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Certified corporate social responsibility? The current state of certified and decertified B Corps

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  • Yeuseung Kim

Abstract

In the age of accountability, companies are asked to communicate the social impact of their operations. Assessed by a nonprofit organization, B Lab, the B Impact Assessment (BIA) score is a rapidly growing third‐party evaluation for for‐profit companies. Using the publicly available 4061 company data provided by B Lab that spans across from 2007 to early 2020, this study provides the current state of the certified and decertified B Corps. The results show that the majority of the companies revisited the BIA every 2 years to recertify. Companies were likely to recertify especially after the third recertification, suggesting that earning the B Corp status can become routinized. The current study shows that the average attrition rate over the entire history of B Corps is 23.7% and the majority of the decertified operate with less than 10 employees. The currently certified companies had a higher overall BIA score than the decertified companies. However, other differences were not apparent.

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  • Yeuseung Kim, 2021. "Certified corporate social responsibility? The current state of certified and decertified B Corps," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 28(6), pages 1760-1768, November.
  • Handle: RePEc:wly:corsem:v:28:y:2021:i:6:p:1760-1768
    DOI: 10.1002/csr.2147
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    1. Patrizia Gazzola & Stefano Amelio & Daniele Grechi & Chiara Alleruzzo, 2022. "Culture and sustainable development: The role of merger and acquisition in Italian B Corps," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 29(5), pages 1546-1559, September.
    2. Luis Fonseca & Vitor Silva & José Carlos Sá & Vanda Lima & Gilberto Santos & Rui Silva, 2022. "B Corp versus ISO 9001 and 14001 certifications: Aligned, or alternative paths, towards sustainable development?," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 29(3), pages 496-508, May.

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