Making women key to an economy
Capitalism is an economic ideology that has prevailed in most nations of the world. And it has done so through constant modeling and remodeling, so as to adapt to different economies. And as we embark upon 2015, this dynamic medium is at the brink of yet another modification with- a term coined recently- “inclusive capitalism.”
The change is in the demographic composition of the capitalist battlefield. Stepping up to the plate, amongst many others, is this key group: women. After the entire world has indulged in heavy discourse over bringing women above the surface- especially after “Lean In,” by Anne-Marie Slaughter, by speculation over Hillary Clinton’s presidential run – their current standpoint is formidable.
Women are uniting on platforms such as Ellevate and Women 2.0, on realizing the commonalities in their interests as a group. As part of these programs, they bring each other up by sharing their knowledge and experience and offering their expertise in the form of mentorship. Platforms like Indiegogo have also pledged to make their capital raising policies more inclusive.
The resulting bunch of leaders shall exhibit a revolutionary set of differences in their approach and results, predicts Sallie Krawcheck. She lists the trickle-down effect to all the tiers of the economy, in this PBS Newshour article.
Looking at the larger picture- the entire economy will grow, quantifiably. More economic participation will result in more economic demand, again leading to higher economic participation. This healthy succession will contribute to a 7 to 9 percent growth in the American Economy, and even more so in some other countries.
With the correlations between testosterone and risk-taking well-documented, women are proven to be less reckless. A more judicious shop floor exponentially minimizes the risk of yet another financial crisis. Also, we tend to attribute success stories to standalone cases of genius- and often underrate the other factors that also go behind one. Diversity in perspective is key to innovation, as people from different backgrounds, with different identities and hence, varied cognitive skills will bring a lot more to the table. In fact, studies have proven that diverse teams outperform an overtly qualified team form the exact same background.
[Picture Credits: PBS Newshour]
Besides, women encourage morality in business in various ways. They gravitate towards jobs with more “meaning and purpose,” as opposed to other superficial reasons or snob appeals. CatchAFire’s research also highlights that 79 percent of millennials seek to work at companies that are socially responsible. Companies looking to make hires in either category will be compelled to make the necessary value-adds to their profiles. Furthermore, as women and millennials increase their wealth, their investments will grow. And as their investment choices will also be an extension of their workplace ideals of seeking social responsibility, it will force all companies to comply, in order to tap that market.
Women also consciously investing in companies with greater diversity will grant them more business results, putting greater capacities in its women investors to further invest in companies with greater diversity.
With the need for full economic engagement establishes itself more and more, smart companies will definitely respond by devising more flexible policies to accommodate women with other responsibilities. Even though they claim to have the required degree of flexibility, women who are still caught weary of the juggling act between work and home, beg to differ. This could be achieved as entire industries are re-shaped, following the examples of some that have already. For instance- Pediatricians who work early morning and evening hours; vets who work weekends and make housecalls.
Most importantly, more women on top will ensure minimalization to a complete ousting of the disparity between the monetary compensation awarded to male and female co-workers working at the same level. This will compound to better retirement funds, creating more social security savings and a lower funding gap.
Things are certainly looking up in 2015, and let’s hope that inclusive capitalism gains as much mileage as one would like, for healthier economies world over.
ORIGINAL SOURCE: PBS Newshour