Technology is changing the nature of capitalism. The old fashioned cleavage between capital and labour has become quite more fluid: probably, a tech savvy young professional can produce more value than a CNC machine tool (quite a provocative example, but worth thinking indeed). Therefore, knowledge is the new capital, and most often is paired to individuals, as to say the new economy has far less barriers for newcomers, increasing the push to innovate, and reducing the life cycle of products and services.
There are new ways to interact with customers, and they have become the first referrals. Social media is not a recreational tolls only, and companies have discovered it in full: creating a community is much better than having a customer plateau. In few words, winning customer hearts is the most important conversion process.
After Friedman theories have become somehow inadequate, social footprint is the new prestige. Gordon Gekko’s greed is neither fashionable nor good, and the 2008 crisis taught us well; moreover, COVID-19 pandemics has also shown the importance of community cohesion. Therefore, as entrepreneurs are one of the most central and innovative part of their communities, why should they act egoistically? Basing on academic debates -which have shifted to business circles in recent times- sustainability and positive externalities at community level will be the new way to measure corporate success.
Local economies have become more and more inter connected with its peers on a global scale. First, production of a good is far less geographically identifiable: unless referred to a recognized, and somehow niche product, global value chains have taken over even among SMEs. Second, millions of people have come out from poverty, thus becoming prospective consumers.
However, global trade, online platforms and information sharing have shaped a new economy as well as new critical features. Cyber threat has become highly disruptive, and firms should tackle it seriously, investing adequate resources.
Climate change is also a repetitional and a truly forward looking issue. The free market model is far from being perfect, and a public action to reduce emissions should be supported by a moral coalition between firms and their customers: the new mantra is sustainability and positive social impact.