What your business stands for and why it matters

If you’re running a business, you need a foundation to stand on. It doesn’t matter if you’re a technology company, a restaurant, a real estate group, or an e-commerce business. You need to know what sets you apart from everyone else. And part of that foundation is knowing what it is you stand for.

In fact, it’s increasingly more important to stand for something in business. Take this into consideration: Gen Z, which is the up-and-coming generation born in the mid-1990s to the early 2000s, has a massive amount of purchasing power and they are the future of business. As they emerge in the marketplace, they are buying into brands they believe in. Data shows they are not only watching for the values a brand stands for, but they are even willing to boycott a brand they view as problematic. In fact, the vast majority of them will only spend money on brands that align with their values.

In author and speaker Simon Sinek’s TED Talk, “How great leaders inspire action,” he explains this phenomenon simply. People are willing to support you when they believe in you and what you offer. He also explains it all starts with your “why.” Put simply, “People don’t buy what you do; they buy why you do it.”

If you don’t know what your business stands for, it’s time to embrace your “why” and put it into action. It will help you make clear decisions and help you build a strong brand and culture for the future. Here’s how you can build your foundation for a long-lasting business.

To determine what your business should stand for, it helps to know your purpose. For some business owners, this might be clear. For example, TOMS was built from the concept of improving lives and using shoes to do that. But your purpose may not be as clear, and that’s okay. Ask yourself questions that will help you uncover your deeper purpose. What inspired you to start your business? What sets your story apart? Do you believe in supporting a specific cause? What drives you, both professionally and personally? The answers should help you find your ”why” and answer how to set yourself apart.

Build your mission statement

A mission statement shouldn’t be easy to craft. That’s because it should be simple, concise, and explain what sets a business apart in the market. And that’s not a simple job. As you work on your mission statement, make sure to keep it open-ended, allowing you flexibility if you need it. It should focus on your long-term objectives. And it should tell people exactly what you stand for. A well-written mission statement should serve as a North Star, keeping your company on track and grounded in what it is you’re doing in your business. 

Put work into defining the values you want your organization and employees to stand for, too. These values should be clear and readily available to your team. They should also be so in tune with your work that everyone you’re connected to—staff, clients, vendors, etc.—sees them in action. They are designed to be guiding principles, so work on developing 4 to 6 memorable statements that help your team show up living them every day. Your values may be as simple as, “We are committed to transparency in all we do,” and “We have a culture of trust driven by transparency and mutual respect.” Or maybe they dive deeper into a more specific business-related value. Because core values shouldn’t be cookie-cutter, you’ll want to write them to be specific to who you are and what you offer. From there, it’s up to you and your team to bring them to life and to demonstrate daily where your values lie.

Once you know what you stand for, make sure to share your story and why you’re choosing to do business the way that you do. I’ve been told that at Starbucks, corporate meetings begin by reciting their company mission, vision, and values. That’s a great way to remind people daily how you want the business to show up. Make sure you are building it into your interactions with your customers and partners as well. Include it as part of your brand. Use it to guide your marketing strategies. You may even find it helps you think through new products and services. The clearer you are with what it is you stand for, the more people will respond and want to be a part of it.

Knowing what you stand for can help you know the type of business you want to run and can even help attract customers and talent to your team. Once that foundation is in place, it will bring you clarity — and nearly ensure your success. In short, you’ll have nowhere to go but up.

Jim Allen is a business leader and entrepreneur who has built one of the top-producing real estate groups in the Triangle. He is President of The Jim Allen Group, which is consistently named one of the top real estate teams in North Carolina and even North America.