Can B local communities redefine regional identity?

B Corporations (B Corps) embed high standards of social and environmental performance, transparency and accountability in their operations. B Locals, as regional communities of values-driven businesses, provide a lens to examine how businesses shape and are shaped by their local contexts. While research on sustainability in business is growing, little attention has been given to the intersection of organisational and regional identity within these ecosystems. This study explores how a B Local functions as a values-based business ecosystem, influencing regional narratives and business practices.Using a mixed-methods approach, this research examines how purpose-driven businesses balance profitability with impact while navigating internal and external challenges. Findings reveal that organisational identity extends beyond mission statements, shaping decision-making, stakeholder relationships and social impact. While businesses align around shared values, tensions arise in translating commitments into operations, particularly as teams adapt to evolving goals. The B Corp certification process emerges as more than a benchmarking tool; it fosters shared understanding, informs strategy and enhances credibility in broader markets.Crucially, this research underscores the reciprocal relationship between businesses and regional identity. While unique regional challenges exist, they also foster collaboration and a collective responsibility to reshape the economic landscape. Businesses can leverage this identity to drive innovation and expand beyond traditional economic narratives. By highlighting the interdependence between place-based identity and values-driven business ecosystems like B Locals, this study provides insights for businesses, policymakers and ecosystem facilitators seeking to harness regional identity.