A corporate philosophy distills your beliefs about your business and explains your vision for your organization. It's also a road map for you and your employees: The vision set out in your corporate philosophy can affect every aspect of your small business, from customer service to marketing to management style.


A clear philosophy creates a corporate culture by establishing common values, according to the book “Transformations of Corporate Culture: Experiences of Japanese Enterprises,” by Toyohiro Kono and Stewart Clegg. A philosophy lays out the mission of your organization, letting your employees know why you are in business and how they should approach their roles in your organization.


An effective corporate philosophy orients your company toward clear objectives. Perhaps you dream of running a company that puts environmental sustainability at the forefront. Maybe your goal is to show consumers that locally made products can outperform mass-produced goods. Whatever your goal, your corporate philosophy can explain it in a way that allows employees and managers to align their activities toward achieving that objective.


A good corporate philosophy can establish the ethical code of your organization. For example, if you believe a company should be honest with its customers at all costs, you can announce that in your corporate philosophy statement. The idea is to set up a thought paradigm for your employees to operate within. If honesty is your policy, for instance, that ethic should pervade all your employees’ interactions with customers, including advertisements, sales events, product literature and customer service.

Public Relations

Your corporate philosophy is also a message to the public. It lets people know what your corporation stands for and what type of service they can expect. In this sense, your corporate philosophy can function as a marketing tool to build your brand identity. The more your company’s actions fall in line with its corporate philosophy, the stronger your brand identity will be.


Your corporate philosophy can take many forms, from a short credo to a long statement, depending on your needs. Whatever type you choose, keep it concise and specific. The goal is to help people quickly see how your company thinks and directs itself.