Publications
Publications
- 2021
The Changing Role of Business in Society
Abstract
Business interaction with the U.S. government, historically based on securing industry or company special interests at the expense of the public good, has enabled and furthered government dysfunction. Gridlock within the American political system has precluded the enactment of badly needed policy solutions, which exacerbates Americans’ declining quality of life, as measured by the Social Progress Imperative’s Social Progress Index.
In previous work with Katherine Gehl, I explain that the U.S. political system operates as a duopoly, which enables unhealthy competition based on ideology rather than policy solutions. I now expand on this thesis to explore the complicity of business, which is the main funder of the U.S. political system, in enabling duopolistic competition, which has worsened citizen quality of life and harms U.S. competitiveness, and the overall business environment. Put simply, government is not working for anyone.
Encouragingly, business is beginning to accept its responsibility to society. The very nature of business competition is shifting, as companies work to address social and economic needs through profitable business models, thereby creating shared value.
In previous work with Katherine Gehl, I explain that the U.S. political system operates as a duopoly, which enables unhealthy competition based on ideology rather than policy solutions. I now expand on this thesis to explore the complicity of business, which is the main funder of the U.S. political system, in enabling duopolistic competition, which has worsened citizen quality of life and harms U.S. competitiveness, and the overall business environment. Put simply, government is not working for anyone.
Encouragingly, business is beginning to accept its responsibility to society. The very nature of business competition is shifting, as companies work to address social and economic needs through profitable business models, thereby creating shared value.
Keywords
Politics; Shared Value; Social Progress Index; Competitiveness; Walmart; BlackRock; ESG (Environmental, Social, Governance) Performance; ESG; Transparency; Campaign Contributions; Campaign Finance; Lobbying; Revolving Door; Political Ideology; Political Parties; Political Partisanship; Government And Business; Government Innovation; Elections; Democracy; Capitalism; Stakeholder Capitalism; Shareholder Engagement; Competition; Strategy; Government and Politics; Society; Social Issues; Human Needs; Wealth and Poverty; Business and Community Relations; Business and Government Relations; Corporate Accountability; Financial Services Industry; Banking Industry; United States
Citation
Porter, Michael E. "The Changing Role of Business in Society." Working Paper, July 2021.
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