Danone created a giant in the organic and natural foods industry with its recent $10.4 billion acquisition of WhiteWave Foods. The new DanoneWave unit is now one of the nation's top 15 food and beverage companies.
But the acquisition that created DanoneWave also formed the largest "public benefit corporation" seen to date in the U.S., according to Fortune.
By its charter, a public benefit corporation seeks more than just profit and must balance the needs of all stakeholders, not just shareholders. DanoneWave says its mission includes promoting healthy eating, sustainable agriculture, water conservation, waste reduction and animal welfare, in addition to earning profits.
DanonWave CEO Lorna Davis tells Fortune, "In 10 years time, people will say its inconceivable that business was done any other way," says Davis. "The notion that a company can only care about profit will be seen as old-fashioned and irresponsible."
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