Let's discuss the future of our global economy and society. Specifically, I'd like to discuss women, and the role women will play in transforming our global economy and society over the next decade. I also want to share some thoughts on the role women will play in helping transform The Coca-Cola Company over the next decade and beyond.
Like so many of you, I usually start my day with National Public Radio. And driving into work one recent morning, I got stuck in Atlanta traffic and my attention turned to a report on the radio. It was yet another story about China's rise in the world. Some economists were predicting that China would most likely eclipse Japan as the world's second largest economy by the end of this year -- a full five years ahead of most previous projections.
Perhaps you heard the same report. China's GDP is projected to grow to more than $5 trillion dollars this year. Of course, a day doesn't go by without some new breathtaking statistic about China or India or Brazil, or some other fast-growing economy in the developing world. No one has done a better job chronicling the economic rise of the rest of the world than Fareed Zakaria. I've had the good fortune of meeting Fareed on a number of occasions and I am always impressed by his fascinating insights on the global landscape. In his seminal book, The Post-American World, he wrote at length about the nations that will be driving the 21st century economy, and the implications this will have on America.
I think there's another way of looking at this as well -- one that goes beyond national comparisons. In fact, I would say that real drivers of the "Post-American World" won't be China ... or India ... or Brazil -- or any nation for that matter. The real drivers will be women. Women entrepreneurs, women business, political, academic and cultural leaders -- and women innovators. The truth is that women already are the most dynamic and fastest-growing economic force in the world today.
Women now control over $20 trillion dollars in spending worldwide. To put that into context -- that's an economic impact larger than the U.S., China and India economies combined. But there's so much more to the story. Here in the U.S., women-owned businesses account for nearly $4 trillion dollars in GDP. That's right: $4 trillion dollars in economic output. This alone constitutes the fourth-largest economy in the world. Only the U.S., Japan and China are larger today.
Women's entrepreneurship doesn't stop at U.S. borders, of course. It is soaring around the world. In fact, today, one in 11 working-age women is now involved in entrepreneurship. And the highest percentages of women business owners are in markets you might not expect. Consider this: nearly 20 percent of working women in Thailand are entrepreneurs. In India, it's 14 percent; Argentina, 12 percent; Brazil, 11 percent; and Mexico and Chile 10 percent. And these percentages are rising every year.
So, let's for the moment forget all the talk about the "China Century" or the "India Century" or the "BRIC Century." The real story is that the 21st century is going to be the "Women's Century." As the world desperately looks for ways to restart and reset the global economy, the solution lies right in front of us. In the words of World Bank President Robert Zoellick, gender equality is simply "smart economics."
Now, I realize some of you may be scratching your head and thinking -- "Why is this guy so interested in women's empowerment issues?" That's a fair question. For starters, I have been managed by women all of my life ... beginning at birth with my mother. Now Defne and my daughter, Selin, continue that strong management tradition today. I like to think they've done a wonderful job.
Selin is also in the early stages of her professional career. I would like to see my daughter flourish professionally in a world that is more just and equitable for women, and where the benefits of diversity are fully appreciated. I also a feel a deep and personal obligation to uphold the legacies of my father and father-in-law -- men of great principle who worked tirelessly to promote the rights of all men and women.
And, of course, as a business leader and someone who has been given the responsibility of creating shareholder value for the world's most recognized brand -- I feel a tremendous sense of urgency in ensuring that conditions are ripe for women to thrive around the world.
Call it self-interest ... or enlightened self-interest -- it really doesn't matter. Creating a climate of success for women globally is just simply smart business for a consumer-products company. It's smart business for any company. Empower women and you recharge the world.
In recent months, magazines ranging from Business Week to The Economist have cited studies that show a direct correlation between women's empowerment and national GDP growth, business growth, environmental sustainability, and improved human health, just to name a few things. The community, social, and family implications are vast. For instance, there's no question that women influence public opinion inside the home.
At Coca-Cola we have massive banks of information on shoppers and consumers around the world and all of our data points to women as the household opinion elites. Women determine what comes into the home and in what quantity and frequency. It's probably no surprise to you that women account for the majority of purchase decisions for our beverages. In fact, they represent 70 percent of all grocery shoppers.
At Coca-Cola, we can't grow our business or reach any of our long-term business goals without greater women's economic empowerment and entrepreneurship around the world. In fact, no business or economy will be able to grow without this. All the growth projections we've been hearing about for the coming years -- for China, for India, for Africa, for North and South America -- none of it will be possible without women's economic empowerment.
The only way a projected billion people will rise to the middle class in the next 10 years... the only way the world will grow $20 trillion dollars richer... the only way more nations will rise out of poverty and become more politically stable... will be by women achieving gender parity on a global scale.
If we fail in this regard, the world's economy will fail.
While business and society have made great progress in recent years, the journey has just begun. We still see too many roadblocks to women's empowerment. Cultural roadblocks ... educational roadblocks ... political roadblocks ... financial roadblocks, and technology roadblocks, to name just a few. I had a great conversation not long ago with President Obama's Ambassador-at-Large for Global Women's Issues, Melanne Verveer. Ambassador Verveer said something very poignant about the persistent lack of access to capital for women entrepreneurs.
She said, and I quote: "Too many of the best business ideas die in bank parking lots. That's got to change and it will change." Here I'd like to outline 3 concrete ways that business, government and academia can have a significant impact in generating female empowerment around the globe.
Rahim Kanani: An In-Depth Interview With Tiffany Dufu, President Of The White House Project
This is the problem with belief systems-- everyone thinks they have correct and dominant view and that for the most part everyone should and probably does agree with them. And then, as mentioned, the discussions typically end up something akin to: "If you agree with me and scratch my back, I'll rub yours; if you disgree with me, I'll turn my back on you"-- feminists seem to prefer to listen only to other feminists as an isolated society.
