Joey, thanks for this thought-provoking piece on addressing talent bottlenecks with on-ramps, especially through programs like Founding to Give. You rightly highlight that funding is be a limiting factor for scaling impactful initiatives. While Ambitious Impact’s program addresses this by encouraging individuals to commit a portion of their earnings to philanthropy, I believe there is still significant untapped potential.
Profit for Good (PFG) businesses—companies that direct their profits to charitable causes—offer a way to overcome this funding bottleneck. PFGs can effectively compete in for-profit markets by capitalizing on a subtle yet powerful advantage: the preference of economic actors (such as consumers, employees, and business collaborators) for supporting charitable outcomes over simply enriching random shareholders. When people are given a choice between two equivalent options, they often favor the one that directs profits toward causes they care about—like saving kids from malaria—rather than increasing the wealth of investors. Even a modest preference for such socially beneficial outcomes can lead to advantages in consumer loyalty, attracting top talent, and forming strategic partnerships.
By not fully exploring how to harness this as a tool and explore the contexts where it could offer the most significant advantages, I think there’s money being left on the table. PFGs could strategically use this natural inclination to gain competitive advantages without compromising business performance. I’m curious if Ambitious Impact has considered integrating this perspective into their programs, as it could align well with the goal of channeling more resources toward effective causes.
Joey, thanks for this thought-provoking piece on addressing talent bottlenecks with on-ramps, especially through programs like Founding to Give. You rightly highlight that funding is be a limiting factor for scaling impactful initiatives. While Ambitious Impact’s program addresses this by encouraging individuals to commit a portion of their earnings to philanthropy, I believe there is still significant untapped potential.
Profit for Good (PFG) businesses—companies that direct their profits to charitable causes—offer a way to overcome this funding bottleneck. PFGs can effectively compete in for-profit markets by capitalizing on a subtle yet powerful advantage: the preference of economic actors (such as consumers, employees, and business collaborators) for supporting charitable outcomes over simply enriching random shareholders. When people are given a choice between two equivalent options, they often favor the one that directs profits toward causes they care about—like saving kids from malaria—rather than increasing the wealth of investors. Even a modest preference for such socially beneficial outcomes can lead to advantages in consumer loyalty, attracting top talent, and forming strategic partnerships.
By not fully exploring how to harness this as a tool and explore the contexts where it could offer the most significant advantages, I think there’s money being left on the table. PFGs could strategically use this natural inclination to gain competitive advantages without compromising business performance. I’m curious if Ambitious Impact has considered integrating this perspective into their programs, as it could align well with the goal of channeling more resources toward effective causes.