Why Should You Care about Social Compliance Policy?

TESTCOO

Release time:1 months ago

Why Should You Care About Social Compliance Policy?

Evidence of abusive or illegal treatment within your company or supply chain can damage your company’s brand. Likewise, showing concern for sustainability down the supply chain can raise your corporate reputation and polish your brand.

In the best-case scenario, profits rise as consumers prefer to deal with socially responsible companies. Some brands that have begun with a sustainable outlook have done consistently well. Other legacy companies have assumed a social compliance mentality and even produced sustainable consumer products, which the public buys but which leaves investors less impressed.

Expecting consumer returns for sustainability can be a sticky wicket. Social compliance has the challenge of people putting their money where their mouth is. She cites a study that involved offering two pairs of the same sock to people, one of which was labeled as sustainably made. Most people chose non-sustainable made socks based on cost. In other studies, even those who declared their support for sustainable causes still chose the cheaper, non-sustainable made product.