I’m confused. An immense amount of media coverage has been dedicated this past year to philanthropic organizations associated with high-power people and companies doing charitable work in a different way. Bill Clinton has argued that pharmaceutical companies can even make a fair margin off of cheap drugs to developing countries in Africa.
Does corporate social responsibility lead to greater profitability for a company’s shareholders? An article in The Harvard Business Review debunks the idea and determines that there is “a very small correlation between corporate behavior and good financial results.”
And now Larry Brilliant of the internet juggernaut’s philanthropic arm, Google.org, has announced its targeted strategy — focusing on climate change, economic development, and early-warning systems for major disasters. Sergey Brin and Larry Page will be committing “1% of Google’s equity and profits in some form, as well as employee time.” Do Google’s founders and shareholders expect to profit from their well-intentioned philanthropy, or is it a matter of morality in the face of so much success?