Emerging Business Models: Conscious Capitalism and Peace through Commerce
If globalization is considered the most challenging development of modern times then bioterrorism may be its most pressing concern. Increasingly, the connections between health, development and security are becoming clear. The advances in biotechnology, directed toward improving health status, facilitate the reality of bioterrorism, directed toward destroying quality of life and security. Bioterrorism, which involves the public and the public’s health, has become one of the most complex problems in society. In the globalized world of the 21st century, one could argue that all health is public health and globalization is transforming the role of business in society.
An effective means to address many of our most pressing global problems is to mobilize the business sector where both companies and society benefit. Such approaches are studied as part of corporate social responsibility, corporate citizenship and sustainability. For example, Laszlo’s (2008) work on creating sustainable value by doing well and doing good includes business focus on social and environmental issues of poverty, the environment, health and peace. Two movements have emerged as a response: Conscious Capitalism, Inc. and the Peace through Commerce initiative.
John Mackey, CEO and co-founder of Whole Foods Market, created Conscious Capitalism, Inc. (CC). Conscious Capitalism builds on the foundations of capitalism – voluntary exchange, entrepreneurship, competition, freedom to trade and the rule of law and includes core elements of trust, compassion, collaboration and value creation. The four principles of CC culminate into a conscious business: focusing on the higher purpose of business, maintaining a stakeholder orientation, providing service through conscious leadership and developing conscious cultures by putting into action the values, principles and practices that define business in a way that elevates humanity. Many involved in CC today have been doing the work for years, before it had a name, because it is a way of thinking about capitalism and business. The core belief behind CC is that business is a vehicle to ‘do good’ and to make a positive impact on the world stage. Business leaders, entrepreneurs, coaches, academics and consultants are members of Conscious Capitalism, Inc.
The Peace through Commerce (PtC) initiative emerged at the same time as CC, in the nonprofit sector and in the Academy. PtC envisions business as providing a world of goods and a world of good. The Initiative’s efforts began in part as response to globalization, the ensuing complexity of problems and interdependencies a global world creates, including extremist factions often tied to religious beliefs, and a call from the business academy itself to do more. Former dean of the Mendoza College of Business at Notre Dame, Dr. Carolyn Woo, worked with The Association to Advance Collegiate Schools of Business (AACSB) International on the PTC initiative as a way to advance quality education throughout the world both through the accrediting process and through thought leadership. The Peace through Commerce initiative now includes major business leaders and scholars.
The essence of PtC is embedded in what may be considered obvious: commerce tends to promote peace by practicing science and commercial opportunities that lead to prosperity. Commerce provides a means for business to participate and offer solutions to some of the world’s deepest problems. Finally, commerce transcends religions, institutions and governments and thus provides an avenue to facilitate international trust and collaboration. Many of the projects center on micro-ventures, entrepreneurial training and fund-raising projects in Israel, Palestine, Moscow, Kenya, Cairo, Cuba, Darfur, Northern Ireland, Vietnam, Bosnia and Nigeria.
As emerging business models, how do the Peace through Commerce initiative and Conscious Capitalism inform discussions on bioterrorism? A bioterrorist act is a crime against humanity. Such an act knows no boundaries and is non-discriminating with the real violence in its silent, covert approach. A bioterrorist act is an act of commerce intent on destroying peace. The PtC initiative introduces a counter-response: business promoting a dialogue with focus that seeks understanding and collaboration among parties and a platform for countries to engage in mutually beneficial practices. Any dialogue involving bioterrorism will surface a country’s cultural viewpoints and attitudes, economic status, issues of quality-of-life and ways to create new livelihoods, whereby the role of public health becomes invaluable. Such dialogue re-situates business in terms of its mission; thus the value of CC whose primary goal is “to elevate humanity” with focus on the higher purpose of business beyond profit.
The PtC and CC, Inc. do not ask that business relinquish its essential focus but rather fulfill its societal roles and responsibilities as global citizens. In doing so, we also meet our AACSB mission of having business schools involved in influencing the next generation of leaders: our students.
Laszlo, C., Sustainable Value: How the World’s Leading Companies are Doing Well by Doing Good (Stanford, CA: Stanford University Press, 2008).
Mackey, J. and Sisodia, R., Conscious Capitalism: Liberating the Heroic Spirit of Business (Boston, MA: Harvard Business School Publishing Corporation, 2013).
Williams, O., Peace through Commerce: Responsible Corporate Citizenship and the Ideals of the United Nations Global Compact (Notre Dame, IN: University of Notre Dame Press, 2008).
Michele Simms, Ph.D.
Professor of Management and Marketing