Economic Development Often Has The Unwanted Effect Of Causing Social And Environmental Damage. Because Of This, Economic Development Must Be Done With An Awareness Of Its Impact To The Communities And The Environment In Order To Ensure Sustainable Business.This Is A Role Which Marketing Can Play.
Economic growth does not necessarily correlate well with social development. Many countries have high levels of economic growth but are still troubled with issues of abject poverty and environmental decay. Because of this, ideally, economic development must be done in line with social and environmental development. To avoid problems, economic progress cannot be prioritized over social and environmental progress. This was the message delivered by Prof. Emil Salim during the 2012 Lecture of the Year held at the Jakarta CMO Club special MarkPlus 22nd Anniversary gathering.
“I like marketing, because it deals directly with the market,” said Emil as he challenged CEOs to begin marketing carbon credits. In his special lecture, Emil Salim pointed out that since the Industrial Revolution in the 19th century, markets have played a very strategic role in helping consumer demand meet supply from manufacturers and service providers. Over the years, the markets have grown bigger and has infl uenced societies in many ways.
Global growth over the last decade has produced US$70 trillion in value for 7 million people by 2011. This is expected to grow into US$200 trillion for 9 million people by 2050. But there has been a shift of where the growth is coming from. According to International Monetary Fund (IMF) data, Europe’s marketshare of global GDP has decreased from 31% in 1980 to only 20% in 2011. And there is speculation that it will continue to decline to 17% by 2017. This decline in Europe is driven by slow growth of wages and spending. And while Europe is declining, the central gravity for the global economy has shifted East to Asia.
But this increadible economic growth has also some impact on the earth’s environment. Research by the Asian Development Bank shows that the high rate of economic growth in Asia has resulted in high levels of energy and raw material consumption. Usage of natural resources has jumpted from 9 billion tons in 1980 to 18 billion tons in 2005. Problems of polution and carbondioxide emission also blotch the industrialization of Asia.
Emil Salim emphasizes the role of marketing to promote sustainable development. Industrialization that results in the destruction of the environment and rise of social problems like poverty must be answered through partnerships between various parties: from the state, from the private sector, and through many other stakeholders from civil society.
He hopes that this partnership will result in actions like: placing poor people in the economic circle by giving them acccess to education, health, skills, infrastructure, fi nancing, etc.; creating markets for local communities, forming tribal councils to build up civil institutions; maintain forests in terms of it’s fl ora, fauna and ecological system; conserve water; and etc. In principal, economic development must support the development of the society and the environment. The three, continued Emil Salim, are not easily separable. This is in line with the concept of Marketing 3.0 which Hermawan Kartajaya and Philip Kotler conceived where to achieve sustainable marketing companies must not only go after profi t, but also care about people and take care of the planet. So in principal, Marketing 3.0 is marketing that is based on the human spirit.
Meanwhile, in its 22nd Anniversary celebration, MarkPlus has and wants to achieve several things. “MarkPlus has found its mission and contribution in this world which is to keep creating and developing new and relevant marketing concepts based on insights in the market. This is our small contribution to the rest of the world” said MarkPlus’ Chief Operation Offi cer Michael Hermawan.
Michael added that MarkPlus is strengthening the institution from within MarkPlus itself, expecially by focusing on Excellence, Professionalism and Ethics as the essence of our internal and external branding. This is the foundation for MarkPlus in the future. “In its 22nd year, MarkPlus is committed to continue to innovate and develop itself in terms of our competencies (consulting, research, training and media) as well as our geographical reach. In this year, MarkPlus will contintue to open new branches such that we will have 20 branches from Aceh to Jayapura,” said Michael.