The Role of Finance in Promoting Social Change

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The Role of Finance in Promoting Social Change

The work of finance professionals can go a long way toward promoting positive social change. The Principles for Responsible Management Education (PRME) is a leading organization in promoting this direction in business. PRME has six principles, including “Values.” The “Values” principle states, “We will incorporate into our academic activities and curricula the values of global social responsibility as portrayed in international initiatives such as the United Nations Global Compact” (PRME, n.d.). From this principle, many companies are utilizing “impact investing” to harness “the power of the capital markets to provide financial and social returns” (Ahern, 2015). Corporations can accomplish this by connecting sales to social campaign and nonprofit beneficiaries around the world. For example, Warby Parker’s “Buy a Pair, Give a Pair” campaign partners with VisionSpring to provide access to vision care and eyewear around the world (Warby Parker, 2015).

To prepare for this Assignment, review the Principles for Responsible Management Education (PRME) and consider how financial decisions can contribute to promoting positive social change.

In a 2- to 3-page paper, address the following:

  • How do finance and accounting play a role in ethics and sustainable positive social change?
  • How might you use accounting or finance to support this role that you described above?

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