Conscious capitalism, will it change the future of your business?

The philosophy of Conscious Capitalism is a new way of approaching the generation of value in business with a win-win for all.
Conscious capitalism, will it change the future of your business?
Image credit: Depositphotos.com

Grow Your Business, Not Your Inbox

Stay informed and join our daily newsletter now!
4 min read
This article was translated from our Spanish edition using AI technologies. Errors may exist due to this process.
Opinions expressed by Entrepreneur contributors are their own.

We are in a time of disruption in which definitely, the way of doing business cannot be the one we are used to.

Today, the consumer wants and demands more value for what he pays and does not settle for little; In addition to a product or service that helps you solve your own needs, you want that solution to cause the least damage to the environment and to have a positive impact on society.

It is mainly in Europe where the philosophy of the Circular Economy has spread the most, where if a business is not sustainable, it is destined to disappear. There, too, a concept is more widely known that little by little is beginning to gain strength in Mexico and Latin America: that of conscious Capitalism.

What do I mean? To create value for all those involved in the economic cycle: clients, suppliers, employers, workers and even the government that receives taxes through practices that integrate shared benefits and are very transparent for all.

The main idea of this international movement led by Raj Sisodia seeks that companies and their stakeholders are at the same time organizations with social impact and profitable.

"Conscious businesses are essentially successful," says Sisodia. And the numbers prove it: a company that has implemented this philosophy reports returns on investment up to nine times higher and growth of up to 125%.

But all this is part of a purpose that goes beyond the generation of money per se. The first thing is the generation of value for customers, your employees, society, for you as an entrepreneur and for the business itself. By positively impacting all the areas involved, the money will come.

In the framework of INCmty 2020, held at the beginning of November, I had the opportunity to talk with the co-founder of Conscious Capitalism. He told me that for this philosophy to be applied to new businesses and among SMEs, the first step is to generate awareness and positive synergies between the media, to spread the message; government, academia and private initiative. "I think it is possible and necessary for everyone to be in a win-win situation," said Raj.

How to generate this value for each of the stakeholders or participants in the economic cycle of a company? "You have to use your creativity to create value always keeping your heart and awareness present," he told me.

The specialist considers that the philosophy of Conscious Capitalism should be part of the DNA of every newly created company. They should abide by it as it should be. Otherwise, we would be destroying the planet that enables us to be here and have life, "he warned.

It is for this reason that the November issue of Entrepreneur mag21 is dedicated to the topic of Impact Investing, Conscious Capitalism and Circular Economy. The intention is to demystify beliefs and help us save the world together while doing business.

" Life is about making an impact, not generating income, " says Kevin Kruse, founder and CEO of LEADx. I agree with him.

More from Entrepreneur

Get heaping discounts to books you love delivered straight to your inbox. We’ll feature a different book each week and share exclusive deals you won’t find anywhere else.
Amplify your business knowledge and reach your full entrepreneurial potential with Entrepreneur Insider’s exclusive benefits. For just $5 per month, get access to premium content, webinars, an ad-free experience, and more! Plus, enjoy a FREE 1-year Entrepreneur magazine subscription.
Discover a better way to hire freelancers. From business to marketing, sales, finance, design, technology, and more, we have the freelancers you need to tackle your most important work and projects, on-demand.

Latest on Entrepreneur