Index – Capitalism at Risk, Updated and Expanded

Index

Note: Page numbers followed by f refer to figures; page numbers followed by t refer to tables; page numbers followed by n refer to notes.

accountability of financial institutions, 48

activism, institutional. See institutional activism

activist, business as, 105, 110115, 159

Advanced Manufacturing Center of Excellence, 261

AdvancingCities, 257

Afghanistan, 221, 241, 242f

Africa

Chinese investment in, 236

climate change and, 34, 223, 234

failure of the rule of law in, 219

health challenges from growing population in, 226

impact of AIDS on working-age population in, 28

migration patterns from, 62, 63, 209, 218, 234

rise and spread of ISIS in, 221

slower economic growth rates in, 24, 25, 25f

state capitalism and nationalist ideologies and, 92

wage differential for unskilled labor and income inequalities in, 2930, 30f

African Americans, in Detroit, 251, 252, 253

agriculture

business as innovator viewpoint and, 118

China Mobile’s rural communications strategy and, 135, 207

climate change and, 34, 65, 89

e-Choupal initiative in India and, 1516, 17, 145

income distribution in China and, 207

migration patterns and, 209

mobility barriers and income disparities in, 2829

protectionist trade policies and, 50

Unilever’s sustainability plan and, 271, 273

water availability with increasing demand and, 34, 36

AIDS. See HIV/AIDS

air pollution. See also environmental degradation; greenhouse gas (GHG) emissions

carbon dioxide emissions and, 65, 129, 131

carbon emissions and, 3435, 64, 66, 130, 144, 210, 211

coal-based utilities and, 53t, 55, 130, 131, 210

alcohol use, as health issue, 68, 203, 204

Allianz, 8

American Petroleum Institute, 205

American Policy Commission, 164, 165

antecedents for market system, 9295, 93f, 245246

feedback loop with, 99101, 100f

Generation Investment Management and sustainable investing and reinforcing, 140144

as necessary foundation of market capitalism, 95

resources and, 95

social and political conditions and, 94

sustainability of market system and, 101, 102

antiretroviral drugs (ARVs), 136140, 248, 285

armed conflict

Asian forum business leader on, 74

Latin America forum business leader on, 7374

as outside influence on market system, 92

security issues and, 73

Asia. See also South Asia

financial crisis in, 37

migration patterns and, 6263, 209

Asia forum, viii

armed conflict and war comments in, 74

business leader members of, 301

environmental degradation comments in, 66

failure of the rule of law comments in, 67

financial system functioning comments in, 49

flu pandemic comment in, 75

inadequacy of existing institutions comments in, 76, 7778, 7980, 8081

inequality and populism comments in, 57, 58

migration quotes in, 6263

need to anticipate problems and preempt breakdowns comment in, 84

“one integrated operating system” comment in, 8586

quotes from observations by business leaders in, 49, 51, 5758, 6263, 66, 67, 7172, 74, 75, 76, 7778, 7980, 8081, 83, 8586, 109, 113

state capitalism comments in, 7172

Assad, Bashar, 221, 225

Australia, 219, 223, 295

authority, and role of business, 189191

automation, 230, 231, 245, 253

automobile industry, 161, 238, 252253

AZT, 136

bacteria, evolution of, 75

Bank One, 252

bankruptcy

of Cleveland, 167

of Detroit, 251, 252, 253, 254, 258

health-care costs and, 202

of Pacific Gas & Electric, 246

pension obligations and, 217

subprime mortgages and, 232

Banque Nationale de Paris, 8

Bangladesh

manufacturing in, 235

sea level changes and flooding in, 41, 64, 218, 228

banks. See financial system

Baosteel, 8

Barnard, Chester, 148

Barry, Nancy, 6, 303

Basel II accords, 46, 108

Belt and Road (BRI) initiative, China, 236, 237, 239

Benton, William, 163164, 165

Bhopal, India, plant explosion (1984), 206

biological evolution, 75, 90

bird flu pandemic, 75

birth rates, and migration patterns, 32, 209

BlackRock, x, 296

Black Swan theory, 83

Blood, David, 140141, 144

board of trustees, and companies’ programs, 293

“Borrowed Time” scenario, National Intelligence Council, 3942

Bowerman, Bill, 265

BP, and Gulf of Mexico oil spill (2010), 123, 162163, 191, 204

BP America, 176, 178

Brandeis, Louis D., 191

Brazil, xiv, 219

education, mobility, and income distribution in, 30

energy policy of, 53

environmental policies in, 66

political participation by poor in, 60

rapid economic growth of, 19, 21, 239

Bretton Woods accords, 20

Brexit (United Kingdom’s exit from the European Union), xiv, 218, 233, 240

bribery

anticorruption efforts and, 170173

OECD working group on, 171172, 201

rule of law weakness and, 9394

Buffett, Warren, 207, 275

Burroughs Wellcome, 136

Bush, George W., 9, 234

business. See role of business

business as activist viewpoint, 105, 110115, 123, 159, 249

business as bystander viewpoint, 105, 107110, 154155

business as innovator viewpoint, 105, 115120, 123, 126, 159160, 249

business as leader viewpoint, 105, 122124

business as usual viewpoint, 105, 121

businesses

governance codes and guidelines in, 296

strategic engagement with critical problems by, 249250

strengthening governance of, xvii, 250

business leaders. See also Asia forum; Europe forum; Latin America forum; U.S. forum

ability to learn by doing of, 290

call to action for, xviiixx, 246

challenges to market capitalism seen by, 44

consequences of neglecting problems over ten years and, 245246

core problems identified by, viiiix

developing plans for addressing disruptors by, 281282

disruptors as matters needing attention of, 249

duty to create wealth for shareholders and, 281

education system failure quotes from, 70

engagement with disruption problems by, 294295

environmental degradation quotes from, 6566

failure of the rule of law quotes from, 6768

financial system functioning quotes from, 4850

flu pandemic quote from Asia forum, 75

government weakness in dealing with disruptors and, 244

inadequacy of existing institutions quotes from, 7779, 82

inequality and populism quotes from, 5760, 61

interpretation of definitions of market capitalism used by, 910

interviews with, 10, 14

migration quotes from, 6263

need for leadership by, 280281

personal conviction of, 294

potential disruptors of market system described by, 4583

problems identified in forums with, 1112

reactions to and observations on World Bank Study from, 42, 4484

regional forum meetings held with, 1012

regional forum memberships of, 301303

state capitalism quotes from, 7174

terrorism and armed conflict quotes from, 7475

trade and trading system quotes from, 50, 51

World Bank study on the global economy to 2030 as “case” for discussion by, 1011, 2237

business models, 125151

business as innovator viewpoint and, 115116, 117, 119, 120, 126

business opportunity and, 146147

business as usual viewpoint and, 121

China Mobile’s rural communications strategy and, 131136, 248

Cipla’s delivery of antiretroviral drugs (ARVs) and, 136140, 248

combating external threats and, 136140

conceptual barriers to gaining support for, 147148

corporate social responsibility and, 149151

extending the positives using, 126, 131136

General Electric and ecomagination project and, 127131, 248

Generation Investment Management and sustainable investing and, 140144, 248

IBM’s Smarter Planet strategy and, 207

leaders in, 147149

market demand and, 145146

mitigating the negatives and, 126, 127131

need for experimenting with, xvii

reinforcing antecedents using, 140144

Unilever sustainable-living plan and, 271

Business Roundtable, xvii, 297298

business schools, and infrastructure of market system, 98

bystander, business as, 105, 107110, 154155

Cáceres, Carlos F., 6, 302

California, wildfires in, 216, 246

California Public Employees’ Retirement System, 295

“Call for Action” (United States Climate Action Partnership), 129, 177178

Cambridge Analytica, xiii

cap-and-trade system, 66, 178179, 197

capitalism. See market capitalism

capitalist market system. See market capitalism

captured nation-states, 219, 240241

carbon dioxide emissions, 40, 66, 129, 131

carbon emissions, xi, 245

General Electric’s program on, 129, 130

Generation’s program on, 144

impact of, 3435

Nike’s sustainability programs and, 265, 269

range of programs on, 64, 130, 210211

taxes related to, 66

catastrophic events, impact of, 7576, 90

CEMEX, 196

Center for Responsive Politics, 108

Centers for Disease Control and Prevention (CDC), 219

Central America, migratory patterns from, 218

central banks

interest rates and, 216217

recovery from financial crisis and, 232, 233

CEOs. See also business leaders

business as bystander view and expertise of, 107108

excessive compensation for, 56

Chao, Elaine Lan, 6, 14, 303

Chávez, Hugo, 61

Chemical Industry Institute of Toxicology, 206

Chemical Research Council, 197

Chen, Michael Shih-ta, 301

Chevron, 204, 205

child mortality

global progress in, 219, 220f

by income level, 225, 225f

China

Belt and Road (BRI) initiative of, 236, 237, 239

China Mobile’s rural communications strategy in, 131136, 207, 248

climate change and, 35, 210

cooperation between international institutions and, 79

coronavirus pandemic in, xiv, 222, 243

distribution of income and inequality in, 58, 207

economic growth of, 221

education, mobility, and income distribution in, 30

energy availability and development of, 5253, 53t, 55

environmental degradation and policies of, 65

financial crises and policies of, 51, 239

foreign companies and manufacturing in, 235

global economic system and, 217

manufacturers in, 236, 238, 239

market system and, 185, 221

middle class and inequality in, 59, 218

philanthropy from wealthy individuals in, 207

private sector in, 238239

public health and economic growth in, 226

public trust in government in, 124

rapid economic growth of, 19, 20, 21, 23

state capitalism in, 72, 220, 221, 237, 238239

trade trends and shift in consumption toward, 236

trade war between United States and, xiv, 245

China Mobile, 8, 212

ability to learn by doing in, 289

rural communications strategy of, 131136, 146149, 196, 207, 212, 248

China Mobile Communications Company (CMCC), 131132, 133, 285

China National Building Materials, 8

cigarette smoking, as health issue, 68, 203

Cipla Limited, 212

collaboration with other organizations by, 286

delivery of antiretroviral drugs (ARVs) and, 136140, 146, 148, 153154, 196, 248, 285

