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All Things Sustainable
S&P Global
How environmental and commercial goals coexist at outdoor apparel company Patagonia
NOV 13, 202625 MIN
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Description
In this episode of the All Things Sustainable podcast, we're talking to a business that lists protecting the planet as one of its core values: outdoor apparel company Patagonia.
California-based Patagonia was founded by Yvon Chouinard in 1973. The company is a Certified B Corporation, which means it is verified as meeting standards for social and environmental performance, transparency and accountability. And since 1985, the company has pledged 1% of its sales to preserving and restoring the natural environment.
In 2022, ownership transferred to two new entities — Patagonia Purpose Trust and the nonprofit Holdfast Collective. Profits not reinvested back into the business are paid to Holdfast Collective to address the environmental crisis and defend nature.
"We're a for-profit company that's owned by a nonprofit, a trust," Patagonia Vice President of Global Product Footprint Matt Dwyer tells us in the episode. "In order to be in business to save our home planet — which is our mission statement — we have to be in business."
Matt explains how Patagonia builds decarbonization and circularity into its strategy, working to use materials and processes that minimize environmental harm while keeping the company's products in circulation for as long as possible through repair, resale and recycling.
"For us, it's really about how can we continue to maintain our high quality, how can we continue to build performance product while taking chunks out of that impact, that sunk cost to the planet, that it takes to create every product that we make," Matt says.
We sat down with Matt during Climate Week NYC at The Nest Campus, where the All Things Sustainable podcast was an official media partner.
Further listening: The Earthshot Prize CEO talks scalable environmental solutions | S&P Global
Further reading: EU rules raise the stakes for fashion industry's circularity gap (subscription required)
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