How Can Businesses Develop Unique ESG Strategies in the Carbon-Neutral Era?
Patagonia Asia’s Kenji Shino Shares Insights on "Business Purpose" at DOMI’s Sustainable Business model Journey Forum
As countries worldwide push toward carbon neutrality and net-zero emissions, businesses must navigate the rapidly evolving ESG (Environmental, Social, and Governance) landscape and develop distinct, impactful sustainability strategies. At the launch event for DOMI’s Sustainable Business Model Journey Platform, Kenji Shino, Environmental Director and Brand Responsibility Lead Officer at Patagonia Asia and Board Member of B Market Builder Japan, shared his perspective. He emphasized that "Business Purpose" is the core driver of sustainable transformation.
From Mission to Business Purpose: Patagonia’s Sustainability Journey
Kenji Shino explained that Patagonia’s sustainability approach has evolved from focusing on a mission to embracing a business purpose. This shift has fundamentally redefined how Patagonia operates.
Founder Yvon Chouinard originally set Patagonia’s mission as: "Build the best product, cause no unnecessary harm, and use business to inspire and implement solutions to the environmental crisis."
However, as global environmental challenges intensified, Patagonia recognized that individual action alone was insufficient. In response, Yvon Chouinard transferred Patagonia’s ownership to the Patagonia Purpose Trust and the Holdfast Collective, ensuring that all company profits would be used to combat climate change and protect undeveloped lands worldwide. This marked the company’s official adoption of its business purpose: "We’re in business to save our home planet."
Shino pointed out that while a mission sets high internal expectations for a company, a business purpose goes beyond individual corporate interests. It creates an open framework that can be shared across supply chains and even with cross-industry partners.
The Power of Business Purpose: From Internal Engagement to Environmental Commitment
According to Shino, business purpose provides employees with a deeper sense of meaning, transforming them into guardians of the planet rather than just members of a corporation.
He cited Patagonia’s "Climate Job" initiative as an example of how purpose-driven transformation shapes everyday decision-making:
- Procurement teams prioritize environmentally friendly materials.
- Design teams focus on creating longer-lasting clothing, even if it reduces product turnover.
- Finance teams proactively seek ways to quantify and evaluate ESG performance, even when it’s not part of their original job scope.
This mindset shift extends beyond corporate goals—employees begin to view themselves as contributors to a larger environmental mission.
"Every choice we make impacts the environment—either positively or negatively. Businesses and employees must continuously make conscious, positive decisions to prevent the accumulation of negative impacts." – Kenji Shino
Sharing Business Purpose: Cross-Industry Collaboration & Consumer Education
Patagonia’s business purpose not only drives internal decision-making but also influences supply chain partnerships and consumer engagement strategies.
Shino highlighted two key approaches:
- Cross-industry partnerships – Patagonia works beyond the apparel sector, collaborating with suppliers and other industries to advance sustainability.
- Consumer education – Initiatives like Worn Wear, which offers free repairs for old Patagonia clothing, encourage consumers to buy less and extend product lifespans, reducing environmental impact. While this may challenge traditional business models, it strengthens customer loyalty and reinforces Patagonia’s position as a sustainability leader.
DOMI’s Sustainable Business Model Journey Platform: A Roadmap for ESG in Asia
At the event, Shino expressed strong support for DOMI’s Sustainable Business Model Journey Platform, emphasizing its potential to guide Asian enterprises in discovering their own business purpose. He believes this platform can help businesses align profitability with positive environmental and social impact, ensuring that sustainability becomes an integral part of corporate growth strategies.
Frequently asked questions
- What is the difference between a mission and a business purpose?
- A mission sets high internal expectations for a company, while a business purpose goes beyond individual corporate interests. A purpose creates an open framework that can be shared across supply chains and even cross-industry partners.
- What is Patagonia's business purpose?
- "We're in business to save our home planet." Patagonia adopted this purpose after founder Yvon Chouinard transferred ownership to the Patagonia Purpose Trust and the Holdfast Collective, ensuring all company profits combat climate change and protect undeveloped lands.
- How does business purpose change everyday decisions at work?
- Through Patagonia's "Climate Job" approach: procurement prioritizes eco-friendly materials, design creates longer-lasting clothing even if it reduces turnover, and finance quantifies ESG performance beyond its original scope — employees act as contributors to a larger environmental mission.
- How can a company share its business purpose beyond its own walls?
- Through cross-industry partnerships with suppliers and other sectors, and through consumer education — for example Patagonia's Worn Wear program offers free repairs to extend product lifespans and encourage buying less.