personal conviction of chairman in, 294

cities

drought and migration to, 224225

JPMorgan Chase’s Detroit investment model used in, 257

manufacturing and environmental impact on, 167

CivicLab, 287

Clarkeson, John, 303

Cleveland, Ohio, 167169, 180

Cleveland Tomorrow, 168169, 212

Climate Action 100+, 296

climate change. See also greenhouse gas (GHG) emissions

business as activist viewpoint and, 110, 114

developing countries and, 228

economic growth and implications of, 3334, 210

environmental degradation and, 3335, 43, 6465

General Electric’s environmental projects and, 128, 129

global average temperature anomalies and, 223, 224f

government policies on, 3435, 222

impact of, 210

investor engagement with, 296

Pacific Gas & Electric bankruptcy and, 246

Paris Agreement goals on, xi, 222, 245

role of business leaders working with, 210211

U.S. Climate Action Partnership (USCAP) and, 176179, 210

water availability and, 36

wildfires and, 216, 246, 280

World Bank study on the global economy and, 3335

Climate Governance Initiative, 295

Climate Nexus, 228

Clinton, Bill, 234

coal, and electricity generation, 53t, 55, 131, 210

coal gasification, 130

Coalition for Inclusive Capitalism, 295

Coles, Jonathan, 302

collaboration, 15

business as activist viewpoint and, 110111

environmental policies and, 205206

governments and, 110111, 154

among industries working on institutional change, 172, 197198, 205

innovation and, 154

among international groups and organizations, 200

market system as “one integrated operating system” and, 86

collateralized debt obligations (CDOs), 49, 233

Collier, Paul, xv

Collomb, Bertrand P., 6, 11, 302

Columbus Learning Center, 261

Commerce Department, 164, 165

Committee for Economic Development (CED), 163167, 212, 247, 281

commodity prices, and economic growth, 3637

Communist Party of China, 132, 239

community, Cummins’s commitment to, 259, 260, 264, 282, 293

community development financial institutions (CDFIs), 255, 256, 291

Community Education Coalition (CEC), 259261

career training center of, 261

commitment to local education by, 261262

university programs of, 260261

competitive markets

capitalist market system and, 3

global financial markets and, 76

health-care costs and, 202

Congo, 221, 243

Congressional Budget Office, 229

ConocoPhillips, 178, 205

Consumer Goods Forum, 274

Conway, Jill Ker, 266

coronavirus pandemic, xiv, 222, 243

corporate social responsibility (CSR), 181

company self-interest and, 149151

Nike’s sustainability programs and, 266, 268, 284, 285

corruption, 215, 280

anticorruption efforts and, 170173

business environment and, 242

call to action to end, 246247

digital technology vulnerability to, 240

failure of the rule of law and, 67, 68, 93, 219

Foreign Corrupt Practices Act (FCPA) against, 169171

inequality and, 57

interactions between terrorism and, 240244

OECD working group on, 171172, 201

scale of, 240241

state-owned enterprises (SOEs) and, 240

Transparency International (TI) on, 171, 172, 201, 219

credit

financial system functioning, 46

nonbank lenders and, 216

Cumming, Ian M., 303

Cummins Engine Foundation, 264

Cummins Inc., 249, 258264, 276

career training center of, 261

collaboration with other organizations by, 286287

commitment to education by, 261262, 264

community commitment of, 259, 260, 264

defined governance structure in programs of, 293

matching societal need to strategic issues of, 284

overview of project in, 258259

personal conviction of leaders in, 294

political legitimacy issues in, 288

recruiting staff to Columbus by, 263264

unique strategy of company in, 276277

varied approaches to funding by, 291

Cun Cun Tong program, 132, 133134, 135

Dalio, Ray, xv

Dangeard, Frank E., 302

David, Donald, 165n

Davos Manifesto, 297

Defense Advanced Research Projects Agency (DARPA), 10, 199

Defense Industry Initiative on Business Ethics, 197

de Klerk, F. W., 173, 174, 288

Deng Xiaoping, 226, 238

Denmark, greenhouse gas emission controls in, 66

Department of Agriculture, 199

Department of Commerce, 164, 165

derivative securities, 48

concern about financial collapse from debt with, 233234

Enron’s exemption from regulation of, 161

financial crisis of 2008 and, 46

hedge funds’ use of, 49

mortgage borrowing and, 231

problems from new instruments in, 215

profits and debt financing of, 46

Dessain, Vincent, 30

Detroit investment project, JPMorgan Chase, 249, 250258, 276

ability to learn by doing in, 289

background factors for success in, 257

bankruptcy of, 251, 252, 253, 254, 258

banks’ discussions with officials in, 254255

challenges and history of, 252253

close attention from top management in, 283

collaboration with other organizations in, 286

community development financial institutions (CDFIs) used in, 255, 256, 291

corporate organizational change in, 285

Detroit Service Corps in, 256, 291

main areas of bank funding in, 255256, 258

matching societal need to strategic issues for company in, 284

philanthropic efforts in, 251, 253254, 256

political legitimacy issues in, 287288

quarterly review process in, 256257

Detroit Service Corps, 256, 291

developing countries, xi

benefits of economic growth unevenly distributed within, 2627, 27f, 43

business as activist viewpoint and, 113

climate change and, 34, 228

continuing per-capita growth rate for, 2223

demographic shifts within countries and, 2728

economic growth in last half of the twentieth century and, 1920

education, income distribution, and mobility in, 30, 68

energy availability and development of, 5253

food prices related to oil prices in, 53, 54t

global companies in, 21

income distribution and, 1920, 2324, 206207

megacities in, 220, 225, 226, 228

middle-class expansion and reduction in poverty and, 2425, 24f

migration patterns and, 3133, 31f, 209, 234

mobility barriers and income disparities in, 2829

population growth and poverty levels in, 25, 25f

public health improvements in, 226

sub-Saharan Africa’s slower growth rates compared with, 24, 25, 25f

underemployment of unskilled workers and, 33, 33t, 228

uneven growth rates across countries and, 25, 25f, 43

wage differential for unskilled labor and income inequalities in, 2930, 29f

water availability with increasing demand and, 3536

World Bank study on longer-term prospects for, 2223

development organizations, inadequacy of, 79, 113

digital information and communication, xi

corrupt governments and terrorism and vulnerability of, 240

threats from explosive growth of, xii, 215, 223

Dimon, James “Jamie,” 6, 251, 252, 257, 281, 284, 287288, 291, 293, 294, 303

Diniz, Ana Maria, 6, 302

disruptors of market system, ix, 4583

business as activist viewpoint and, 249

business as innovator viewpoint and, 249

collective action needed against, 246, 249

developing plans for addressing, 281282

environmental degradation and, 6466, 219

examples of businesses addressing, 248249

failure of the rule of law and, 6768, 219

feedback loop with, 99, 100f

financial system functioning and, 4550, 216217

global banking system and, 215

governments’ lack of economic strength or will to deal with, 222, 240

inadequacy of existing institutions and, 7582, 215216, 222

increasing strength of over last decade, 279

inequality and populism and, 5662, 215, 218

migration and, 6163, 218

need to anticipate problems and preempt breakdowns in, 84

new role for business and, 186

pandemics and, 7475, 221222

problems from interaction among, 215, 222244

public health and education and, 6870, 219220

radical movements, terrorism, and war and, 7374, 125, 221

state capitalism and, 7074, 220221

state of education and public health and, 6870

strategic opportunities from, 196201

strategies for addressing. See strategies for addressing disruptors

systemic approach to, 85102

trade and trading system and, 5056, 215, 217218

U.S. forum business leader on, 187188

distribution of income. See income distribution

distribution systems

antecedent resources of the market system and, 95

CEMEX in Mexico and, 196

China Mobile’s rural communications strategy in China and, 134, 135, 148, 149, 207

Cipla’s delivery of antiretroviral drugs (ARVs) in South Africa and, 136140, 248, 285

energy improvements and, 34

institutional infrastructure for, 95

ITC’s e-Choupal initiative in rural India and, 16, 196

market system participation by rural and urban poor and, 196, 207

diversity

as antecedent for market system, 94

capitalism and promotion of, 88

Donaldson, William H., 303

Dorsey, David, xv, xvi

Dow Jones Sustainability Index, 273

drought, and migration, 224225

drug abuse, as health issue, 68, 203

Duggan, Michael, 251, 254, 257

DyeCoo, 265, 268, 284, 293

Eastern Europe, migration from, 209

Ebola, 221222, 243

e-Choupal initiative, 1516, 17, 145

Eco15 (Economic Opportunities through Education by 2015), 259, 262263

ecomagination project, at General Electric, 127131, 248, 283, 284, 293

EcO Network, 283, 287

economic conditions. See also World Bank study on the global economy to 2030 (the “case” for discussion in forums)

climate change and, 210

corruption and, 241

decline of trade as influence on, 50

environmental degradation and impact on, 6566

financial crisis of 2008 and, 19, 43, 216, 218

immigration patterns and, 3233, 225, 226

impact of unexpected, 38

industrialization and growth in, 226

internationalist perspective of rebuilding after World War II and, 2021

National Intelligence Council’s “Borrowed Time” scenario on, 3942

part-time and temporary workers in, 208, 209

rise in oil prices and, 20

economic growth. See also World Bank study on the global economy to 2030 (the “case” for discussion in forums)

