Table Of ContentPRAISE FOR
CONSCIOUS CAPITALISM
“Full of thoughtful insights. I strongly suspect this will be one of the outstanding
business books of the year.”
—Financial Times
“Buy it. Read it. Implement it. It’s a true guide to future.”
—Forbes.com
“… a persuasive paean to free enterprise. Light on ideology and long on
thoughtful analysis—a good book to hand to the budding entrepreneur in the
family.”
—Kirkus Reviews
“A timely explanation of what is wrong with capitalism and how it can be made
right. Recommended for business owners, employees, customers, and investors.”
—Library Journal
“As an HR professional [this book] has helped me realize I need to focus on the
business mission and company values to reconcile my professional goals and
personal values.”
—HR Magazine
“In stark contrast to today’s often pessimistic view of capitalism, Mackey and
Sisodia … show that companies are perfectly capable of creating more value for
all of their stakeholders, from customers, employees, suppliers, and investors to
society as whole and the environment.”
—Business Digest (France)
“Conscious Capitalism is in keeping with the ancient wisdom of India as it
views leadership as trusteeship: focusing on the right actions and not being
unduly attached to outcome.”
—The Economic Times
“The book is an exceptional guide to best practices in organizational leadership.
It is refreshing, high on ideals, and has a fair dose of prescription for creating
and operating enterprises with a conscience.”
—Shiv Nadar (Founder Chairman HCL Group) in Business World “Conscious
Capitalism builds the case for free market enterprise, driven by a purpose other
than profit.”
—Mint
“I would place Conscious Capitalism at the top of my list of good reading—by
far. It’s not just the writing; the intent of the book is very good.”
—Gilda Chan, Senior Merchandising Planner at Vera Bradley “Capitalism, done
consciously, is the most powerful system for uplifting humankind to
unimaginable levels of prosperity, peace, and happiness. This book identifies the
forces of light and makes an impassioned plea for them. I can’t imagine better
advocates than John and Raj.”
—Fred Kofman, author, Conscious Business “In this wonderful antidote to the
plethora of recent books on capitalism in crisis, Mackey and Sisodia set out a
compelling and inspiring vision of a new form of values-based and purpose-
driven capitalism. Essential reading for those who need persuading that the old
ways of doing business will simply not suffice.”
—Paul Polman, CEO, Unilever
“I have long believed that companies have a responsibility to balance
profitability with a social conscience, yet few leaders have an inherent
understanding of just how to do it. In Conscious Capitalism, John Mackey and
Raj Sisodia provide a timely, realistic framework so companies can better serve
a variety of stakeholders. I highly recommend listening to what they have to
say.”
—Howard Schultz, chairman, president, and CEO, Starbucks “Conscious
Capitalism is a welcome explication and endorsement of the virtues of free-
enterprise capitalism—properly comprehended, there is no more beneficial
economic system—and a simultaneously pragmatic and inspirational extolment
of higher purpose and humanism in business. I hail and revere the tenets of
Conscious Capitalism!”
—Herb Kelleher, former Chairman and CEO, Southwest Airlines “This book
provides the script for a much-needed different narrative for free-enterprise
capitalism. Businesses need to be driven by a purpose higher than maximizing
profit, and they must ensure optimal benefits to all stakeholders. Only if that
happens can capitalism deliver to all humanity the full societal benefits it is
capable of.”
—Ratan N. Tata, Chairman, Tata Sons
“By so clearly and thoughtfully articulating the tenets of Conscious Capitalism,
Raj and John have helped me understand the power behind the sustainable
success in our business, raising my consciousness in guiding REI forward to
serve a new generation of outdoor enthusiasts and environmental stewards.”
—Sally Jewell, CEO, REI
“John Mackey’s journey to awakening is an inspiration not just to entrepreneurs,
but to anyone who believes in a new definition of success … ”
—Biz Stone, Cofounder and Creative Director, Twitter “This is the book I
always wanted to write.”
—from the Foreword by Bill George, bestselling author of True North
LIBERATING THE HEROIC SPIRIT OF BUSINESS
CONSCIOUS CAPITALISM
John Mackey
Raj Sisodia Harvard Business Review Press Boston,
Massachusetts
Copyright 2014 Harvard Business School Publishing Corporation All rights reserved
Printed in the United States of America
10 9 8 7 6 5 4 3 2 1
Conscious Capitalism is a registered trademark of Conscious Capitalism, Inc., a nonprofit organization.
No part of this publication may be reproduced, stored in or introduced into a retrieval system, or
transmitted, in any form, or by any means (electronic, mechanical, photocopying, recording, or otherwise),
without the prior permission of the publisher. Requests for permission should be directed to
[email protected], or mailed to Permissions, Harvard Business School Publishing, 60 Harvard
Way, Boston, Massachusetts 02163.
Paperback ISBN: 978-1-62527-175-4
Library of Congress Cataloging-in-Publication Data Mackey, John, 1954-
Conscious capitalism : liberating the heroic spirit of business / John Mackey & Raj Sisodia.
p. cm.
Includes bibliographical references.
ISBN 978-1-4221-4420-6 (alk. paper) 1. Social responsibility of business. 2. Business ethics. 3. Capitalism
—Moral and ethical aspects. 4. Corporations—Moral and ethical aspects. 5. Social values. I. Sisodia,
Rajendra. II. Title.
HD60.M28 2013
174’.4—dc23
2012025305
To my father Bill Mackey and to my wife Deborah Morin—the two people who
have taught me the most in life.
John Mackey
To my children Alok, Priya, and Maya, and my nephews Shiva and Krishna:
don’t fear the future, but welcome it with love, joy, courage, and optimism.
Raj Sisodia
CONTENTS
Foreword: Getting Capitalism Back on Track, by Bill George
Preface to the Paperback
Introduction: Awakenings
1 Capitalism: Marvelous, Misunderstood, Maligned
2 Conscious Capitalism and the Heroic Spirit of Business
PART ONE
The First Tenet: Higher Purpose
3 Purpose: The Corporation’s Search for Meaning
4 Discovering and Growing Purpose
PART TWO
The Second Tenet: Stakeholder Integration
5 Loyal, Trusting Customers
6 Passionate, Inspired Team Members
7 Patient, Purposeful Investors
8 Collaborative, Innovative Suppliers
9 Flourishing, Welcoming Communities
10 A Healthy, Vibrant Environment
11 The Outer Circle of Stakeholders
12 The Interdependence of Stakeholders
PART THREE
The Third Tenet: Conscious Leadership
13 The Qualities of Conscious Leaders
14 Becoming a Conscious Leader
PART FOUR
The Fourth Tenet: Conscious Culture and Management
15 Conscious Cultures
16 Conscious Management
17 Becoming a Conscious Business
18 The Power and Beauty of Conscious Capitalism
The Conscious Capitalism Credo
Appendix A: The Business Case for Conscious Capitalism
Appendix B: Conscious Capitalism and Related Ideas
Appendix C: Misconceptions About Conscious Capitalism
Notes
Acknowledgments
About the Authors
