Case | HBS Case Collection | June 2010 (Revised July 2011)

China Environment Fund: Doing Well by Doing Good

by Christopher Marquis and Nancy Dai

Abstract

In early 2010, cleantech investment pioneer Tsing Capital was planning for the China Environment Fund IV and considering how to maintain its commitment to social and environmental practices. Tsing Capital embraced its philosophy of "Doing Well by Doing Good" and developed a proprietary system to manage social & environmental functions throughout the investment process. Some of the specific questions examined in the case are: with a more diversified investor base, how could the firm balance the different expectations of investors and continue to achieve "Doing Well by Doing Good"? Despite the increasing importance of social & environmental practices, they also had a cost for the firm and its portfolio companies. How could the firm most effectively motivate its portfolio companies to actively integrate social & environmental practices with their strategies?

Keywords: Corporate Social Responsibility and Impact; Business Strategy; Balance and Stability; Environmental Sustainability; Weather and Climate Change; Energy Conservation; Business Organization; Organizational Change and Adaptation; Venture Capital; Financial Services Industry; China;

Citation:

Marquis, Christopher, and Nancy Dai. "China Environment Fund: Doing Well by Doing Good." Harvard Business School Case 410-142, June 2010. (Revised July 2011.)