adoption of market capitalism and, 21

availability and price of resources and, 3637

benefits of, and uneven distribution within countries, 2627, 27f

China Mobile’s rural communications strategy and, 133134, 136, 207

climate change and, 3335

disenfranchised people and lack of benefits from, 42

education related to, 30, 69, 70

energy economy development and, 56

environmental impact of, 3335, 43, 66

financial crisis of 2008 and call for new view of capitalism and, 19

income gap changes and, 2324

last half of the twentieth century and, 1920

last two decades and, 3738, 36f

middle-class expansion and reduction in poverty and, 2425, 24f

migration patterns and, 3133, 31f, 234

mobility barriers and income disparities in, 2829

oil prices and, 3637, 56

public health improvements and, 226

rule of law and, 93

skilled labor and income inequalities in, 2930, 30f

sub-Saharan Africa’s slower rates of, 24, 25, 25f

underemployment of unskilled workers and, 33, 33t

uneven rates across countries for, 25, 25f, 43

unexpected future major disruptions and forecasts on, 3839, 39f

water availability with increasing demand and, 3536

Economist, 235

education

as antecedent for market system, 93, 94

as core problem area for forum leaders, ix

Cummins Community Education Coalition’s commitment to, 260262

economic growth and, 69

failure of as potential disruptor of market system, 6870, 219220

financial problems and lack of investment in, 70

forum business leaders on, 70

global progress in, 219, 220f

global workforce and, 208209

income distribution and mobility related to, 30, 6970, 94, 208209

industrialization and improvement in, 226

infrastructure of capitalism with, 77

interrelationships among migration, environmental changes, public health, and, 223228

philanthropy supporting, 208

poverty and, 116117

productivity and, 30, 68, 94

role of business leaders working with, 208209

scholarships in, 208

urban growth and, 225

weakness of, in richer countries, 215

Eigen, Peter, 171

elderly, and shifts within working-age population, 28

elections, social-media efforts to undermine, xii–xiii

electricity. See energy

Elkann, John, 302

emerging markets

business as innovator viewpoint and, 116

energy availability and development of, 5253

IBM’s approach to, 196

inequality and poverty in, 60

state capitalism adopted by, 92

emissions. See carbon dioxide emissions; carbon emissions; greenhouse gas (GHG) emissions

employment

Committee for Economic Development (CED) and planning for, 163167

education related to, 30, 69, 70

financial system functioning and, 46

income disparities and barriers to, 2829

Lincoln Electric’s piece-rate system and, 208

migration patterns and, 3233, 62

opportunities for immigrants in, 208

poverty and, 117

protectionist trade policies and, 50, 51

underemployment of unskilled workers and, 33, 33t

wage differential for unskilled labor and, 2930, 29f

enclave communities, 56

energy. See also oil industry

business as innovator viewpoint and, 118

in China, 5253, 53t, 55

coal-based utilities and, 53t, 55, 130, 131, 210

emerging countries and need for, 5354

General Electric and ecomagination project and, 127131

political factors and availability of, 5253

renewable forms of, 54, 129, 131, 217

Russia’s state capitalism and, 237, 239

scenario planning in South Africa and production of, 173

state capitalism and, 72

trading policies and, 5255, 95

wind power and, 66, 131

World Bank study on the global economy and assumptions about, 56

enlightened capitalism, 281

Enron, 131, 161162

Enterprise Solutions to Poverty (ESP), 6, 145, 303

environmental degradation, 280

business models and new strategies on, 282

capitalism and, 65

carbon dioxide emissions and, 66, 129, 131

carbon emissions and, 3435, 64, 66, 130, 144, 210, 211

climate change and, 3335, 43, 6465

coal and electricity generation in China and, 53t, 55

as core problem area for forum leaders, ix

corporate reporting and disclosure framework on, 295

demographic changes interacting with, 228

drought and migration from, 224225

economic impact of, 6566, 215

fishing stocks and, 65

flooding and sea level rise from, 64, 228

forum business leaders on, 6566

Generation Investment Management and, 141, 143, 282

governmental regulations and, 65, 66, 211

institutional investors and, 292

interrelationships among migration, public health, education, and, 223228

migration patterns and, 218

as negative consequence of capitalism, 89, 89f

Nike’s sustainability innovations for reducing its impact in, 249, 264265, 276, 282, 284

perception of threat from, 219

as potential disruptor of market system, 44, 6466, 219

sea level changes and, 64, 89

shareholders and, 293

Unilever’s sustainability plan and, 271, 272273, 274, 275, 276, 282

environmental policies

Brazil’s approach to, 66

business as innovator viewpoint and, 119

collaboration within industries on developing, 205206

corporate governance codes and guidelines on, 296

General Electric and ecomagination project and, 127131, 282, 294

role of business leaders working with, 204206, 211

stakeholder capitalism and, 297

UN plan on sustainable development and, 296297

wind power and, 66, 131

environmental, social, and governance (ESG) criteria, 295

Europe

Chinese investment in, 236

education and employment opportunities in, 69

financial crisis of 2008 and, 4647, 47t

migration issues in, 3233, 62, 63, 209, 225

protectionist trade policies of, 50, 226

recovery from financial crisis in, 232233

European Central Bank, 232

European Economic Community (EC), 20

European Union (EU), 20, 32

recovery from financial crisis in, 232

United Kingdom’s exit (Brexit) from, xiv, 218, 233, 240

Europe forum, viii

business leader members of, 302

education system failure comments in, 70

environmental degradation comments in, 65

failure of the rule of law comments in, 68

financial system functioning comments in, 4849

inadequacy of existing institutions comments in, 77, 7879, 80

inequality and populism comments in, 57, 5859

migration comments in, 62, 63

quotes from observations by business leaders in, 4850, 57, 5859, 62, 63, 65, 68, 70, 71, 7273, 75, 77, 7879, 80, 82

state capitalism comments in, 7174

evolution of viruses, 75

executives. See business leaders

exogenous (outside) influences in market system

Cipla’s delivery of antiretroviral drugs (ARVs) and combating, 126, 136140

description of, 9192, 93f

sustainability of market system and, 101, 102

ExxonMobil, 204, 205

Fanjul, Oscar, 302

farmers

business as innovator viewpoint and, 118

China Mobile’s rural communications strategy and, 135, 207

climate change and, 34

e-Choupal initiative in India and, 1516, 17, 145

immigrants and seasonal agriculture and, 209

mobility barriers and income disparities for, 2829

Nike’s sourcing from, 276

Unilever’s sustainability plan and, 271

Farr, David N., 303

Federal Housing Administration (FHA), 252

feedback loop, in market system, 99, 100f, 101

Financial Accounting Standards Board, 98

financial crisis of 2008, x

business as leader viewpoint on, 123

business as usual viewpoint on, 121

call for new view of capitalism after, 19

causes of, 216

Chinese policies and, 239

impact of, 43, 4648, 47t

importance of planning learned from, 83

middle-class decline and, 218

regulatory system and, 158

restoration of financial system after, 215

trade and the trading system and, 50, 50f

World Bank study on the global economy and data from, 22

financial markets

global competition and, 76

governance and, 76

pressure for short-term results in, 77

financial problems

business as usual viewpoint on, 121

investment in education and, 70

need for planning to anticipate, 83

Financial Reporting Council, 296

Financial Stability Oversight Council, xiii

financial system, 4550

accountability of institutions in, 48

business as activist viewpoint and weaknesses in, 110

community development financial institutions (CDFIs) in, 255, 256, 291

as core problem area for forum leaders, viii

derivative instruments in, 46, 48, 49, 161, 215, 231, 233234

disruption of, 4550, 215, 216217

forum business leaders on, 4850

friction between state capitalism and market capitalism and instability in, 237240

government regulation of, 89

hedge funds and, 49, 77

impact of financial crisis of 2008 on, 43, 4648, 47t, 216

instability of, as negative consequence of capitalism, 89, 89f

interactions among inequality, trade, and, 228237

lobbying against regulation of, 162

nonbank lenders in, 46, 216

private equity firms and, 49, 77

recovery from financial crisis and, xi, 229

risks to functioning of, 4546

subprime mortgages and, 216, 232

transparency in, 49

Fink, Larry, 296

fishing, and impact of pollution, 64

flooding, 64, 89, 219, 223, 224, 228

Fludder, Steve, 130, 131, 149, 193

flu epidemics, 74, 75

Flyknit technology, 265, 284

Flyleather technology, 265, 284

Focusing Capital on the Long Term (FCLTGlobal), 295

food

oil prices related to prices of, 53, 54t

overfishing and sources of, 64

Ford Foundation, 253

Ford Motor Company, 253

Foreign Corrupt Practices Act (FCPA), 169171

Fortune Global 500, 238, 264

forums. See also Asia forum; Europe forum; Latin America forum; U.S. forum

background to project using, viii, 46

business leader members of, 301303

challenges to market capitalism described in, 44

education system failure quotes in, 70

environmental degradation quotes in, 6566

failure of the rule of law quotes in, 6768

financial system functioning quotes in, 4850

flu pandemic quote in, 75

governments’ ability to deal with disruptors in opinion of, 222, 240, 244

inadequacy of existing institutions quotes in, 7781, 82

inequality and populism quotes in, 5760, 61

interpretation of definitions of market capitalism used by leaders in, 910

interviews with members of, 10, 14

meetings with business leaders in, 1012

migration quotes in, 6364

potential disruptors of market system described in, 4583

problems identified in, 1112

reactions to and observations on World Bank Study explored in, 42, 4484

sample selection of participants for, 67

state capitalism quotes in, 7174

terrorism and armed conflict quotes in, 7475

trade and trading system quotes in, 50, 51

World Bank study on the global economy to 2030 as “case” for discussion by, 1011, 2237

