The inclusive business concept contrasts with two previous ways of business thinking. One approach was that companies could deliver their social responsibilities through corporate philanthropy or isolated Corporate Social Responsibility (CSR) programmes alone. Core business delivered shareholder value, while corporate philanthropy delivered stakeholder value. The second focused on adapting core business, but to reduce negative impacts. Requirements for large investors, particularly extractive companies, to mitigate damage and comply with environmental standards have strengthened over recent decades.

Commercial businesses selling mobile phones, banking services, health services or other products that are needed by the poor and have high development impact. These businesses inherently combine high commercial and social value. The idea of harnessing ‘core competencies’ is closely related to harnessing core business, though not identical. Both are based on the idea that companies should apply their ‘core competencies’ and ‘business assets’ to leverage development, and not just their cash. Both use corporate resources more strategically. Core competencies can be harnessed either for core business delivery or contributed in-kind for more philanthropic ends.