Ethical Business Strategies

A few weeks ago, none other than Jon Stewart took the opportunity to skewer performative corporate morality. Not an unusual topic for him, but in the wake of Pride Month, several major American companies’ clumsy attempts to engage with the social climate were ripe for his commentary. 

The rant was both funny and biting, and Stewart pulled no punches in concluding: “Let’s stop pretending that a corporation can even be woke or un-woke or patriotic or un-patriotic. Let’s just let corporations live their truth as the profit-seeking Patrick Bateman psychopaths they are. At the very least, we might finally get some honesty from them as well.” Ouch! 

Hard as that may be to hear, it’s harder to deny the pandering in the kinds of advertisements Stewart shared (here’s one, for reference). Yet I’d like to challenge the Daily Show legend’s take. Despite virtue signaling trends, ethics and business still can—and should—go hand-in-hand.

You might be wondering how that’s possible. After all, we are all still running businesses, and their profitability is a priority. In my experience, going the ethical route has immense value—for your bottom line, your brand, and your business’s long-term health. Here’s why. 

The Relevance of Social Responsibility 

Leading a creative agency informs my perspective on ethical business practices, and has made it clear that, because creatives craft the images and messages that influence culture, we have a responsibility to promote ethical options when we do. 

Consider a recent Vogue treatise on fast fashion that found, while fast fashion still boasts popularity, it’s not what younger shoppers want. Nor does it align with new environmental regulations. These policy and societal changes have led many clothing companies to offer alternatives to fast fashion, and even sustainability-driven measures such as repairing or reselling worn or unwanted clothing items. 

Why is this important? Because when businesses change, people change. Think about retailers that no longer offer plastic bags, or bags full stop. You’ve likely changed your shopping habits in response. Imagine how patterns like this could transform other industries. If business owners remember a brand reflects their values, people will constantly respond to those messages. It’s possible to use that influence to encourage positive change. 

Ethical Practices Pay Off 

If we’re operating from the idea that ethical practices and branding matter, it should follow that your business will see tangible benefits as a result. So where do you see the difference—assuming you can see it at all?

Ethical business strategies - by Isadora Agency
Companies committed to strong business ethics outperformed competitors, proving that honesty and transparency yield significant financial rewards.

The difference is absolutely visible and begins with your brand’s relationship with its audiences. People already want options aligned with their values. Demonstrating that your business offers those options sets them up for satisfying, positive encounters with your brand. The key is providing an on-ramp that communicates not just that your brand is in line with people’s values, but also that it is value-driven for reasons relevant to them. 

Our agency has a few standout examples of this. For one client in particular, the National Center for Construction Education and Research (NCCER), applying ethical design and branding to their visual identity and website involved focusing on inclusivity. Ensuring representation for women in the construction industry was important to their team, as was challenging stereotypes about the industry as a whole. Though construction touches everyone’s life at some point, it is not well-known how advanced and cutting-edge it can be. Our team was serious about conveying these realities of construction in an authentic but compelling way.

This partnership was not about creating an inclusive experience for inclusivity’s sake. Nor was it so we could claim to be the most ethical agency out there. It was about giving our clients’ audiences an experience that would build their confidence and trust in NCCER. By focusing on inclusivity and authenticity, NCCER expanded its reach and opened new opportunities for business growth, increased sales, and long-term sustainability. The resulting engagement showed we successfully met them where they were, all by helping NCCER show up more authentically.

Why Honesty is the Best Policy  

It’s said honesty is the best policy, and when it comes to your brand, it’s true—especially when you loop transparency into the equation. Consider this data from Marquette University’s School of Business:

“People often believe that unethical companies make the most money, but doing the right thing can lead to big financial rewards. Typically, companies that make a commitment to good business ethics earn more money than their less scrupulous competitors. For example, businesses that were designated by the corporate ethics assessment company Ethisphere as the World’s Most Ethical Companies in 2022 outperformed comparable companies by 24.6% between 2017 and 2022.”

Knowing that may make you want to do the right thing for the reward. But instead, consider it a perk, remembering as you strategize that when you make ethical decisions, the payoff will certainly come. People develop trust and loyalty for companies that back their words with actions.

Ethical business strategies - by Isadora Agency
Patagonia’s commitment to environmental advocacy and outdoor values has become a powerful draw for like-minded consumers who seek to support companies making a real difference.

An oft-cited example is Patagonia, which puts this approach at the heart of everything they do. The brand has come to represent environmental advocacy and a love for the outdoors, and as our agency has explored before, that’s a massive draw. People with those same values want to buy from a company truly making a difference. 

Brands like this actually hearken back to Stewart’s bit. They demonstrate how people can tell when a brand is being authentic. Choosing to be values-driven in a way that leads with authenticity has a real, long-term impact. Now more than ever, ethical businesses are poised to benefit from that impact through people’s trust and support. 

Doesn’t that sound better than letting performative ethics get all the airtime? So why not try making ethical practices the rule, not the exception, for your business? You can be sure the results will reinforce that there is, in fact, value in having values. 

Related Articles

Business-Savvy Creative Agency

From Play to Innovation: The Agency’s Art Club