France, xiv

climate change and, 210

economic impact of Great Depression on, 38, 39f

recovery from financial crisis by, 232

free trade

NAFTA and, 157

retreat from, xiv

freshwater availability

climate change and, 34, 6465

increasing demand and, 3536

Fribourg, Paul J., 303

Functions of the Executive, The (Barnard), 148

fundamentalism, 90

Fung, Victor K., 6, 11, 301

Gallup surveys, 124

Gates, Bill, 207

Gazprom, 9, 237, 238

General Electric (GE), 6, 73, 196, 303

board engagement in programs of, 293

business leadership at, 147, 148, 212

close attention from top management in, 283

convention banning the bribery of foreign officials and, 170, 201

ecomagination project at, 127131, 147, 148, 149, 248, 283, 284, 293

Jeff Immelt’s efforts at, 11, 146, 147, 149, 283, 294

matching societal need to strategic issues of, 284

mitigation of environmental problems and, 282

personal conviction of leaders in, 294

Transparency International and, 171

General Motors (GM), 253, 254

Generation Investment Management, 212, 248

ability to learn by doing in, 289290

corporate organizational change in, 285

environmental, social, and economic issues and, 282

sustainable investing and, 140144, 147, 148, 196, 248

George, William W., 303

Georgescu, Peter, xv, xvi

Germany

climate change and, 210

economic impact of Great Depression on, 38, 39f

global network for car exports to, 235

postwar development of, 20, 239

recovery from financial crisis by, 231232, 233

trade surpluses in, 233

GHG. See greenhouse gas (GHG) emissions

Gilbert, Dan, 254

Gilinski, Jaime, 302

Gini coefficient, 29, 59

Glenny, Misha, 241

global economy. See also World Bank study on the global economy to 2030 (the “case” for discussion in forums)

adoption of market capitalism and growth in, 21

anticorruption efforts and, 170173

availability and price of resources and, 3637

benefits of economic growth unevenly distributed within countries in, 2627, 27f, 43

business as innovator viewpoint and, 118119

call for new view of capitalism in, 19

China’s Belt and Road (BRI) initiative and, 237

China’s dominance of, 217

climate change and, 3335, 210

demographic shifts within countries and, 2728

economic growth in last half of the twentieth century and, 1920

educated workers in, 208209

energy availability and, 5253

fall of the Berlin Wall and collapse of communism and, 21

financial crisis of 2008 and, 19, 43, 4748, 47t

financial markets and competition in, 76

friction between state capitalism and market capitalism and, 239

future role of Harvard Business School in, 14

income gap changes and, 2324

international governance and, 79, 113

internationalist perspective of rebuilding after World War II and development of, 2021

international patterns and slowdown of, 217

last half of the twentieth century and, 1920

middle-class decline in, 218

middle-class expansion and reduction in poverty and, 2425, 24f

migration patterns and, 3133, 31f, 209

mobility barriers and income disparities in, 2829

population growth and poverty levels in, 25, 25f

protectionist trade policies and, 50, 51, 95, 113, 188

rise in oil prices and, 20, 56

role of businesses working in, 200201

social media and, xiii

state capitalism and nationalist ideologies and, 92

sub-Saharan Africa’s slower growth rates and, 24, 25, 25f

technological and management structure changes and expansion of, 21

underemployment of unskilled workers and, 33, 33t

value-chain archetypes in trade and, 236

water availability with increasing demand and, 3536

Global Investors for Sustainable Development Alliance, 297

globalization

backlash against, xiv

Cummins plants and, 263

reduction in poverty related to, 2425

global politics

economic inequality and populism and, 218

extremist groups and populist leaders and, 245

ineffective institutions in forging deals in, 222

migration and, 218, 234

Global Reporting Initiative, 295

Global Sustainable Investment Alliance, 295

global warming, 34, 84, 223224, 224f. See also climate change

Goldman Sachs, 140, 141

Gore, Al, 140141

governance

businesses and need for strengthening, xvii, 250

Cleveland reforms and, 168

as core problem for business leaders, ix

corporate codes and guidelines for, 296

corruption-terrorism interactions and, 241242

environmental and demographic changes and, 228

financial markets and, 76, 163

forum business leaders on, 12, 57, 67, 71, 77

global economy and international, 79, 113

institutional inadequacy and, 7778

lessons learned from cases about, 292293

market capitalism and, 57, 101, 243244

market system shaped by, 9899

pandemics and failures of, 221, 242243

reinforcing antecedents needed for, 126

social and environmental concerns in, 296

social media and, xii

state capitalism and, 220

sustainability and, 142, 269

threats from failures of, 125

tools for generating innovative ideas for, 194

government

bribery and, 9394

business as activist viewpoint and, 110115

business as bystander viewpoint and, 107110

business as innovator viewpoint and, 115118

business as leader viewpoint and, 122124

business as usual viewpoint and, 121

causes of weaknesses in, 244

climate change policies of, 3435, 210, 211

cooperation between international institutions and, 79

education and, 69

energy availability and policies of, 5253, 54, 162163

environmental regulation by, 65

financial system regulation by, 89

forum business leaders on, 7779

inability or unwillingness to deal with disruptors by, 215216, 222, 240, 244

inadequacy of policies of, 7779

inadequacy of responses to disrupting forces by, 4445

income distribution and, 158

inequality and weakness or corruption in, 5758, 9394

infrastructure of market system and, 77, 98, 97f

interactions between corruption and terrorism and, 240244

lack of economic strength or will to deal with disruptors by, 222, 240

lobbying against regulation by, 108, 161162

market system and, 1718, 157158, 243244

migration policies of, 63, 158, 222, 224225

monitoring of, 67, 78, 114

pandemic control and, 221222, 242243

as part of “one integrated operating system,” 8586

pension obligations of, 217

protectionist trade policies of, 50, 51, 95, 111, 113, 188

public trust in, 123124

regulatory capture and, 160161

role of businesses working with, 198200

rule of law and, 67

security policies and terrorism and armed conflict issues and, 7475

short-term thinking by, 111

strategic engagement with critical problems by, 249250

watchdog organizations for, 67

Government Pension Investment Fund, Japan, 295296

Great Depression, economic impact of, 38, 39f

Greece, 232, 236

greenhouse gas (GHG) emissions

business as activist viewpoint on, 110

business as innovator viewpoint on, 118

cap-and-trade system and, 66, 178179, 197

capture technology for, 35

China and, 35

climate change from, 64, 65

Denmark’s controls on, 66

General Electric’s environmental projects and, 127, 128129, 130

income inequality and, 37

institutional innovation, 180181

investor engagement on, 296

Nike’s manufacturing innovations and, 276

production and transportation and, 65

role of business leaders working with, 210

Unilever’s sustainability plan and, 271, 273, 276, 286

U.S. Climate Action Partnership (USCAP) and, 177178

World Bank study on the global economy and impact of, 3335

Greenpeace, 269

Guardian, 271

Gulf of Mexico oil spill (2010), 123, 162163, 191, 204

Guterres, António, 240, 296

Haddad, Claudio, 302

Hajim, Edmund A., 303

Hamied, Yusuf Jr., 136, 137138, 294

Harvard Business Review, 271

Harvard Business School

global economy and future role of, 14

inquiry into issues with international business leaders as centennial project and, 57

Latin America Research Center, 302

mission of, 1

problems facing the market system and, 186

research and mission of, 3, 45

training MBAs by, 1, 5

hazardous waste transport, 206

health-care workers, and migration patterns, 209

health system. See also public health

as antecedent for market system, 92, 94

costs of care in, 202203

economic growth and environment and standards for, 66

important elements of, 68

poverty and, 117

productivity and, 68, 94

role of business leaders working with, 202204

hedge funds, 48, 49, 77

Heineman, Ben, 170

Herrero, Gustavo, 302

higher education, Cummins Community Education Coalition’s commitment to, 260261

HIV/AIDS

Cipla’s delivery of antiretroviral drugs (ARVs) and, 136140

impact on working-age population, 28

infection rates in, 74

as outside influence on market system, 90

quick spread of, 243

Hoffman, Paul G., 163164, 165, 166

Hong Kong forum. See Asia forum

Hoover Institution, 217

hospitals, immigrant health-care workers in, 209

Huawei, 235

Hume, David, 85

Hutchins, Robert, 164

IBM, 196, 207

Illich, Mike, 254

Immelt, Jeffrey R., 6, 11, 127, 128, 129130, 146, 147, 149, 283, 294, 303

immigrants. See also migration

birth rate decline and need for, 32, 209

challenges from, 31

economic growth and, 32

economic impact of, 3233, 70

employment opportunities for, 32, 208

forum business leaders on, 63, 70

government policies on, xiv, 32, 51, 63, 209

growth in number of, 31, 31f

institutional innovation policies and, 181

as percentage of population in, 227f

seasonal agriculture and, 209

slow growth in household income blamed on wages earned by, 234

U.S. government policies on, 234

inadequacy of institutions. See institutional inadequacy

inclusive capitalism, 281

income distribution. See also inequality

aging and changes in working-age population and, 28

AIDS infection rates and, 74

benefits of economic growth unevenly distributed within countries and, 2627, 27f, 43

business as usual viewpoint on, 121

child mortality and, 225, 225f

climate change and, 34

demographic shifts within countries and, 2728

developing countries and, 2324, 206207

education and mobility and, 30, 6869, 70, 94, 208209

government policies and, 158

health-care costs and, 202

impact of AIDS on working-age population and, 28

increasing gap in, 57

increasing returns to skilled labor and inequalities in, 2930, 29f

individuals at the top end of, 207208

infrastructure of capitalism and, 77

migration patterns and, 3133, 31f, 209

mobility barriers and disparities in, 2829

narrowing of gap in, 43

need for management of, 58

as potential disruptor of market system, 5662, 188189, 215, 218

poverty and, 60, 206207

real income growth by groups, after the financial crisis, 233t

real wage trends for middle- and low-income workers and, 230, 231f

recovery from financial crisis and, 229230, 229f

role of business leaders working in, 206209

Unilever’s sustainability plan and, 271

World Bank study on the global economy on changes in, 2324

India, 221

armed conflict concerns and, 74

climate change and, 223

e-Choupal initiative in, 1516, 17, 145

education, mobility, and income distribution in, 30

energy policy of, 53

environmental degradation and policies of, 65

HIV and AIDS treatment in, 136137

middle class and inequality in, 59, 218

philanthropy of wealthy individuals in, 207

rapid economic growth of, 19, 21

working-age population in, 28

Indiana University-Purdue University Columbus, 260261

industrialization, 226

industrial safety, 117, 204206

industry associations

health-care programs and, 203204

technical standards and, 97, 98

industry groups

collective action through, 198

environmental protection and, 205206

government regulation and, 197198

inequality, xi, xvi. See also income distribution

business as usual viewpoint on, 121

China Mobile’s rural communications strategy and narrowing gap in, 126, 131136, 207

