Finance sustainable supply chain: An analysis looking for B corporations and agency theory

Abstract

AbstractCompanies are often seen as villains since their main purpose is to generate shareholder value. A deeper view of organizations, however, reveals that companies have a more comprehensive role than just achieving economic returns. Based on this premise, this study aims to analyze the financing of supply chains of B corporations; we employ the perspective of agency theory in the context of the “new emerging normal.” A multiple case study of companies belonging to the B corporations’ ranking in the Brazilian scenario was prepared. In‐depth interviews were conducted with key informants from the investigated companies. The results show that the cost of obtaining certification is borne by the companies’ own resources, which are motivated by pressure from the environmental demands. The main conclusion of the study is that B Corporations, driven by economic perspectives, tend to assume the role of drivers of supply chain development. The main contribution, therefore, consists of demonstrating, based on the agency theory and the finance supply chain, that the performance of an organization under the bias of sustainability creates a collaborative cycle that induces the development of its entire supply chain.