Ethics behind the One-for-One business model

1. By: Kristin Belitz

2.  Toms was the pioneers of this business model
 For every shoe purchased a pair was given to a child in need
 Donations are typically taken out of profits
 Charging a premium price
 Finding a way to reduce costs
 Accepting a lower profit margin- selling more units due to the cause
 Most companies give a little bit different product than what is sold to consumers

3.  Unsafe terrain in third world countries
 Health concerns
 Ex. Soil-transmitted diseases
 Children need shoes to attend school
 Expanded to not just shoes
 For ever pair of eyewear purchased a pair of prescription glasses will be given to
someone in need
 Foe every bag of coffee purchased a weeks supply of clean water will be given to a person
in need

4.  The model is very inefficient
 Products are going to wear out
 Economic disadvantage to giving free
shoes to third world countries
 Gives shoes in 70 different countries,
but only produces them in 6
 Taking away from the businesses in
these countries
 Favor Christian groups
 Provides shoes before and after church
services

5.  Will the One-for-One movement be a sustainable model in the long run?
 Is the One-for-One model ethical for businesses to use?
 Is the buy-one, give-one model right for social entrepreneurs.
 What other markets could the one-for-one model be used in?