STEVE DOWN ON CAUSE CAPITALISM
What is Cause Capitalism?
Cause Capitalism is when a for-profit company chooses as its partner, a non-profit, not as a gimmick but as a true sustainable partner. Cause Capitalism is the new world order in doing business. Economies built through cause capitalism will operate on the governing principle of ‘service to all.’
Cause Capitalism is the compassionate form of capitalism the world has been waiting for. It resolves the ideological war between capitalism and socialism by having businesses address all Sustainable Goals through sustainable partnerships.
Cause Capitalism seeks to envision, empower, enable and engage individuals, families, businesses, and Nations towards sustainable development. This is where the non-profit roles come in; to develop initiatives that reach out to marginalized groups, low-income households, the disadvantaged and vulnerable groups.
Differences between Capitalism and Cause Capitalism.
A capitalist economy is profit-driven, profits are made at the expense of quality. Capitalism is driven by profit expectations. But these expectations fluctuate with the changes in technological or social opportunities for more capital accumulation.
This is a great reason why pricing trends and production quality is heterogenous. The worst case scenario is where entities controlling factors of production justify exploitation, environmental pollution or human rights abuse with value addition to raw materials and meeting growing market demand.
A good example is the extraction of cobalt from the Democratic Republic of Congo(DRC) that has been linked to human rights abuses, corruption, environmental destruction and child labour. According to The Guardian, a lawsuit was made against For-profit companies Apple, Google, Dell, Microsoft, and Tesla for aiding and abetting mining companies that profited from the labor of children who were forced to work in dangerous conditions. The children were paid as little as 200/= ($2) a day while companies like Apple have recorded an $81.4 billion in revenue for fiscal Q3.
Cause Capitalism is mission-driven, through a triple bottom approach the economic model ensures social, financial, and environmental sustainability. By converging a mission on people, planet, and Profits; sustainability is pegged on the profitability of every cause capitalist business. Economies built on Cause Capitalism are built on a foundation of human dignity and mutual respect. Leading by example, all Steve Down companies partner with non-profits on community development.
One of Steve Down’s companies; Financially Fit, is in a cause capitalism partnership with The Goat Foundation. It has donated 200 goats to 100 widowed households in rural areas in Kenya, particularly Machakos, Siaya and Makueni counties. Widows consist of about of 35.5 % of Kenya’s population living below the poverty line.
By giving beneficiaries a Billy and a nanny, Cause Capitalism ensures they have a sustainable income source to meet their financial needs. A real world problem such as poverty needs a sustainable solution. These widows being able to earn sustainable income from their giveback also helps them integrate in community not just as providers but as contributors of the economic growth.
While a majority of people agree that capitalism rewards effort while socialism ripsit off. Cause Capitalism combines the principles from both economic systems; gaining profit from adding value and distribution of opportunities to uphold human dignity. The main governing principle is that we are all members of the same human family-brothers and sisters of equal value and should treat each other as such.