Creating Shared Value
R Hallagan, Management Consultant, United States
... SVP will only happen if they take action. Talk only gets limited results?
That's nice but we just can't will these things into being
. Even the most conscientious enterprises will only "take action" until it means reducing profits relative to their competition; otherwise, they shareholders will start fleeing and suddenly they're facing extinction. Not a good plan.
Capitalism works best when there is lots of competition and unfettered markets
. Like anything else, when players find a way to cheat the system to give themselves an unfair/illegal competitive advantages, we must be prepared to close these loopholes and severely punish the guilty parties. Moreover, this needs to happen consistently on a global basis. This is the difficult task before us.
I frankly cannot understand how SVP works. The reason shareholders are the current gods of capitalism
is because they are the geese that lay the golden eggs. Unless SVP can begin doing the same, nobody's going to invest in it.