Name: Is 2019 the year companies became more caring? | FT
Uploaded: 2020-03-19T22:21:37.000Z
Duration: 6 min 20 s
Description: Thousands of YouTube videos with English-Chinese subtitles! Now you can learn to understand native speakers, expand your vocabulary, and improve your pronunciation...

ANDREW HILL: Trust is still low 10 or more years

after the financial crisis, and that seems a good enough reason

to say we need to rethink the various fixes that

were put in place after the 2008-2009 crisis

and see what more profound change can be brought through

A movement to reset capitalism is already underway.

One opportunity in 2020 is that lots of business people

are now talking about purpose and the need

to instil new ways beyond pure shareholder value.

GILLIAN TETT: What you're seeing happening

today is a very necessary return to stakeholder capitalism,

if you like, i.e., the idea that business and markets should

We're not just moving from a world of narrow shareholder

We're also moving towards a world where investors

increasingly recognise they need to look at the long term.

You need to have a wider sense of what context you're

KATIE MARTIN: Investors and business executives are people

Those children are skiving schools on Friday

And this really sharpens the issue for people.

Suddenly, investors are looking much more seriously at,

how do we become good stewards of the global environment?

How do we look ourselves in the eye in 20 years

time and think that we did the right thing?

ANDREW HILL: Each year that we advance into the 21st century,

a younger generation is worried about the purpose

of the corporation, the purpose of capitalism.

that people will be able to lead this change in 2020 in ways

that they weren't necessarily in previous years.

Well, there's lots of statistics out there

These young people are going to become customers

of banks, of pension providers, of the entire financial

to come from firms looking to snag business from these people

as they develop wealth, as they become older,

ANDREW HILL: There will be an increasing clamour of people

asking for business leaders to deliver on promises that they

made in 2019, notably, the Business Roundtable.

People will start asking those 180 or so signatories

of that statement, what have they actually done in 2020?

KATIE MARTIN: For the finance and market sectors

that I'm primarily focused on, the real thing

is figuring out how to get money to green projects.

How do we help companies that are trying to transition away

from being dirty, oily companies into green technology?

Where does the money come from for that process?

That's what bankers and investors are definitely

And they know that if they don't get this right,

that next generation, the Greta Thunberg generation,

is not going to be interested in using their services.

although we might hope in 2020 for there to be more regulatory

and policy change to try and reset and curb the worst

presidential election and impeachment, and also,

GILLIAN TETT: So any investor who's looking at a company

or the corporate landscape needs to recognise that if you ignore

those risks, you're in danger of essentially seeing the value

So if you want to understand the reset that's

going on right now, it pays to think about fear and greed.

Essentially, what you have are many C-suites who are waking up

and realising that if they don't start paying attention

to stakeholders, they face regulatory pressure.

And they also face potential investor pressure.

Some companies also recognise that if they start looking

at stakeholders more broadly, they can build for the long

If they can get ahead of the really important

social and environmental changes right now,

be that renewable energy, be that non-meat alternatives,

be that other ways that you can tap into the growing concerns

amongst consumers for sustainable products,

can make more money in the long term anyway.

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Is 2019 the year companies became more caring? | FT

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