Aggressive capitalism without rules and ethics is a system that threatens society on a global scale. There is no doubt that empires and countries are collapsing like a pile of cards, such as Greece and Europe which will most probably be prime historical examples as the end of capitalism as we know it!
Positively aggressive capitalism, being an economy that benefits through the sole purpose of profit has reached its slow end! It has gradually reached a “balanced” form of the old one; it has essentially reforming into a “new moral capitalism”. This capitalism’s foundation is built upon the principles of sustainable development being economic efficiency, environmental protection and social cohesion.
In this form of capitalism, emphasis should be placed upon the “pragmatic economy” or what is called the economy of companies that produce real value, invest in innovative societies and the environment. Respectively, emphasis should also be placed upon rationalizing the public sector combined with the political system and corruption, as what we are currently living is a result of years of irrationality, and our children and future generations will be paying the price.
The fact is that liberalism predominantly through aggressive capitalism did not self-regulate, as many perhaps thought it would! Thus, this inevitably led to greed and accumulating wealth and large inequalities between those who gained major profits and those who resulted into substantial losses. In retrospect to the “pragmatic economy”, productivity, effective regulation of financial market and to the exemplary punishment of the few whose greed created a series of problems, it is clear to see that many are not to blame. In turn this shows that government intervention is in need of measurement and balance to deal with the issue of corruption! Governments should be able to set sufficient and effective rules in collaboration with relevant bodies, on an international level, to create normality and a sustainable development.
Besides governments, it is time for all companies to contribute to a sustainable development by pursuing their Social and Environmental Responsibility and earning the trust of their customers, employees and society in general. It is time for companies to invest in materiality and not in marketing moves, such as investing 90% of their CSR budget programs in communication companies. Moreover, today more than ever the accountability of any business, as well as our whole country, is judged by what is actually done, not on what is said!
In particular for the banking sector, I would suggest for them to go beyond sponsorship and donations which is thought to cure CSR and “common good” aims, but to start engaging and committing towards effective customer service and most importantly evaluating with new criteria indebted families and SMEs. This alteration would help prevent damaging both themselves and society as a whole from subsequent consequences, such as bankruptcy. Therefore, banks should implement consistently the principles of responsible lending and avoid those who contributed to the negative consequences we are currently facing. Moral Capitalism is already here even though most of us do not understand it yet.