How Green and Yellow businesses will crush Orange businesses.

[CreamCat]

https://actualized.org/insights/conscious-capitalism wrote

Quote

If you are running a stage Orange business and you do not evolve your business into Green or above in the next 50 years, your business will be crushed by Green/Yellow corporations.

This made me think.

• Green and Yellow will focus more on their just cause and serving customers. Customers will choose businesses that serve customers better and also have just causes. This is good for brand image.
• Green and Yellow will focus more on the long-term health of their businesses instead of quarterly profits and making executives and CEOs rich. This is important for businesses built to last hundreds of years, not 10~30 years. For long-term business health, Green and Yellow businesses won't pay executives many millions of dollars per year. Executives of Green and Yellow businesses will probably be paid 200,000 USD ~ 500,000 USD per year, but engineers of those companies will be paid 100,000~300,000 USD per year.
  • How could Orange businesses that pay millions of dollars to executives compete with Green and Yellow businesses that invest those million dollars into R&D? They simply can't.
  • As a corollary, a Green/Yellow corporation beyond a certain size probably will even replicate academia in it to facilitate R&D. This means a new model for academia.
• Blue and Orange businesses run companies as if they were factories. This is unfit for knowledge work. This doesn't allow autonomy. Green and Yellow businesses allow knowledge workers to have autonomy and produce creative outcomes that change the world.
• A business built to last hundreds of years will try to grow 10~30% per year instead of 100%~1000% per year. Over 30~50 years, stable annual growth of 10~30% can produce corporations that are as big as google and can dominate this planet.

Edited January 1, 2019 by CreamCat

[Helios]

It depends on what the business goal is.