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Change Good for everyone

The Focus on Short-Term Profit Is Bad for Business and the Future

The considerable influence corporations have on our lives cannot be overstated. Besides producing much of what we use, corporate strategic priorities drive innovation and progress. Unfortunately, their often misplaced priorities are also responsible for many of the world’s problems, such as climate change, pollution, and human rights violations.

This is because most corporations focus on short-term profits and shareholder value at the expense of all other considerations. They ignore the long-term impact of their activities to the detriment of the environment, society, and their own future financial health.

Systemic Imbalance

Capitalism works best for everyone when each component of the free market system has equal influence. When in such balance, the free market self-regulates and functions in the best interests of society. But when one element of the marketplace becomes dominant, the resulting imbalance results in the other participants becoming subject to the whims of the powerful. This system no longer works equally for everyone.

This is our current economic system. Decades of lax government oversight have allowed corporations to accumulate massive wealth and influence. Their ability to manipulate regulatory and legal structures allow them to act with near impunity. As a result, corporations unilaterally set their own priorities. They can ignore the long-term implications of their policies on the environment and society while continuing to focus on their short-term profits. Unable to self-correct, the system requires intervention to protect the interests of individuals and society.

That is what we do.

Advance ESG advocates for positive changes in corporate priorities by directly engaging with corporate officers, senior management, and their major investors. The only language corporations speak today is “money,” so our approach focuses on just that. We show them how their current policies and practices will negatively impact their bottom line in the long term and why this actually belies a corporation’s fiduciary responsibilities to protect their investors. 

By demonstrating the financial benefits of strategic changes that also benefit society and the environment, we create the conditions for positive changes in corporate behaviors.