Tom of Maine
CASE STUDIES
CASE: Tom’s of Maine: “Doing Business” Means “Doing Good”
Questions:
1. Does the Tom’s of Maine experience prove that one can “do business with principles,” or are there business realities that make it hard for others to copy this principled management model?
Yes, because what Tom’s of Maine did is that they made their employees appreciate and apply the principles that Tom and Kate believed in. Despite some of the mistakes that they did, they were not afraid to try again and to make better decisions. Their principles set them apart from their competitors. Because of their principles, they became a unique company who exemplified “business with principles”.
It’s true that there are business realities that make it hard for others to do the same thing. Businesses that widely depend on sales or on the state of the economy focuses on making their businesses grow. They do however try to help make their processes “environment friendly” in this way, they also contribute to the betterment of the society.
2. What examples and incidents from this brief history of Tom’s of Maine illustrate how the personal ethics and values of founders can positively influence a firm and its culture as it deals with the challenges of start-up and growth?
Tom and Kate’s principles affected the culture of their company and they definitely made it a good culture. They made their employees involved in various charitable works. They donated 10% of their pretax profits to charities. The principles they stood for generally changed the mindset of the workers by not just working for themselves but also working to help the community. It suddenly became an advocacy to do everything in their company for the good of the environment.
3. What are the biggest threats that Tom’s faces in its new life within Colgate’s global corporate structure, and especially with respect to maintaining what Tom and Kate call “the character, spirit and values of
CASE: Tom’s of Maine: “Doing Business” Means “Doing Good”
Questions:
1. Does the Tom’s of Maine experience prove that one can “do business with principles,” or are there business realities that make it hard for others to copy this principled management model?
Yes, because what Tom’s of Maine did is that they made their employees appreciate and apply the principles that Tom and Kate believed in. Despite some of the mistakes that they did, they were not afraid to try again and to make better decisions. Their principles set them apart from their competitors. Because of their principles, they became a unique company who exemplified “business with principles”.
It’s true that there are business realities that make it hard for others to do the same thing. Businesses that widely depend on sales or on the state of the economy focuses on making their businesses grow. They do however try to help make their processes “environment friendly” in this way, they also contribute to the betterment of the society.
2. What examples and incidents from this brief history of Tom’s of Maine illustrate how the personal ethics and values of founders can positively influence a firm and its culture as it deals with the challenges of start-up and growth?
Tom and Kate’s principles affected the culture of their company and they definitely made it a good culture. They made their employees involved in various charitable works. They donated 10% of their pretax profits to charities. The principles they stood for generally changed the mindset of the workers by not just working for themselves but also working to help the community. It suddenly became an advocacy to do everything in their company for the good of the environment.
3. What are the biggest threats that Tom’s faces in its new life within Colgate’s global corporate structure, and especially with respect to maintaining what Tom and Kate call “the character, spirit and values of