Toms Business Model Essay

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TOMS is a for profit retailer known for their philanthropic approach to business. Starting out in 2006, TOMS sold an alpargata style shoe with a pledge that for every pair of shoes purchased a pair would be donated to a child in need. This unique business idea went viral and TOMS quickly gained popularity and financial success. Today, TOMS has expanded their brand and branched out into selling apparel, sunglasses, tote bags and coffee available at their retail locations and online store. From humble beginnings in their founders Venice, California apartment to being recognized as a global social enterprise, TOMS has always wanted to make a difference and involves their customers in the giving experience. As the company has grown, they have faced criticism for creating foreign dependence on aid, hurting local merchants, not providing a sustainable benefit to those it claims to help and profiting from poverty in developing countries. Responding by evolving their business model TOMS …show more content…

During his travels through Argentina, Mycoskie observed the hardships faced by children without shoes. Hookworm infections, foot abrasions and not being allowed entrance into school are daily problems for shoeless children in many countries. Deciding he wanted to do something to improve the lives of indigent children, Mycoskie founded TOMS and began selling shoes to provide shoes to children in need. Improving the lives of disadvantaged people through business is the mission of Toms expressed in their mission statement as “With every product you purchase, Toms will help a person in need. One for One” (TOMS® Official Site, 2017). Authentic mission statements give stakeholders a reason for why the company exists and what they intend to achieve. I believe that Toms mission statement meets this requirement and provides a great purpose for consumers to get

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