Conscious Capitalism in Wells Fargo Essay
Conscious capitalism is one of the sharpest challenges that Wells Fargo faces in the current times. Conscious capitalism is a specific manner of thinking towards the relationship between business and capitalism, which underscores the critical impact of the organization on the world. Conscious capitalism has already helped numerous business to redesign their structure to increase profits.
For example, this way of the king can be highly helpful if the company want to set new operations goals, provide quality services to customers, and improve profits. The organizations that have already adopted conscious capitalism did manage to achieve a competitive advantage among the companies focused on income. Moreover, competitive capitalism helps to create beneficial public relations since, with a new system, they manage to build trustful and collaborative relationships with customers. A a result, the companies, manage to increase their income significantly. Various types of research have indicated this mental approach as a shortcut towards business excellence regarding both market positions and income.
It is an undeniable fact that profits are best achieved by not making them the primary goal of the business, which is against Wells Fargo’s practice. Based on the outcomes of prioritizing delivery of goods and services to the society, it all boils down to financial gains. Institutions that value quality of services availed to customers have managed to attain the quality of customer retention. They do not lose consumers that are already earned from the market. The impact of this quality is stabilization of incomes. Secondly, high quality of services offered as a way of positively influencing the society earns the company more potential customers (Mackey & Sissodia 30). While reaching out to its already attained customers, the company manages to attract the attention people in the industry. The fact that quality is availed at affordable prices is enough to attract potential consumers in embracing its products. Through this, on top of the sustained customers, the company experiences an addition. Hence, more profits are earned.
All companies are capable of practicing conscious capital regardless of their size. It is an inevitable fact that this implementation is easier to the large-scale businesses as compared to those that are small scale. This fact has been proven through the evaluation of some of the challenges experienced by small organizations across the globe. One of these difficulties is capital. The difference between numerous small-scale businesses and large enterprises has been detected as the amount of money in circulation (Kalanwa 22). To implement conscious capital, one of the primary requirements is heavy investment in the production of quality services. Hence, without sufficient capital, organizations are incapable of generating high-quality products that will positively influence the societies in which they are situated. However, even while faced with this challenge, the organization can still practice conscious capital. This could be achieved through lowering its quantity of products to catch up with factors of conscious capital such as quality of services they avail to their customers in the society.
Conscious capitalism has caused Chipotle business advancements over the past few years that the organization has set high standards of the practice. Through conscious capitalism, the flow of business in Chipotle was boosted regarding employee motivation and attraction of customers. Conscious capitalism has helped the institution to create an outstanding corporate culture through engaging employees and allowing them extra holidays except for those that are normal in the job market. Through this and more operational strategies, the organization has motivated employees to make high-quality deliveries to customers and the society (Gerzema & Michael 30). Customers are also prioritized in the Chipotle through the additionally free services they enjoy and high quality of services offered to them by employees. This sequence of capitalism practices earned Chipotle high market positions through increased competition perfection. However, because of its poor persistence in heavily investing to give back to the society, the company began experiencing demerits that shaped this philosophy as a failure.
Time horizons are related to conscious capital through the societal link. It is an irrefutable fact that the aspects of a society change with time. The value of different products and services is determined by the particular time at which the product was availed to the members of the society. Hence, to influence the society though a production of goods and offering of services, an institution has to prioritize horizons of time if it seeks to boost effectiveness (Goleman 40). Hence, companies that do not lay emphasis on the periods at which they produce their various products and avail services to the societal members are considered as incapable of effectively influencing the society. On the other hand, an organization that plans to prioritize the aspect of time while making an impact on the modern society has a higher capacity to practice conscious capitalism.
If the Wells Fargo law changes to require that all public companies treat stakeholders equally, the gap between talent and finances would be filled. Many stakeholders are talented in the management of companies and other useful resources but are not offered the opportunity to practice them because of their financial position. Some are not regarded in crucial meetings of the company, which involve decision-making. They are denied the chance to exploit their abilities regarding competence because they have not managed to secure a large portion of shares in the company. However, if the American law regarding the treatment of shareholders changes in their favor, companies will begin to experience positive impacts caused by an accumulation of talents and abilities. The companies will also experience diversity regarding careers and professions.
Global markets usually have more tight competition since on them the companies are obliged to face with both local and international competitors. As a result, numerous companies try to get a competitive advantage through the creation of a successful global logistics system. Such intervention helps the companies to innovate and become more competitive not only on the local level but also on the international. One of the biggest challenges that companies face when entering the global markets is a necessity to understand different target markets and seek for effective approaches to all of them. Thus, to create an area that may fit all these different markets may require substantial efforts. However, sometimes, the number of competitors on the market is too high to make a proper market research.
In conclusion, conscious capital is an important operational strategy that has proven to be a shortcut to market excellence and accumulation of profits. Through sequential factors, businesses have gained stability caused by conscious capital. Public relations established by an organization depend on the influence that the organization makes to the society through its operational strategies. An organization is capable of earning competitive advantages, which bring along a better market position. Sustenance of the already earned customers and the attraction of potential consumers are major boosters in connecting an organization to profits.
Works Cited
Gerzema, John, and Michael D’Antonio. The Athena Doctrine: How Women (and Men Who Think Like Them) Will Rule the Future. San Francisco: Jossey-Bass, 2013.
Goleman, Daniel. Focus: The Hidden Driver of Excellence. London: Bloomsbury, 2013.
Kalanwa, Stanley C. Entrepreneur’s Guide on Managing Small Business Profitably. Cork: BookBaby, 2014. Print.
Mackey, John, and Rajendra Sisodia. Conscious Capitalism: Liberating the Heroic Spirit of Business. Boston: Harvard Business Review Press, 2013.
