Sam Farr

When I was in the California legislature in the '80s, the organic growers, who were sort of the small hippie farmers in those days, brought it to my attention that there were no regulations on organic labeling. In essence, anybody could just grow a thing any way they wanted and put 'organic' on it.

Profitability, growth, and safeguards against existential risks are crucial to strengthening a company's long-term prospects. But if these three factors constitute a company's 'hard power,' firms also need 'soft power': public trust and acceptance, won by fulfilling a company's social responsibility.