Organizational commitments to bettering society, such as sustainability and DEI, continue to grow. Signaling this importance, certifications like B Corp status recognize organizations for outstanding prosocial practices, but obtaining it is rigorous and time-consuming. Yet even after achieving this “gold standard,” some organizations voluntarily escalate their commitments even further. Researchers (Sharma et al., 2025) examine what drives this additional escalation and how it ultimately shapes organizational sustainability.
CERTIFICATION AND ESCALATING PROSOCIAL COMMITMENTS
The researchers used publicly available data from organizations that had undergone the B Corp certification process. In 2016, B Lab launched the voluntary Inclusive Economy Challenge (IEC), where B Corps could commit to improving several DEI-related practices over the next year. This created a unique learning opportunity: the authors could examine which organizations chose to escalate their prosocial commitments, and whether this escalation produced meaningful change.
They found that organizations with stronger DEI-aligned identities (i.e., those who include inclusivity as a defining characteristic) and those using more DEI-related language in their online descriptions were more likely to join the challenge. Organizations with a strong employee orientation (i.e., policies and practices emphasizing worker well-being) and community orientation were also more likely to participate. Among those that did join, participants improved their DEI practices more than non-participants and experienced positive gains in their overall sustainability practices. However, one unintended consequence emerged: B Corps that had lower DEI scores prior to the IEC were more likely to exit the B Corp community, revealing a potential polarization effect.
PRACTICAL AND POLICY IMPLICATIONS
Organizations should consider joining prosocial initiatives like the IEC when these efforts align with their values and public image, as participation can strengthen both DEI practices and broader sustainability outcomes. Still, firms without a strong DEI orientation may feel polarized by such initiatives, and escalating prosocial commitments can be resource-intensive. The authors therefore recommend additional support such as peer groups that allow companies to share resources and maintain accountability. At the policy level, certifying bodies can increase impact by aligning initiatives with salient social issues and creating incentives such as preferred-vendor status.
Sharma, G., Gehman, J., Boni, L., & Beveridge, A. J. (2025). The escalation of prosocial commitment: How the B corporation movement catalyzes social impact. Journal of Applied Psychology. Advance online publication.
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