What are B-Corps also known as?

B-Corps, or Benefit Corporations, are for-profit businesses that are dedicated to meeting social and environmental goals alongside generating profit. This designation allows companies to balance their responsibilities to shareholders with a commitment to positive societal impacts. B-Corps must meet specific standards of social and environmental performance, accountability, and transparency as assessed by a third party. This commitment to social responsibility is central to their business model, distinguishing them from traditional profit-driven enterprises. Rather than solely focusing on financial returns, B-Corps aim to contribute positively to society and the environment, aligning their operations with broader ethical and sustainable practices.

The distinction between this correct answer and the other options lies in their definitions. Non-profit organizations do not operate for profit and focus primarily on social causes, while international organizations focus on regulation rather than business operations. Community-focused cooperatives serve specific local development goals but do not encompass the broader commitment to social and environmental objectives that B-Corps represent. Thus, recognizing B-Corps as for-profit businesses committed to ethical practices and societal benefits is key to understanding their role in promoting sustainability.