as core problem area for forum leaders, ix

as disruptive force, 215

education and, 70, 208209

enclave communities and, 56

excessive compensation for CEOs and, 56

forum business leaders on, 5760, 61

friction between state capitalism and market capitalism and, 237240

government policies and, 158

individuals at the top end of the income distribution and, 207208

interactions among trade, finance, and, 228237

management of income distribution and, 58

migration and, 61, 209

moral question in, 59

as most significant challenge, 56

national government and, 5758

as negative consequence of capitalism, 89, 89f

political participation by poor and, 6062

political problems from perceptions of, 5859

populist politics in reaction to, 5657, 62, 84

as potential disruptor of market system, 5662, 188189, 215, 218

poverty and, 59

infant mortality. See child mortality

infrastructure

capitalism and, 77

General Electric’s environmental projects and, 130131

market system and, 9699, 97f

innovation. See also institutional innovation

business models and, 126

financial system functioning and, 48, 77

General Electric’s environmental projects and, 128, 129

market capitalism and, 9899, 280

potential threats to market system and, 159

innovation competitions, China Mobile’s use of, 134

innovator, business as, 105, 115120, 123, 126, 159160

Institute of Nuclear Power Operators (INPO), 197, 205

institutional activism, 153183

Cleveland Tomorrow project and, 167169

Committee for Economic Development (CED) and planning for employment and, 163167

indirect stakeholders and, 154

lobbying against government regulation and, 161162

new role for business and, 158159

scenario planning in South Africa and, 173175

institutional inadequacy

business enterprises and solutions to, 8182

business governance and, 7677

as core problem area for forum leaders, ix

forum business leaders on, 7781, 82

inability to cope with disrupting forces and, 4445

international governance and, 77

international and multinational institutions and, 8083, 244

national governments and, 7779

as potential disruptor of market system, 44, 7582, 215216, 222

systemic impact of, 75

weaknesses of governments and, 244

institutional innovation. See also innovation

business leadership in, 180181

central importance of good government and, 182

definition of, 180

greenhouse gas (GHG) emissions and, 180

motivation to engage in, 182

organizational structures and tools in, 182183

requirements of, 181183

self-organizing to promote collective action for systemic improvement in, 183

institutions. See also institutional activism; institutional inadequacy; institutional innovation; international institutions

as antecedent for market system, 92, 93f

scenario planning in South Africa and, 173175

sustainability of market system and, 101, 102

intellectual property, 137, 235

Cipla’s challenge to existing regime of, 138, 139, 147, 154

global pharma companies and, 137

trade mix dominated by services and, 217

interest rates, and central banks, 216217

Intergovernmental Panel on Climate Change (IPCC), 3435, 64

intermediate-goods markets, 96, 96f

International Chamber of Commerce, 201, 301

international institutions

climate change and, 210

inadequacy of, 7982, 244

role of businesses working with, 200201

International Integrated Reporting Council, 295

international issues

anticorruption efforts and, 170173

business as activist viewpoint and, 110111, 113115

International Labour Organization (ILO), 200201

International Maritime Organization (IMO), 200

International Monetary Fund, 20, 51

internet access

e-Choupal initiative in India, 1516, 17, 145

fragmentation into distinct territories of, xivxv

Interstate Commerce Commission (ICC), 160161

investment model, and Generation Investment Management and sustainable investing, 144, 248

Iran nuclear deal, 40, 222

ISIS, 221

Italy, xiv, 69, 219, 232

ITC, 1516, 145, 196

Ivy Tech Community College, 260261

Jackson, Andrew, 8

Jakurski, André Roberto, 302

James, Hamilton “Tony” E., 303

Japan, 51, 226

aging and demographic shifts in, 28

climate change and, 210

economic impact of Great Depression on, 38, 39f

economic slowdown in, 37

migration patterns and, 3233

postwar development of, 20, 239

sustainable investing in, 295

Japanese Very Large Scale Integrated Circuit Technology Research Project, 199

Japan Ministry of International Trade and Industry (MITI), 199

jobs

automation replacing, xiii

education related to, 30, 69, 70

income disparities and barriers to, 2829

Lincoln Electric’s piece-rate system and, 208

migration patterns and, 3233

opportunities for immigrants in, 208

part-time and temporary workers and, 208, 209

underemployment of unskilled workers and, 33, 33t

wage differential for unskilled labor and, 2930, 29f, 69

Jones, Hannah, 267, 268, 270

Jope, Alan, 276

Jordan, Michael, 265

JPMorgan Chase & Co.

ability to learn by doing in, 289

background factors for success of, 257

close attention from top management in, 283

collaboration with other organizations by, 286

communication with investors in, 292

community development financial institutions (CDFIs) used by, 255, 256, 291

corporate organizational change in, 285

defined governance structure in programs of, 293

Detroit investment by, 249, 250258, 276

Detroit model used in other cities by, 257

Detroit’s bankruptcy recovery proposal and, 254

Detroit Service Corps established by, 256, 291

discussions with Detroit officials by, 254255

four pillars for philanthropic efforts of, 284, 293

main areas of funding by, 255256, 258

matching societal need to strategic issues of, 284

overview of involvement in, 251252

personal conviction of leaders in, 294

political legitimacy issues in, 287288

quarterly review process in, 256257, 293

unique strategy of company in, 276277

varied approaches to funding by, 291

Kinder, Noel, 269270

Kindleberger, Charles, 51

Knight, Phil, 265266, 270, 290

Korea, 2021, 226, 239

Kraft Heinz, 275, 290

Kresge Foundation, 253, 254, 256

Kwok Ping Luen, Raymond, 301

Lafarge, 6, 11, 302

land reform, 69

Latin America forum, viii, 6

business leader members of, 302

education system failure comments in, 70

environmental degradation comments in, 66

failure of the rule of law comments in, 68

inadequacy of existing institutions comments in, 7677, 78

inequality and populism comments in, 59, 6061

public health and general education comments in, 70

quotes from observations by business leaders in, 44, 50, 59, 6061, 66, 6768, 70, 7374, 7677, 78, 112113, 114, 208

