The Evolution Of Consumption According To Social Change

The evolution of consumption according to social change

The concept of sustainable development appeared for the first time in 1987 with the publication of the Brundtland report, and the first major world initiative in this area was created at the United Nations Conference on Sustainable Development, held in 2012, which defined the so -called objectivesMillennium Development (MDG), with which a worldwide initiative to address the environmental, political and economic challenges that the world faces the world was undertaken in 2000. But it was in the 2015 UN General Assembly, where countries around the world signed the 2030 Agenda, including the 17 Sustainable Development Goals, OSD, a specific series of tasks to, mainly, to eradicate poverty, promote prosperity and well -being for all, protect the environment and face climate change worldwide.

All economic agents are involved, in one way or another in these tasks, and the business world has particularly become aware of this problem, since in their activity the economic, social and environmental objectives are interconnected. For example, there are numerous companies that, due to the nature of their businesses, consume high amounts of energy and, therefore, their contribution in the issuance of CO2 to the atmosphere is high. Therefore, getting involved in the care of the environment is something that goes beyond a simple strategic or reputational issue;It is a fundamental part of the company’s social responsibility (CSR).

In long -term investment decision making, more and more companies incorporate, next to economic evaluation criteria, social criteria (related to inequality, inclusion and investment in human capital), and environmental (related to theadaptation and mitigation of climate change and with the environment). Corporate governance plays a role in promoting a cultural change in the inclusion of sustainable finances in economic growth models. The assessment of the criteria related to environmental, social and corporate governance criteria has been called ASG analysis (or ESG).

On the other hand, the financial system is also adapting to this reality and offers more and more sustainable sources of financing. This occurs because investors that resort to financial markets are increasing.

According to a Morgan Stanley survey, 86% of young people are interested in sustainable investments as a way of generating financial return and positively impacting society and the environment. The options are multiple, from traditional products in asset management to socially responsible investment funds (ISR), pension plans and green and social bonds, among others. In all cases it is about financing companies with ethical criteria, businesses that take care of the environment and business signatures with solidarity programs, all respectful of the rights of workers or defenders of salary equality.

In Spain, according to a Spainsif study, the market does not stop growing;In 2018 the assets managed by ASG analysis reached in Spain the 185.614 million euros, which represents 45% of the market share. Growth has been considerable if one takes into account that, in 2009, this figure was 35.710 million euros.

This growth is reinforced by the commitment of all countries and in particular of European authorities. In March 2018, the European Commission published its action plan on sustainable finances in the framework of the initiative of the union of capital markets. The final objective of the plan is to fully integrate sustainable finances in the nucleus of the EU financial system from an economic and financial base, and is based on three basic pillars:

• Realineration of savings and investment in pursuit of sustainable and inclusive growth
• The consideration of risks and opportunities related to weather, environment and social issues from a financial point of view by incorporating them into business as usual elements for companies
• Promote long -term transparency and thought in both cases

These pillars are specified in ten specific actions contemplated for the 2018-2020 period, which seek the total integration of sustainable finances in the EU financial system. Among them is to establish an official classification of “sustainable activities” that can be progressively introduced in European standards, which will allow common language by all actors, and formulate rules for “green financial products” and promote one ”EU ecological label ".

In short, sustainability has become a key element in the decision -making of the company, going from being an issue related to reputation to becoming a catalyst that is promoting an unprecedented change in the financial field and modelsof economic growth.