Toward an enlightened form of capitalism: The changing role of private organizations in the context of global affairs

Abstract

In today's fast-changing world, the role of business, government, and civil society actors are being redefined. Enormous challenges related to climate change, inequality, populism, and technology necessitate that private sector organizations rethink their responsibilities and approaches. This provides opportunities as well as challenges. Based on our in-depth research on private sector organizations, as well as a systematic review of the most relevant developments related to the global economy over the last 15 years, this chapter lays out a framework of how enlightened capitalism can emerge, based on the novel approaches of impact-focused organizations. Analyzing the past and future of global affairs via the prism of the global economy, this chapter shows how purpose-orientation, co-opetition, innovative multi-stakeholder-partnerships, and community-led approaches grounded in an enlightened self-interest will shape the future of global affairs in the decades to come. It captures how, in a world of discontinuities and disruptions-in which the only constant is change-individuals and organizations can develop the capacity to deal with the unexpected and play an effective role in tackling society's most pressing challenges.