What you need to know
- Apple has signed its intent to honor the Purpose of a Corporation statement by the Business Roundtable.
- The purpose of it is to give corporations a mission the strive for.
- Amazon, American Airlines, Walmart and IBM also signed on.
Apple has always taken pride in the way it runs its business, be it its customer service, focus on its environmental impact, or just doing the right thing by customers. It's now doubling down on this stance.
Apple CEO Tim Cook, along with 181 other CEOs, signed on to commit to "lead their companies for the benefit of all stakeholders - customers, employees, suppliers, communities and shareholders."
The commitment is part of Business Rountable's Statement on the Purpose of a Corporation, which outlines exactly what corporations should strive to be. Here's the first paragraph of the statement:
Americans deserve an economy that allows each person to succeed through hard work and creativity and to lead a life of meaning and dignity. We believe the free-market system is the best means of generating good jobs, a strong and sustainable economy, innovation, a healthy environment and economic opportunity for all.
Along with the statement, it also outlined some points which every corporation should ensure it hits. Among them are:
Delivering value to our customers. We will further the tradition of American companies leading the way in meeting or exceeding customer expectations.
Investing in our employees. This starts with compensating them fairly and providing important benefits. It also includes supporting them through training and education that help develop new skills for a rapidly changing world. We foster diversity and inclusion, dignity and respect.
Dealing fairly and ethically with our suppliers. We are dedicated to serving as good partners to the other companies, large and small, that help us meet our missions.
Supporting the communities in which we work. We respect the people in our communities and protect the environment by embracing sustainable practices across our businesses.
Generating long-term value for shareholders, who provide the capital that allows companies to invest, grow and innovate. We are committed to transparency and effective engagement with shareholders.
Some of the other companies the signed the Purpose of a Corporation were Amazon, American Airlines, Walmart and IBM.