Public policies & NGOs

The principles of Shared Value apply equally to governmental and non-profit organizations. Governments and NGOs will increase their effectiveness if they think in value terms and focus on achieving results rather focusing on the funds and the efforts.

Public regulation should change in order to encourage companies to pursue Shared Value. Wrong regulation works against, making trade-offs between economic and social goals. Regulation is necessary for well- functioning markets, something that became abundantly clear during the recent Global Financial Crisis. However, the ways in which rules and regulations are designed and implemented determine whether they benefit society or work against it. Regulations that enhance shared value set goals and stimulate innovation. They highlight a societal objective and create a playing field to encourage companies Shared Value investing rather than maximize short-term profit.