What is Inclusive Capitalism?
Inclusive Capitalism is a global effort to engage leaders across business, government and civil society in the movement to make capitalism more equitable, sustainable, and inclusive. Together we can achieve this through business and investment practices that extend the opportunities and benefits of our economic system to everyone.
We believe that firms should account for themselves not just the bottom line. By taking a broader view of the firm – its purpose, products, people and planet – it is more likely to prosper over the long term.
Since the financial crisis of 2008, capitalism has been attacked as a system that had failed to create broad-based prosperity. Because of this, and growing income inequality and uncertainty, there is a marked withering of public trust in business. Businesses, many of which saw their responsibility limited only to shareholder value, must work to restore trust from all members of society.
A significant debate has begun about how to improve capitalism so that it creates long-term value that sustains human endeavour without harming the stakeholders and broader environment. And there is now solid academic research to show that companies that follow inclusive and sustainable standards perform better for their shareholders than those that do not.
What We Do
The Coalition for Inclusive Capitalism, a not-for-profit organization, is dedicated to promoting the Inclusive Capitalism movement. It is not just about Corporate Social Responsibility. It is about encouraging businesses to make changes and expand their investment and management practices to regain public trust.
We do this by:
1. Bringing together asset owners, managers and creators of the top global companies, in an annual conference, to positively influence the future of capitalism.
In 2014 we introduced the concept of Inclusive Capitalism, and in 2015 we debated the ‘Pathway to Action’. Many participants responded very positively to the concrete list of actions toward Inclusive Capitalism presented by Indra Nooyi, CEO of PepsiCo. The intention with our event in 2016 is take definitive steps in ‘Committing to the Future’.
The annual conferences mark important steps in a movement to respond to the major challenges facing businesses, their nations and the world, and developing some of the solutions to help address them.
2. Developing practical thought leadership for the Inclusive Capitalism agenda.
Our Working Group, of leading institutional investors, asset managers, owners, creators, academics, policy makers and labour representatives, help us craft pathways and concrete steps that can be adopted by leaders throughout the investment and business community to make capitalism more inclusive.
3. Making the movement truly inclusive
Our Allied Efforts programme gathers the work of like-minded initiatives. We seek to collaborate on solutions and to help raise public awareness of Inclusive Capitalism practices across the globe.
The Coalition also engages with the academic community to help distribute the best ideas on Inclusive Capitalism to the highest levels of business, civil society and government.
4. Focusing on Action
Inclusive Capitalism embraces the best practices of CEOs that demonstrate the ethics of stewardship, stakeholder engagement and responsibility. Our annual conference and book are part of placing the best Inclusive Capitalism practices in the corporate mainstream.
We want to see corporations managed not just for the long-term, but for the benefit of those who have a meaningful stake in it and are committed to its long-term success. Working in the best interests of this group means, among other things investing in enhanced education, skills training, job creation and innovation; the features that add value in the long-run.