Feminism is a religion and its time to be an athiest. Time to grow up.
Having recently travelled to Africa and Asia, one of the most startling realities is the large number of young men who are underemployed, unemployed, undereducated in nations with oppressive regimes. And yet at the same time, these regimes are generating more women graduates. And then I'm reminded of some comments I heard recently from Mort Zuckerman and Donald Trump: they both prefer women apprentices and assistants. These two men together are worth several billion dollars- the former a media mogul, the latter a real estate tycoon. And then I think of a quote from Entourage from Ari, the sociopathic talent agent regarding assistants. He said upon hiring and firing assistants: "fire a man and you create a rival, but fire a woman and you create a housewife."
Oligarchies seek to protect themselves from the masses. And they do so by use of the state and by pitting people against each other. Oligarchies also prefer to allow into their ranks those who are not a threat. The world is increasingly globalizing. And the world is increasingly deregulating, privatizing, and standardizing. Those who will profit the most are forming into a global oligarchy which is monopolizing, or oligopolizing political and economic power around themselves.
It increasingly seems that this oligarchy is pulling into their ranks women who will serve the oligarchy without being a threat to their power.
More banks around the world are looking into microfinancing which offer small loans to the poor who are often women, for them to accomplish various goals including starting a business. However, the dark underbelly of microfinancing is the usury which is incurred when problems arise in paying loans. Interests rates have been known to reach over 200%.
But at least those who own these banks will see their money grow.
Faulty use of stats is a serious problem as well. For instance, pointing at the salary gap is at best a partial truth because while a very small number of males make exponentially more than everyone, the bottom of the salary slots are overwhelmed by males (reference below) as well.
Also, prescribing via pointing at salary gaps (eg the Lilly Ledbetter act) stems from a utilitarian ethos most would reject in other contexts. Feminists have cleared the way-- and in fact, make it a cornerstone method --as can be seen in this very board.
I'd strongly suggest a quick, but very interesting read from an actual social scientist on gender: "Is there Anything Good about Men?" by Ray Baumeister:
http://www.psy.fsu.edu/~baumeistertice/goodaboutmen.htm
Obama understands this and awarded the Congressional Gold Medal to Muhammad Yunus, founder of the Grameen Microcredit Bank (which loans 98% to women) his first year in office. This is the future. Women tend to think and act in amore sustainable way because they put the family first. The Grameen women start businesses and help put their children in school. And now this movement has come to the US and is spreading.
Without a great mother like Stanley Ann Dunham we would not have had such a great President as Barack Obama.
A Persian proverb says that "Heaven lies at the feet of the mother." Beyond managing the home and contributing to the family economically, women raise boys and girls to be future members of society. The mother's success is her family's success, which becomes the community's and the world's success--it spirals outward. Your example of Rosemary Njeri proves this point.
Greg Mortenson, who is building schools throughout war-torn Afghanistan, has said that one of the best hopes for peace in that region is to win over the hearts and minds of mothers there, because mothers have influence over whether or not their sons go to war; if the mother says "no," her son will not go. To solidify this chance at peace long term he feels that the education of girls is also essential. No amount of money or military might thrown at the situation can surpass this.
Finally, a favorite quote from Ted Turner:
"Men should be barred from public office for 100 years in every part of the world... The men have had millions of years where we've been running things. We've screwed it up hopelessly. Let's give it to the women."
One thing you might see in the social sciences is the expectation to first demonstrate why the context at hand is best framed in gender terms before choosing to present stats-- or rather ranking such stats in a list of other potential classifications and factors at play.
THIS is the prime reason why this article fails. And it is why feminism fails: because it assumes ALL social contexts break down on gender first. Skips proper description-- assumes a bias and heads right to prescription.
I'd strongly suggest a quick, but very interesting read from an actual social scientist on gender: "Is there Anything Good about Men?" by Ray Baumeister. Google it-- you'll thank me (or him!).
-Signed a very happy Feminist
Perhaps there is some version(s) out there that realizes that gender is more often secondary to other characteristics to consider (in part because the similarities between men and women far outweigh dissimilarities), but I've yet to experience it. The burden of proof is on you.
Also, how do you know some versions havent failed? or that all versions never fail? I didnt say it always fails in every matter (equality being one), perhaps you'd like to compare and contrast the downsides and upsides of feminism?
Yet as typical for Western political correctness, the author simply cannot bring himself to point out the most striking - CHINA again, this time leading the world in WOMAN POWER. More than HALF of the 20 richest self-made women in the world are Chinese, with their average fortune exceeding Oprah Winfrey and JK Rowling. The top 3 richest self made women on earth are Chinese.
The one-child policy means free childcare provided by grandparents, which enables women to spend time building their careers. Statistically that makes a big difference, much like the childless females in developed countries. China's long acceptance of women working outside the home is another significant factor.
We live in a market system with open access to all- aka equality- and there are many factors in such a place.
Using statistics does not automatically make for an educated or supported statement. In fact, it can demonstrate utilitarian failure.
One thing you might see in the social sciences is the expectation to first demonstrate why the context at hand is best framed in gender terms before choosing to present stats-- or rather ranking such stats in a list of other potential classifications and factors at play. THIS is the prime reason why feminism fails: because it assumes ALL social contexts break down on gender without. Skips proper description-- assumes a bias and heads right to prescription.
Double the world economy, but if the population doubles it won't reduce poverty. It will create more poverty, as finite resources like oil become prohibitively expense to the world's poor.
Women are the key, but only if they are freed from cultural and religious servitude.
This helps build trust and good faith so that those future customers believe in our products...we can also learn a lot from them about microdistribution.