The focus of moral governance of the annual meetings in Switzerland has been innovative and valuable, say the authors, but loses sight of fundamental issues.
At the World Economic Forum attended by leaders from around the world and different professions. Photo: WEF
The recently completed in Davos, Switzerland World Economic Forum (WEF, for its acronym in English) turned 45 years of bringing together entrepreneurs , politicians, international organizations, the media, scientists and celebrities, which every year discuss the big issues of our time, such as poverty and youth unemployment, and claim they are solving some of them. However, a recent study shows that although the forum has been instrumental in many respects, their approach not only can not really solve the problems, it helps to perpetuate them.
The study by researchers at consumers Markus Giesler and Ela Veresiu, University of York, was published in the Journal of Consumer Research and explores the impact of the WEF discussions and messages about the company and consumers. This is the first ethnographic analysis was divided into three levels; First, interviews with delegates of the WEF in various fields, such as business, politics and science, to understand their values and self-reflection of the event was held.
Second, a content analysis was conducted detailed qualitative and all materials published by the WEF, ranging from annual reports and brochures to video materials and all session protocols published automated.
Third, policy documents were analyzed to learn how governments and larger institutions like the UN, have changed their strategy in response to the ideas emanating from the forum.
Through a talk by correspondence with Markus Giesler and some of Ela Veresiu the answers given to the frequently asked questions page in mgiesler.com/davos offer here an overview of this work that puts into question one of the most influential institutions in the world today.
What is the focus of your study?
EV. We are consumer researchers, so in this study we asked about the impact of the WEF in regular consumers. The WEF says is attacking problems such as poverty, global warming, chronic illness and debt. We found that rather than solve these problems, the WEF has contributed to reshape these [...] has diverted attention from traditional solutions to solutions that emphasize the role of individual and responsible actors. In particular, four types of responsible consumers who have already become commonplace: the consumer base of the pyramid, green, health conscious and financial culture
MG.. Inequities between rich and poor are well documented. Our study takes a look at the influence of institutions like the World Economic Forum in maintaining these inequities. The forum ensures that helps fight these discrepancies, but we find that it is exactly the opposite. Has been one of the instruments that have been perpetuated over time
isn’t have always been these consumers?
EV. They are a fairly recent phenomenon. For example, the idea that ending poverty is to empower the consumer base of the pyramid with opportunities such as microcredit has much influence the WEF. Also the idea that the financial culture based on consumption is key to overcoming debt. So we’ve seen a shift to the right to social protection and redistribution at a level of ethical consumption. In this, the WEF has been very influential.
What the delegates found?
EV. Perhaps the most defining characteristic of men and women who go to Davos is the firm belief that society needs a moral reform. Moral solutions based on individual ethics are seen as more effective than political solutions, such as incorporating the rights to social protection and redistribution.
So, delegates in Davos see themselves as a enlightened elite species guided by ethical considerations, which has been called to preserve the common good of populist temptations.
This based on moral thinking focuses on the consumer and follows a process we call accountability of consumer.
First, delegates in Davos change the focus of the problem at hand and take it to the level of individual consumption. For example, poverty is not the result of systematic inequities, but derives from the power of unethical decisions of producers and consumers.
After the delegates in Davos promote the idea that the best way to promote ethics is greater inclusion in the market.
Third, it is recommended to governments that allow the creation of new markets to adopt this inclusion. Finally, individual and institutional actors, like companies, executives and, above all, consumers are encouraged to adopt the new ethical problem solver. The responsibility is now shared.
MG. We found that participants are convinced they are making a positive difference in society. One could argue that they are out of touch with the social, moral conviction to help improve the state of the world is stronger than their ability to recognize the implications of the growing gap between rich and poor.
Is it a problem of solutions offered or how they are made public?
MG. The problem is that solutions based on individual moral (such as buy greener products or make decisions for greater financial literacy) always will perpetuate existing inequalities, since it does not take into account the transfer of wealth from rich to the poor.
-¿El Forum is an example of economic inequality rather than its solution?
MG. The forum is an example of a particular form of governance where the rich hold a kind of moral leadership and see themselves with moral duty to teach ordinary people the respect of skills. A good example of this is the billionaire Jeff Greene, who flew to Davos on a private plane with two nannies and his wife, but argued that ordinary citizens should adopt a more modest lifestyle.
-¿ What impact does this have?
EV. Critics often reduce to a simple WEF meeting of networking with little impact on daily life and consumption. In contrast, our findings show that the moral leadership of the forum has had a significant policymaking at global, national and regional levels impact and, therefore, in the life of the people.
We show this by analyzing how national governments have gradually adopted the ethical policies originally given and popularized in the WEF. This can be displayed using terms such as “consumer”, “citizen”, “responsible” or “options” over time examining how legal or, in the case of the UN, for example, documents the institutional focus has shifted from emphasize the separation of public and private spheres to encourage public-private partnerships.
Currently, the WEF is convinced that all problems can be resolved through a moral reform. Moral reform is certainly an important piece of the puzzle, and the WEF has been a true innovator in this regard. But it can not be the only one. The crux is that solutions based entirely on individual moral always have the money to strengthen existing economic inequities.
Then, the WEF should review their actions …
MG . The public and the media should be more critical of institutions such as the World Economic Forum. We hope the forum will be open enough to observe our results and maybe adopt a set of different strategies and approaches. Our study reveals some of the assumptions and beliefs that are taken for granted in the WEF, and that can help policy makers and efforts to find new ways to improve the state of the world at the World Economic Forum and elsewhere.
nelly.toche@eleconomista.mx
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