Are Moral Firms Committed Firms?

Abstract

Abstract Corporate purpose is everywhere, but will it stay? Is it a business revolution or a passing fad, destined to go the way of so many business concepts? Reliance on the good judgment and goodwill of corporate leaders is a justifiable cause for concern, and resort is often sought instead in the apparently safe harbor of public regulation. But reliance should not be placed on governments and regulators alone to constrain the corporate giants in the face of a system that motivates abusive behavior. Instead, attention should be devoted to alignment of the intrinsic interests of corporations with those of society more generally.