terrorism comments in, 7374

Latin American countries

climate change and, 223

distrust of government in, 112113

education in, 70

financial crises and policies of, 51

income inequality and political factors in, 6062

migration patterns and, 209

open economies and political regimes in, 21

philanthropy of wealthy individuals in, 208

state capitalism and nationalist ideologies and, 92

terrorism concerns in, 7374

law and legal institutions. See also rule of law failure

infrastructure of market system and, 97

leader, business as, 105, 122124

Lemann, Jorge Paulo, 6, 11, 302

less developed countries

education in, 69

underemployment of unskilled workers in, 33, 33t

Lever, William, 272

Lévy, Maurice, 302

Li & Fung, 6, 11, 301

life expectancy, global progress in, 219220, 220f

Lilly Endowment, 260, 262, 263, 291

Lincoln Electric, 208

Linebarger, Tom, 259, 263

Liz Claiborne Inc., 234235

lobbying

anticorruption efforts and, 170173

businesses and government regulation and, 108, 161162

health-care costs and, 203

U.S. Climate Action Partnership (USCAP) and, 176179

low-income countries

benefits of economic growth unevenly distributed within, 27, 27f, 43

continuing per-capita growth rate for, 23

health issues in, 69, 203

income distribution and, 2324, 57

middle-class expansion and reduction in poverty and, 2425, 24f

migration patterns and, 33

uneven economic growth across countries and, 25, 25f, 43

low-income workers

consumption spending and borrowing by, 230231

real wage trends for, 230, 231f

Lula da Silva, Luiz Inácio, 60

management structure changes, and economic growth, 21

Mandela, Nelson, 137, 173, 174

manufacturing

China’s Belt and Road (BRI) initiative and, 236

China’s companies in, 238, 239

Cipla’s delivery of antiretroviral drugs (ARVs) and, 136, 137

climate change initiatives and, 176, 178

Cummins programs for training in, 261, 263

environmental impact of reliance of cities on, 167

financial system stability and, 46

freshwater availability and, 35

GE’s experience in, 131

global network of factories in, 234235

global trade and, 51, 118, 161

government policies on industry practice in, 199

income distribution and mobility and, 28

industrial accidents in, 206

industry standards and, 98

protectionist trade policies and, 51

real wage trends for middle- and low-income workers in, 230, 231f

March of Folly, The (Tuchman), 150

Marine Well Containment Company, 205, 212

market capitalism

belief that system isn’t working for the individual, 5758, 94

as best system, 280

books and commentaries on failure of, xvxvi

call to action on, xviiixx, 246

challenges to, as seen by forum business leaders, 44

China and, 220, 221, 237

components of, 9596, 96f

as core of sociopolitical ecosystem, 9596, 96f

corporate corrupt practices undermining, 246247

corporate social responsibility and, 149151

corruption-terrorism interactions and, 241242

differentiated and interrelated submarkets in, 96

disenfranchised people and lack of benefits from, 42

e-Choupal initiative for internet access in India and, 1516, 17, 145

economic growth and adoption of, 21

effective governance and, 243244

facilitating conditions of, 7

fall of the Berlin Wall and collapse of communism and, 21

feedback loop in, 99, 100f, 101

financial crisis of 2008 and call for new view of, 19

forum business leaders on, 6364, 248249

friction between state capitalism and, 237240

functioning of, 3

global trade and, 239240

governmental policies and expansion of, 21

growing concerns about future of, xvxvi

impact of catastrophic events on, 75, 90

inadequacy of existing institutions to cope with disrupting forces to, 4445

income distribution in developing countries and, 206207

increasing threats of over last decade, 279

independent companies as core of, 185186

inequality as biggest threat to, 57

infrastructure of, 77

inquiry with international business leaders on health of, 57

internationalist perspective of rebuilding after World War II and, 2021

interpretation of definitions of, 910

key features of, 7, 9

need for role of business to change in, 34

negative consequences in, 8889, 89f

new role for business in, xvixviii, 186

outside influences on, 9192, 93f

as part of “one integrated operating system,” 8586

political backlash against, 56

positive outcomes in, 87, 88f

potential disruptors of, 4583

preconditions or antecedents for, 9295, 93f

private equity financing and, 49

private sector leadership for improved form of, xvii, 250

protectionist trade policies and, 51, 95

rise of state capitalism and, 71

sociopolitical system and, 85

state capitalism and, 215

technological and management structure changes and expansion of, 21

threats originating outside the market system and impact on, 4344

value created in, 87

variety of political and economic arrangements across countries for, 78

working definition of, 711

market system. See market capitalism

Marshall Plan, 167

MBA training

mission of Harvard Business School and, 1

success rate of entrepreneurs and, 5

McDonald’s, 118, 199200

McKinsey Global Institute, xiii, 236

Médicins Sans Frontières, 138

megacities, in developing countries, 220, 225, 226, 228

metal prices, and economic growth, 3637

middle class

continuing growth of, 43

education and, 70

health issues of, 68

inequality and, 59, 218

World Bank study on the global economy on, 2425, 24f

Middle East

migration patterns and, 209, 218, 234

rise and spread of ISIS in, 221

water availability and, 36, 6465, 223, 224, 225

middle-income countries

benefits of economic growth unevenly distributed within, 27, 27f

continuing per-capita growth rate for, 23

income distribution and, 2324, 56

uneven economic growth across countries and, 25, 25f

middle-income workers, real wage trends for, 230, 231f

migration, 245

anti-immigration sentiment and, 62

birth rates and, 32, 209

as core problem area for forum leaders, ix

corrupt states and, 241

direction of movement in, 209

drought and, 223224

economic conditions and, 226

economic impacts of, 3233, 95

forum business leaders on, 6364

government policies on, 64, 158, 222, 224225

inequality and, 61, 209

international regulation of, 158

interrelationships among environmental changes, public health, education, and, 223228

number of migrants by region of destination, 227f

ongoing crisis of, 215, 218

political factors and, 31, 3233

as potential disruptor of market system, 44, 6163, 84, 218

role of business leaders working with, 209

spread of pandemics and, 243

underemployment of unskilled workers and, 33, 33t

World Bank study on the global economy and changes in, 3132, 31f

Miller, J. Irwin, 263264, 294

Mills, Karen Gordon, 303

Minerals Management Service, 162

mines and mining, 51, 173, 178

Mitsubishi, 8

mobile phone service, and China Mobile’s rural communications strategy, 131136, 207

mobility

education and income distribution related to, 30, 69, 208

health system and education needed for, 94

income disparities and barriers to, 2829

migration patterns and, 209

philanthropy from wealthy individuals to assist, 208

wage differential for unskilled labor and, 2930, 29f, 69

moral issues

business as activist viewpoint and, 112

business as bystander viewpoint and, 108

inequality in capitalism and, 57, 59, 121

mortgages

black families in Detroit and, 252253, 258

business as bystander viewpoint on, 108

derivatives and, 231

financial crisis of 2008 and, 216

impact of FHA guidelines on, 252

subprime, 216, 232

multinational companies

anticorruption efforts and, 170173

migration policies and, 63

multinational institutions, inadequacy of, 7582, 113, 215216

Murray, David, 301

Muslims, violence against, 41, 221, 228, 234

National Institutes of Health, 10

National Intelligence Council (NIC), 3940

nationalist ideologies, xiv, 92, 228, 234

National Press Club, 266

NBC Universal, 130

Near East, Chinese investment in, 236

negative consequences of market system

description of, 8889, 89f

feedback loop with, 99, 100f

General Electric and ecomagination project and mitigation of, 127131

sustainability of market system and, 101, 102

negative-feedback loop, in market system, 99, 100f, 101

New York forum. See U.S. forum

New York Times, 138, 280

NIC Global Scenarios to 2025, 3940

Nicholas, Peter M., 303

Nigeria, 226, 228

Nike, 249, 264270, 276

ability to learn by doing in, 289

change to sustainability focus by, 268

collaboration with other organizations by, 286

corporate organizational change in, 285

corporate responsibility focus of, 266, 268, 284, 285

defined governance structure in programs of, 292293

environmental impact of products and, 264265

industry collaborations with, 269

matching societal need to strategic issues of, 284

organizational structure supporting programs in, 269270

personal conviction of leaders in, 294

scenario planning and, 267268

social protests as impetus for programs by, 265266

sustainability and product and process innovations by, 268270, 276

unique strategy of company in, 276277

varied approaches to funding by, 290291

visits to factories by, 266

nonbank lenders, 46, 216

nongovernmental organizations (NGOs)

business as activist viewpoint and working with, 114

General Electric’s environmental projects and, 128, 129

market system and, 1718

norms, and infrastructure of market system, 97

North American Free Trade Agreement (NAFTA), 40, 157

Nusterer, Norbert, 263

Obama, Barack, 234

obesity, as health issue, 68, 203

ocean pollution, 64

Odebrecht, 247

oil industry

BP oil spill in the Gulf of Mexico (2010) and, 123, 162163, 191, 204

Chinese petroleum consumption and, 5253, 53t

collaboration on research and technology within, 206

economic growth and, 3637, 56

environmental protection and, 204205

food prices related to prices in, 53, 54t

government policies and, 5455, 162163

impact of financial collapse of 2008 on the global economy and, 4748, 47t

prices in, 20, 3637, 5455, 56

Russian oil production and government policy on, 53, 54, 55f

Russia’s state capitalism and, 237, 239

Saudi Arabia’s wealth and, 53

state capitalism and, 220221

trade policies and, 51

United States as a net exporter in, 217

oil spill, Gulf of Mexico (2010), 123, 162163, 191, 204

Ong, Dato Timothy, 301

opioid abuse, 222

Organisation for Economic Co-operation and Development (OECD), 19, 47t, 51, 63, 170, 171172, 180, 229, 235

Working Group on Bribery of, 172, 201

organizational structures, and institutional innovation, 182183

Organization of the Petroleum Exporting Countries (OPEC), 20, 41, 51

organized crime, 94, 241

outside (exogenous) influences in market system

Cipla’s delivery of antiretroviral drugs (ARVs) and combating, 136140

description of, 9192, 93f

sustainability of market system and, 101, 102

Oxfam, 274

Pacific Gas & Electric (PG&E), 176, 246

Pakistan, 40, 69, 74, 226

pandemics

Cipla’s delivery of antiretroviral drugs (ARVs) and combating, 136140

as core problem area for forum leaders, ix

coronavirus, xiv, 222, 243

failing governance and impact of, 242243

flu epidemic in 1918 and 1919 and, 74

forum business leader on, 75

government control efforts in, 221222, 243

as outside influence on market system, 90, 93f

as potential disruptor of market system, 45, 7475, 100, 215, 221222

Pareto principle, 155

Paris Agreement, xi, 222, 245

Paris forum. See Europe forum

Parker, Mark, 265267, 270, 294

Pearlstein, Steven, xv

pension funds, 252, 292, 295296

pension obligations, 217, 254

Pepsi, 196

Petrobras, 54

petroleum industry. See oil industry

Pew Research Center, xiii

Peyrelevade, Jean, 302

pharmaceutical industry

Cipla’s delivery of antiretroviral drugs (ARVs) in South Africa and, 137140, 248, 285

development of new drugs in, 137, 139

philanthropy

Community Education Coalition funding by, 260, 262, 291

Detroit programs using, 251, 253254, 256, 291

problem of inequality and, 207208

Philippines, 32, 209

piece-rate system, at Lincoln Electric, 208

piracy, 90

Plymouth Colony, 279280

political conditions

as antecedent for market system, 94, 93f

anti-immigration sentiment and, 62

availability and price of resources and, 36

challenges from regressive and inward-looking political movements, 45

governments’ use of tariffs and, 218, 235, 239

growth of digital information and communication with new threats to, 21

immigration patterns and, 31, 3233, 209, 225

income distribution and, 5657, 5859

inequality and, 215

populist politics in reaction to inequality and, 5657, 62, 84

protectionist trade policies and, 51, 188

water availability with increasing demand and, 36

politicians

business as activist viewpoint and, 112113

government rules and, 78

protectionist trade policies and, 188

response to voters by, 188

threats to market capitalism from, 187

pollution. See also environmental degradation

BP oil spill in the Gulf of Mexico (2010) and, 123, 162163, 191, 204

carbon dioxide emissions and, 66, 129, 131

carbon emissions and, 3435, 64, 65, 66, 130, 144, 210, 211

coal-based utilities and, 53t, 55, 130, 131, 210

costs of, 55, 156

Cuyahoga River in Cleveland and, 167

impact of, 89

international treaties on, 64

ocean life and, 64

Polman, Paul, 270273, 275, 276, 283, 290, 294

population

aging and changes in working-age population, 28

economic growth rates related to growth of, 25, 25f

immigrants as percentage of, 227f

impact of AIDS on working-age population, 28

income inequality within countries and shifts in, 2728

migration patterns and, 3132, 31f

underemployment of unskilled workers and changes in, 33, 33t

populist politics, 245

global geopolitical tensions and, xiv, 245

immigration policy and, 234

as reaction to inequality, 5657, 62, 84, 180, 218

slow growth and economic competition in the developed nations and, 234

weaknesses in governments’ responses to, 244

Portugal, 232

positive deviance, 116

positive-feedback loop, in market system, 99, 100f, 101

positive outcomes of market system

China Mobile’s rural communications strategy and extension of, 131136

description of, 87, 88f

feedback loop with, 99, 100f

sustainability of market system and, 101

potential disruptors of market system. See disruptors of market system

poverty. See also income distribution; inequality

benefits of economic growth unevenly distributed within countries and, 2627, 27f, 43

