MIT Sloan Management Review Article on Do You Have a Corporate Philanthropy Strategy?

Corporate philanthropy spending reached new heights in 2021, exceeding $21 billion in the U.S. alone and marking a 24% increase over the previous year. These contributions, which traditionally focused on supporting galleries, museums, and shiny new buildings, have gained a higher profile in corporate decision-making. While management scholars have long pointed out the importance of corporate philanthropy, businesses’ approaches to it vary widely, and few have fully integrated it into their corporate strategy. This article examines the shifting landscape of corporate giving and the potential implications for businesses and their stakeholders.

As companies face growing pressures to incorporate purposeful social missions into their core businesses, leaders have gained experience managing initiatives aimed at social impact in addition to profit. While corporate social responsibility (CSR) is part of most companies’ business strategies, philanthropy often remains disconnected from core business objectives. This makes it challenging for leaders to discern what types of philanthropic engagement should be prioritized and why.

About the Author

Ane Casajús-Burutaran is a research assistant and doctoral candidate at the University of Geneva. Tina C. Ambos is a full professor of international management at the University of Geneva. Gilbert Probst is an honorary professor at the University of Geneva and chairman of the Swiss Board Institute.

Learn more about MIT SMR.