chain (from raise livestock to the final product). Moreover, La Fageda is reallimgresy attached to the territory and the community where the main offices and warehouse is. For them sustainability, innovation and quality are three aspects that go together and extremely important to make the business succeed. This is why they control and improve every year the impact that the business has in the environment.

However, what makes this company really special is that their social approach. La Fageda is keen on embracing equal opportunities and manner for everyone, avoiding any type of discrimination due to capacities, sex, religion, etc.  To follow their values, approximately, 70% of the work force in this company suffers from some type of intellectual or mental disability. They give labour support to all their employees, as well as homecare and social inclusion.

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What seemed to be a crazy idea if you asked many people some years ago, nowadays it is not only a very well-performing company but also the major successful history of social entrepreneurship in Spain. They offer tours to education centres, companies and families to show their production process and business model.

I believe that this company has an extremely specific business model. It is, not only an important and profitable enterprise, but also it helps to improve the community with their performance. I think that it is also impressive that La Fageda has been able to adapt their way of doing things, being at the same time a really strong competitor in front other brands. This shows that both objectives can be achieved at the same time, and that a profitable company can also be sustainable.

http://www.expansion.com/emprendedores-empleo/emprendedores/2015/06/26/558d8b8fe2704ec4458b458e.html

Ben&Jerry’s business model

Ice cream is a snack or dessert that is loved by millions of people. There is something in this frozen food, made from dairy products and fruits or other flavours, that makes it delicious. However, when you are having your ice cream, you are not usually thinking about all the process and people that are behind its production. Nevertheless, for Ben&Jerry’s this is a core aspect.

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Since 1978, this brand has been selling ice creams. They started with a small shop in Vermont and now they are present in many countries in the world. CEO, Jostein Solheim believes that nowadays the world is living critical challenges and changes, such as climate change or the uncertain global economy.

Even if they are just ice cream makers, they believe that as members of the society they are responsible to take actions to bring positive change. To do this their mission is divided into 3 parts: the product, the economic and the social mission.imgres

First of all, Ben&Jerry’s must ensure that they keep doing what they do best: ice creams. Their products keep to be all natural and of the finest quality. Secondly, they operate with the objective to bring value to their stakeholders and employees. Finally, they want to use their company in innovative ways to make the world a better place.  As you can see in the video below, they support family farms, products like sugar or coffee are fair trade certified and the packaging is environmentally sustainable.

I believe that this vision of being responsible for their actions as members of the planet should be implemented in other companies. Ben&Jerry’s is a leader in this aspect because there are many researches that show how there is an up growing trend of people being aware of the sustainability of the products they are purchasing. As this tendency grow, more companies will see how important is to take responsibility on their actions and to try and improve the world through their performance.

References:

http://www.benjerry.com/about-us/sear-reports/2014-sear-report

http://www.stuff.co.nz/business/industries/77987584/Sustainable-companies-reap-benefits-of-increasingly-conscious-consumers

Whole Foods Solar Roof

We are just facing another example of how the relationship between business and sustainability is possible and, even more, it can be profitable.

This last week it has been announced a partnership between Whole Foods and SolarCity. Solar power systems are going to be installed in the roofs of 100 Whole Foods stores around the United States.

I believe this plan is going to have mutual benefit for both companies. On the one hand, SolarCity, the top commercial and residential solar installer in the United States, is going to expand its business and empower its image. On the other hand, Whole Foods is going to enhance one of its main values: sustainability. This company has always been known for having healthy and natural products.

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Furthermore, this alliance is also making Whole Foods save some money. Since solar providers can offer energy at a lower price in comparison with normal utilities. This represents a great advantage for the grocery store because they can reduce its fixed costs.

I think this partnership is a good marketing strategy for both companies. If we look at the Green Marketing Strategy, they are both in an Extreme Green Positioning because sustainability is their key message and the market knows them due to this aspect.

In terms of public awareness, I believe this is an earned type of media. The partnership has only been released a few days ago and a lot of people are already talking about it. These two companies have not paid for any media and from one day to another many people are talking about them.

I personally believe that this unit is good for both companies. First of all, the agreement has been done by two companies that share many values. This alliance is going to make this easier for both companies when trying to make a decision. In addition, as previously said, it has advantages for both parts.

References:

http://www.nytimes.com/2016/03/09/business/energy-environment/whole-foods-plans-100-rooftop-solar-systems.html?_r=0

http://www.bizjournals.com/austin/blog/techflash/2016/03/whole-foods-signs-solar-roof-deal.html

http://www.solarcity.com/newsroom/press/solarcity-work-whole-foods-market-install-solar-power-systems-across-us