business as innovator viewpoint and, 116117, 119120

China Mobile’s rural communications strategy and, 126, 131136, 207

climate change and, 34

education, income distribution, and mobility and, 30, 69

food prices related to oil prices and, 53, 54t

IBM’s Smarter Planet strategy and, 207

impact of catastrophic events and, 90

inequality and, 60, 206207

migration patterns and, 3133, 31f

political participation and, 6062

population growth and levels of, 25, 25f

role of business leaders working with, 123, 207

sub-Saharan Africa’s slower economic growth rates and, 24, 25, 25f

wage differential for unskilled labor and income inequalities and, 2930, 29f, 69

World Bank study on the global economy on reduction of, 2425, 24f

preconditions for market system, 9295, 93f

antecedent institutions and, 9294

antecedent resources and, 92

antecedent social and political conditions and, 94

feedback loop with, 99, 100f

as necessary foundation of market capitalism, 92, 99

price of resources, and economic growth, 3637

Principles for Responsible Investment, 295

private equity firms, 48, 49, 77

private goods, 106107

private sector

business as bystander viewpoint on, 123

China and, 238239

infrastructure of market system and, 98

JPMorgan Chase’s investment in Detroit and, 250, 254, 255

market capitalism and leadership of, 250

monitoring of government by, 67, 78

need for leadership from, xvii, 280281

as part of “one integrated operating system,” 8586

productivity, and health and education, 30, 68, 94

projections on the global economy to 2030. See World Bank study on the global economy to 2030

protectionist trade policies, 50, 51, 95, 111, 113, 188

psychological distance, 267268

public education. See education

public goods, and business as bystander viewpoint, 106107, 109, 122

public health. See also health system

child mortality, 219, 220f, 225, 225f

China’s economic growth and improvement in, 226

as core problem area for forum leaders, ix

developing world and, 226

failure of as potential disruptor of market system, 67, 219220

global progress in, 219220, 220f

governance weakness and, 244

industrialization and improvement in, 226

interrelationships among migration, environmental changes, education, and, 223228

spread of pandemics and weaknesses in, 243

unskilled workers and, 228

weakness of, in richer countries, 215

public policy, xvii

business as activist viewpoint and, 110, 114, 123

business as bystander viewpoint and, 107108, 109

business as innovator viewpoint and, 116, 123

business as leader viewpoint and, 123

business as usual viewpoint and, 121

strategic engagement with critical problems and, 250

Purdue University, 260261

Putin, Vladimir, 53, 237

Quicken Loans, 254, 256

radical movements

as core problem area for forum leaders, ix

inequality and, 94

outside forces and, 9192, 94

as potential disruptor of market system, 45, 73, 93f, 125, 221

Rain Forest Alliance, 274

regional forums. See Asia forum; Europe forum; forums; Latin America forum; U.S. forum

regulatory capture, 160161

Reich, Robert, xvi

religious fundamentalism, 90

renewable energy, 54, 129, 131, 217

research, and financial system functioning, 48, 77

resources

as antecedent for market system, 93f, 94

business as activist viewpoint and constraints in, 112

economic growth and prices of, 3637

sustainability of market system and, 101, 102

Responsible Care initiative, 206

Restricted Substance List (RSL) program, 269

Ricardo, David, 234

risks, and need for planning, 8283

role of business

authority and legitimacy and, 189191

climate change and, 210211

e-Choupal initiative for internet access in India as example of, 1516, 17

education and, 208209

environmental protection and industrial safety and, 204206

European business leader on, 189

health-care issues and, 202204

income distribution and, 206209

migration and, 209

need for change in, 34, 158159

new skill sets needed for, 191194

operating beyond the boundaries of the firm and, 193

out-of-the-box thinking and, 187189, 193194

rethinking, 185212

seeking out the views of outsiders and, 193

strategic opportunities from disruptors and, 196201

system perspective on, 1718

U.S. business leader on, 188, 189

working with international groups and organizations and, 200201

working with members of your industry and, 197198

working with national governments and, 198200

Rosin, Gustavo, 302

Roux de Bézieux, Geoffroy, 302

Royal Dutch/Shell, 173

rule of law failure

bribery and, 9394

as core problem area for forum leaders, ix

corruption and, 68, 93

forum business leaders on, 6768

legalistic and litigious environment in United States and, 68

populist leaders and, 245

as potential disruptor of market system, 44, 6668, 219

state-owned enterprises (SOEs) and, 240

watchdog organizations and, 67

rural communications strategy, and China Mobile, 131136, 207, 248

Russia

climate change and, 210

cooperation between international institutions and, 79

energy policy of, 54, 55f

state capitalism in, 72, 220221, 237238

Sacerdote, Manuel, 302

safety standards, 117, 204206

Sarbanes-Oxley Act, 117118

SARS pandemic, xiv, 75, 9091, 243

Saudi Arabia

climate change and, 210

oil policy and, 53

scenario planning

Nike’s use of, 267268

in South Africa, 173175

scenarios on the global economy to 2030. See World Bank study on the global economy to 2030

Schacht, Henry B., 303

Scher, Peter, 251, 252, 254, 255, 256, 257, 258, 283, 288, 293

scholarships, 208

Scholey, Sir David, 6, 302

sea level changes, 64, 65, 89, 228

Securities and Exchange Commission, 98, 303

security policies

consequences of neglecting problems and costs of, 245

economic system’s provision of, 7

free-market exchange and, 72

growth of digital information and communication with new threats to, 215

international movement of shipping industry workers and, 200201

organized crime and, 94

terrorism and armed conflict concerns and, 7475, 200

service industries

China Mobile’s rural communications strategy for, 132, 207

Chinese economy and, 238

decentralized approach to, 8

e-Choupal initiative in India and, 1516

educated workforce needed in, 208

environmental factors and, 127

financial system stability and, 46

General Electric and ecomagination project and, 127128

government policies and, 168, 207

health-care reform and, 203

industrial capitalism and, 72

innovative strategies and business models in, 159

migration patterns and, 62, 63, 201, 209

terrorism and conflicts interfering with, 73

trade mix and, 217, 236

wages and automated operations in, 230

shareholder primacy, xvii

Shell, 204, 205

short-term thinking, and public policy, 111

shipping industry, 63, 209

Siemens, 247

Siewert, Patrick T., 301

Singapore, 2021, 230, 239

Six Sigma, 121

skilled labor

education failures and shortage of, 69

income inequalities and, 2930, 29f

migration patterns and, 3233

part-time and temporary workers and, 208, 209

underemployment of unskilled workers and growth in, 33, 33t

Smarter Planet strategy, IBM, 207

Smith, Adam, 87, 157158

smoking, as health issue, 68, 203

social conditions

as antecedent for market system, 94, 93f

General Electric’s environmental projects and, 128

immigration patterns and, 3233, 63

unskilled workers and, 228

social development

business as innovator viewpoint and, 116

corporate social responsibility and, 149151

education and, 70

infrastructure of capitalism and, 77

socialism, 279

social issues

corporate reporting and disclosure framework on, 295

Nike’s product and process innovations and, 265266, 267

Unilever’s sustainable-living plan and, 271, 274, 275

social media, xi–xii, xiii, xiv

social network, and business as activist viewpoint, 114

social responsibility. See corporate social responsibility (CSR)

sociopolitical ecosystem

feedback loop in, 99, 100f, 101

forces as “integrated operating system” in, 8586

infrastructure in, 9699, 97f

market system as core of, 9596, 96f

negative consequences in, 8889, 89f

outside influences in, 9192, 93f

positive outcomes in, 87, 88f

preconditions or antecedents in, 9295, 93f

relationships among the potentially destabilizing forces seen in, 86

sustainability of market system and, 100102

South Africa, 21, 219, 288

AIDS infection rates in, 74, 137

Cipla’s delivery of antiretroviral drugs (ARVs) in, 137140

economic planning in, 288

education, mobility, and income distribution in, 30

scenario planning in, 173175

South Asia, 226

migration patterns and, 209

wage differential for unskilled labor and income inequalities in, 2930, 29f

South Korea, 2021, 226, 239

Spain, 64, 69, 231, 232

Spangler, C. Dixon Jr., 303

Sprunk, Eric, 268

stakeholder capitalism, 297

standards

accounting and financial disclosure and, 98

anticorruption policies and, 170, 171

collaboration on developing, 197

environmental protection and, 161, 197

global migration and, 63

health-care and, 66

industrial safety and, 117, 205206

industry-financed organizations for, 197, 205

infrastructure of market system and, 97, 98

international trade and, 201

market system operations and, 96, 97, 97f

oil industry and, 204

state capitalism

China’s Belt and Road (BRI) initiative and, 237

Chinese example of, 238239

as core problem area for forum leaders, ix

forum business leaders on, 7174

friction between state capitalism and, 237240

global trade and, 239240

market capitalism and, 215

as outside influence on market system, 9192

as potential disruptor of market system, 44, 7074, 220221

Russian example of, 237238

state-owned enterprises (SOEs), 238, 239, 240

Staton, Woods W., 302

Stiglitz, Joseph, xv

strategies for addressing disruptors

ability to learn by doing in, 288290

business objectives and, 294

close attention from top management in, 282283

collaboration with other organizations in, 286287

communication with investors in, 292

defined governance structure in, 292293

duty to create wealth for shareholders and, 281

lessons from the field for, 282

matching societal need to strategic issues for company in, 283284

need for leadership from the private sector in, 280281

organizational change or innovation in, 285

personal conviction of leaders in, 294

political legitimacy issues in, 287288

varied approaches to funding in, 290291

study on the global economy to 2030. See World Bank study on the global economy to 2030

