Business organizations are constantly faced with serious social, environmental and economic challenges and in order for them to stay in the game, they need to adapt, innovate and change on all levels including management and leadership. Therefore, It is no wonder that business leaders reinvent themselves and extend their focus beyond financial performance to environmental and social considerations. Such a way of thinking is now necessary and mandatory in order to make the world a better place to live and work in. The world economic system; according to experts from The Capital Institute, is closely related to and dependent on the environment. Unfortunately, the modern economic theory failed to acknowledge this reality and has had profound, vast and far-reaching consequences, not least of which is global climate change and political instability.
Now many believe that the current capitalist system has created extreme levels of inequality, which in turn led to a host of ills, including economic stagnation. It could even be argued that it is partly responsible for the rise of terrorism around the world. To avoid collapse, the world needs to move beyond the standard choices of capitalism or socialism. What the world needs now perhaps, is a new system built around the idea of entrepreneurship and a regenerative (sustainable) economy that recognizes the wholesomeness of the economy and the need to understand the dynamic relationships amongst several of its parts. In practice, this may lead to close analysis of supply chains, investigations of the effects of water use, circular economy initiatives, community economic development work, and other sustainability efforts. A new commitment to preserving the planet’s resources and the environment is the main responsibility of all peoples living on this wonderful planet. The new breed of business leaders, therefore, are social entrepreneurs, nonprofit leaders, investors, animal rights advocates, authors and even religious or community leaders. The one thing they all have in common: they are all working towards a better world. They care for the environment and look for sustainable means of doing business and consuming energy in a responsible and ethical manner.