Drucker reminds us that while profits are essential for survival, they shouldn’t be a company’s sole purpose. So, what should a company’s purpose be?
Hubert Joly, former CEO of Best Buy, defined purpose as a company’s ultimate goal, reason why it exists, and contribution to the common good.
During his tenure, Joly contemplated the essence of corporate purpose, ultimately guiding Best Buy to adopt the purpose of “enriching customers' lives through technology”. This transformation shifted Best Buy from a traditional electronics retailer to one addressing human needs in entertainment, productivity, health, and wellness. This purpose-driven approach expanded the company’s offerings like AI-powered in-home sensors that help elderly customers live safely at home, monitored by service team that can intervene if unusual signals are detected. By aligning with a higher purpose, Best Buy unlocked new markets and amplified its impact.
Similarly, our portfolio company, Involve Asia, is committed to leveling the marketing playing field by connecting micro content creators and affiliates with top brands, enabling them to prove their performance credentials and earn advertising budgets traditionally reserved for large digital media owners. Today, over 800,000 affiliate partners use the Involve Asia platform to form partnerships with hundreds of brands across e-commerce, travel, and finance, driving over $3.3 billion in transactions. In September 2024, Involve Asia became the first affiliate marketing platform in Asia to achieve B Corp Certification.
Purpose is more than just a slogan; it’s a powerful driver of sustainable profit. A well-defined purpose provides numerous benefits that fuel long-term success:
Clarity of Direction: Purpose serves as a North Star for strategic decisions, keeping management aligned and ensuring resources support long-term goals. Companies sidetracked by short-term profits risk diluting focus, which can lead to brand confusion and weaken customer loyalty.
Talent Attraction and Engagement: Purpose-driven companies attract and retain talent more effectively. According to a McKinsey survey, 70% of employees report that their sense of purpose is shaped by their work. A clear corporate purpose instills meaning, increases engagement, and builds a loyal, motivated workforce.
At Bintang, our purpose extends beyond profit. We are on a mission to “Invest in a Better World”. We believe that business can create meaningful social and environmental impact alongside financial returns. We are committed to supporting companies with a clear purpose that contributes to a positive future. If this resonates with you, we’d love to connect and explore potential collaborations!