submarkets in market systems, 96

sub-Saharan Africa

climate change and, 34, 223

slower economic growth rates in, 24, 25, 25f

substance abuse, as health issue, 68, 203

supply chains

global network of, 234235

Unilever’s sustainability plan and, 271, 276

Zero Discharge of Hazardous Chemicals (ZDHC) program and, 286

Sustainability Accounting Standards Board, 295

sustainability of market system, 100102

sustainability of natural resources

Nike’s product and process innovations for, 249, 264270, 276, 284

Unilever’s plan for, 249, 270276, 284

sustainable capitalism, 281

sustainable development, UN goals for, 296297

sustainable investing, 142144, 248, 295296

Sustainable Living Plan, Unilever (USLP), 249, 270276

swine flu pandemic, 75

Syria, 221, 224225, 242f

systemic approach, 85102

feedback loop in, 99, 100f, 101

forces as “integrated operating system” in, 8586

infrastructure in, 9699, 97f

market system as core of, 9596, 96f

negative consequences in, 8889, 89f

outside influences in, 9192, 93f

positive outcomes in, 87, 88f

preconditions or antecedents in, 9295, 93f

relationships among the potentially destabilizing forces seen in, 86

sustainability of market system and, 100102

system perspective, and new roles for business, 1718

Szent-Györgyi, Albert, 187

Taco Bell, 208

tail risks, 83

Taiwan, 2021, 226, 239

Tanoto, Sukanto, 301

tariffs

governments’ political objectives and, 218, 235, 239

growth in international trade, 21

Task Force on Climate-Related Financial Disclosures, 295

taxation

carbon emissions and, 66

education and schools and, 208

health-care costs and, 203

income distribution and, 207

rule of law and, 68

technological change

economic growth and, 21

education, mobility, and income distribution and, 30

health-care costs and, 203

industrial safety and, 205

wage differential for unskilled labor and, 2930, 29f

telecommunications, China Mobile’s rural strategy, 131136, 207

temporary workers, 208, 209

terrorism

as core problem area for forum leaders, ix

digital technology vulnerability to, 240

increase in number of fatalities from, 241, 242f

interactions between corruption and, 240244

Latin American forum business leader on, 73

as outside influence on market system, 9192

as potential disruptor of market system, 45, 7374, 221

security issues and, 73

Thailand, 226, 235, 239

Tisch, James S., 303

tobacco use, as health issue, 68, 203, 204

Tocqueville, Alexis de, 149150

Toyota, 284

trade and trading system,

anti-immigration sentiment and, 62

business as activist viewpoint and, 114

China’s Belt and Road (BRI) initiative and, 236

climate change and, 210

as core problem area for forum leaders, viii

disruption of, 45, 5056, 215, 217218

energy trading and, 5255, 94

fall in growth of, 235

financial capitalism and, 72

financial crisis of 2008 and, 50, 50f

financial system functioning and, 46

fiscal stimulus and automatic stabilizers and, 51

forum business leaders on, 50, 51

free trade and NAFTA and, 157

friction between state capitalism and market capitalism and, 239240

global economy slowdown and international patterns of, 217

global network of factories in, 234235

governments’ political objectives and actions in, 217218, 235, 239

inadequacy of international system for, 80

interactions among inequality, finance, and, 228237

pandemics and interruptions to, 75

protectionist policies of governments and, 50, 95, 111, 113, 188, 226

shift in consumption toward China and, 236

stresses in, 217218

trade implosion during 1930s and, 51, 52f

trade war between United States and China and, xiv, 245

United Kingdom’s exit from the European Union and, 218

value-chain archetypes in, 236

war and trends in, 215, 235, 245

working with national governments on, 198199

transparency, in financial system, 49

Transparency International (TI), 171, 172, 201, 219, 241

transportation

climate change and improvements in, 34

economic growth and, 21

emission of greenhouse gases and, 65

energy trade and, 52

government agencies and, 93

Trump, Donald, xiv, 234, 239

Tuchman, Barbara, 150

Uganda, and immigration patterns, 32

underemployment of unskilled workers, growth of, 33, 33t

unemployment

in Detroit, 253, 258

education completion and, 69

trade policy and, 51

unskilled workers and, 228

UNESCO, 219

UNICEF, 274

Unilever

ability to learn by doing in, 289

acquisition strategy linked to plan of, 274

CEO Polman’s vision for, 272273

collaboration with other organizations by, 286

contributing factors involving environmental impact of, 273274

corporate organizational change in, 285

defined governance structure in programs of, 293

environmental footprint of products of, 272273

goals of, 270271, 276

growth of sustainable-living brands of, 274275

matching societal need to strategic issues of, 284

personal conviction of leaders in, 294

Sustainable Living Plan and, 249, 270276

unique strategy of company in, 276277

varied approaches to funding by, 290

Union Carbide, 206

United Kingdom

climate change and, 210

economic impact of Great Depression on, 38, 39f

education, mobility, and income distribution in, 30

exit from the European Union (Brexit) by, xiv, 218, 233, 240

financial crisis of 2008 and, 47, 47t

migrants in, 234

recovery from financial crisis in, 233

United Nations, 20, 41, 218, 244

Principles for Responsible Investment, 295

United Nations Conference on Trade and Development (UNCTAD), 217

United Nations Intergovernmental Panel on Climate Change (IPCC), 3435, 64

United Nations Security Council, 40

United States

attitudes toward immigration in, 234

benefits of economic growth unevenly distributed within, 2627, 27f

challenges from regressive and inward-looking political movements in, 45

climate change and, 210, 222, 223

cooperation between international institutions and, 79

economic impact of Great Depression on, 38, 39f

financial crisis of 2008 and, 4647, 47t, 216

legalistic and litigious environment in, 68

migration issues in, 61, 62, 222

as a net exporter of oil and gas, 217

perceived government corruption in, 219

populist responses to income inequality in, 61

protectionist trade policies of, 50, 226

real income growth by groups, after the financial crisis, 233t

real wage trends for middle- and low-income workers in, 230, 231f

recovery from financial crisis in, 229230, 229f, 232, 233t

trade war between China and, xiv, 245

water availability with increasing demand in, 3536

United States Climate Action Partnership (USCAP), 129, 176179, 180181, 197, 210, 212

U.S. Defense Advanced Research Projects Agency (DARPA), 10, 199

U.S. Department of Agriculture (USDA), 199

U.S. Department of Commerce, 164, 165

U.S. Foreign Corrupt Practices Act (FCPA), 169171

U.S. forum, viii, 14

business leader members of, 303

disenfranchised people and lack of benefits mentioned in, 42

inadequacy of existing institutions comments in, 76, 78, 81, 82

inequality and populism comments in, 59, 60, 61

quotes by business leaders in, 42, 59, 60, 61, 76, 78, 81, 82, 187188

threats to market capitalism comments in, 78, 187

U.S. Minerals Management Service, 162

U.S. National Intelligence Council (NIC), 3940

U.S. Pension Guaranty Corporation, 217

U.S. Securities and Exchange Commission, 98, 303

universities, Cummins Community Education Coalition’s commitment to, 260261

unskilled labor

education failures and, 69

impact on country of, 228

income inequalities and, 2930, 29f, 69

migration patterns and, 3233

underemployment of, 33, 33t

Vanguard, x

Venezuela, 219, 241

Vietnam, 55, 226

viruses, evolution of, 75

voluntary associations, and technical standards, 98

wage differential

education and mobility related to, 30

employment opportunities for immigrants and, 208

excessive compensation for CEOs and, 56

individuals at the top end of income distribution scale and, 207

Lincoln Electric’s piece-rate system and, 208

migration patterns and, 32, 63, 209, 234

skilled labor and income inequalities and, 2930, 29f

trends for middle- and low-income workers in, 230, 231f

Wall Street Journal, 246

Walmart, 118, 247

Wang Jianzhou, 133134

WannaCry ransomware attack, xii

war

as core problem area for forum leaders, ix

as potential disruptor of market system, 45, 93f, 221

waste management, 35, 65, 143, 198, 206

wastewater treatment technology, 142

watchdog organizations, 67, 78, 114

water pollution. See also environmental degradation

BP oil spill in the Gulf of Mexico (2010) and, 123, 162163, 191, 204

Cuyahoga River in Cleveland and, 167

fishing stock declines and, 64

impact of, 40, 89

water resources

climate change and impact on, 34, 65, 223

increasing demand and availability of, 3536, 142

Nike’s manufacturing innovations and, 265, 267, 268269, 284

production costs and use of, 65, 128, 129

public health and, 68

role of business leaders working with, 197

Unilever’s sustainability plan and, 271, 273274, 276, 286

wealth. See income distribution; inequality

Weed, Keith, 273, 283

wind power, 66, 131

Wolf, Martin, xv

Wolfe, Mark, 240

working-age population

demographic shifts within countries and changes in, 2728

education, mobility, and income distribution for, 30

mobility barriers and income disparities for, 2829

skilled labor and income inequalities in, 2930, 29f

working conditions

business leaders and addressing problems in, 208

business as usual viewpoint on, 121

Working Group on Bribery, OECD, 172, 201

World Bank research

availability and price of resources in, 3637

global income statistics from, 20

World Bank study on the global economy to 2030 (the “case” for discussion in forums), viii, 1011, 2237

benefits of growth unevenly distributed within countries in, 2627, 27f

central (base-case) scenario in, 22

continuing per-capita growth rate and, 23

data from financial crisis in 2008 and, 22

demographic shifts within countries and, 2728

developing countries in, 2223

education, income distribution, and mobility in, 30

energy economy development and, 56

global climate change and, 3335

high-growth scenario in, 22, 23

income gap changes and, 2324

interpretation and evaluation of data in, 37

middle-class expansion and reduction in poverty and, 2425, 24f

migration patterns and, 3133, 31f

mobility barriers and income disparities in, 2829

reactions and observations of forum business leaders to, 42, 4484

population growth and poverty levels in, 25, 25f

skilled labor and income inequalities in, 2930, 29f

sub-Saharan Africa’s slower growth rates and, 24, 25, 25f

underemployment of unskilled workers and, 33, 33t, 228

uneven economic growth across countries in, 25, 25f

unexpected future major disruptions and forecasts in, 3839, 39f

useful insights from forecasts in, 23

validity of projections used in, 22

water availability with increasing demand and, 3536

World Business Council for Sustainable Development, 274

World Economic Forum, 113, 295, 297

World Health Organization (WHO), 137, 138, 222, 243, 286

World Trade Organization (WTO), 21, 138, 140, 237, 238, 240

Wu, Eric Tong-Sheng, 301

Xi Jinping, 221, 238

Young, Coleman, 251

Zane, Bob, 235

Zero Discharge of Hazardous Chemicals (ZDHC) program, 269, 286

Zika outbreaks, 243

Zobel de Ayala, Jaime A., 6, 301