January 24, 2008 4:14PM
Gates and ‘Creative Capitalism’
By Alexis Glick
Talk about power players. Bill Gates this evening talked about “Creative Capitalism” in front of a full house here in Davos. Here is some of what he said. See what he said about his time with Bono. When he speaks, people listen. Some agree. Some disagree. The premise is that the rich, wealthy corporations need to give a helping hand to the poor. Také a look below. There’s a reason why this man — and just as importantly his wife Melinda — have one of the best-known foundations in the world. The eight-year-old charity now has $70 billion dollars. Yes, $70 B as in Billion. Remember: Warren Buffett announced that he was leaving his fortune to the foundation valued at $31 billion in 2006.
Gates: We Need to Refine Capitalism
“We have to find a way to make the aspects of capitalism that serve wealthier people serve poorer people as well. The genius of capitalism lies in its ability to make self interest serve the wider interest. The potential of a big financial return for innovation unleashes a broad set of talented people in pursuit of many different discoveries. This system driven by self interest is responsible for the incredible innovations that have improved so many lives. But to harness this power so it benefits everyone we need to refine the system.”
Gates, Bono and Creative Capitalism
“One of the most inventive forms of creative capitalism involves someone we all know well. A few years ago I was sitting at a bar here in Davos with Bono. Late at night after a few drinks he was on fire talking about how we could get a percentage of each purchase from civic-minded companies to help change the world. He kept calling people, waking them up, and handing me the phone to show me the interest. Well, it’s taken time to get this going but he was right. If you give people a chance to associate themselves with a cause they care about while buying a great product, they will.”
Gates: I Challenge You To Help Poor
“I’d like to ask everyone here whether you’re in business, government, or the non-profit world, to take on a project of creative capitalism in the coming year and see where you can stretch the reach of market forces to help push things forward. Whether it’s foreign aid or charitable gifts or new products can you find a way to make the power of the market place helps the poor?”
Gates: Phenomenal Age Change World
“We’re living in a phenomenal age. If we can spend the early decades of the 21st century finding approaches that meet the needs of the poor in ways that generate profits and recognitions for business we will have found a sustainable way to reduce poverty in the world. The task is open-ended. It will never be finished, but a passionate effort to answer this challenge will help change the world. I’m excited to be part of it. Thank you. (Applause)”
Comment by Rob
Jan 24th, 2008 at 5:08 pm
Mr Gates and Bono,
Does creating jobs qualify as helping the poor or do you just want cash donations?
Rob
Comment by chuck harrison
Jan 24th, 2008 at 5:25 pm
Just reading what Bill Gates said about creative capitolism,I wonder if I could transform the world too. I know I’m just one person. But they say that one person makes difference. If I became an ententapenuer how I make lives better? How would I challenge my employees? Well I would empowert them and I would want them to learn as much as they can especially in the areas of business that are in constant flux. As my own leader how I would create new wealth? that is the question.
Bill Gates is onto something my opinion. Now those that don’t roll with change especially those that are greedy,closed minded to things as competition to make thier community better in the end they are the losers. Becouse those that are on the prescipice of change and trends would leave them behind.
Well when I was reading the World is Flat by Friedman,I discovered I’m a platform thinker. But I now ask-how can create taptiolism?
Comment by chuck harrison
Jan 24th, 2008 at 5:33 pm
Redefining captiliolism means from my perspective that the old models have to go. Those that are close minded,narrow minded and simply use the system to make wealth and not sharing it need to go. Capitolism is avabilble to everyone and they have much right to be wealthy as the arrogant grreedy one.
For instance how I would create wealth? Well I would want all my execs and employees to be creative,not put profit nor share first. One who puts the bottom line first doesn’t survive in the constant changes in businesses and trends being discussed in the boardrooms and small businesses. But those who don’t adapt to change are left behind and so are their outdate business models.
I roll with change. Through me the bone and I try to solve your problem. Give me an idea I improve and make it better.
Comment by Burnsie
Jan 24th, 2008 at 6:19 pm
Here is a link to an article in the WSJ about Gates and Creative Captialism…
http://online.wsj.com/article/SB120113473219511791.html?mod=sphere_ts
An interesting part are the books Gates is reading/referencing…
1) The Theory of Moral Sentiments
2) The White Man’s Burden
3) The Fortune at the Bottom of the Pyramid
4) The Bottom Billion
5) The Mystery of Capital
6) Good Capitalism, Bad Capitalism and the Economics of Growth and Prosperity
Comment by Charles Soper
Jan 24th, 2008 at 6:25 pm
Amen Mr. Gates! Bono has been an incredible influence on our world with U2’s music. Now with a push of his ideas and Bill Gates influence perhaps “the world” can find a way to help the poor. The trick is doing it without the liberal viewpoint of “it’s not your fault, let me take care of you” would be ideal…but that’s another topic
Comment by Dr. H
Mar 14th, 2008 at 11:49 am
Ahem Mr. Gates
You were granted a monopoly by the government. A monopoly that was created by the governments unwillingness to enforce it’s own trade laws, for the sake of creating a common computer operating system. Were it not for this unwillingness you wouldn’t be sitting in that monstrous pile of money, and you know it. Now you have the audacity to say “we need to refine capitalism.” I have a few ideas on just how we do that!
First - Lets fire any Legislator who takes money from rich guys like you, who then write laws that purposely destroy the free market, by creating monopolies. A capitalist’s best environment is a free market, with equal representation in Government. Currently, we have an Oligarchy; that is getting worse everyday in Washington, through back room deals. It seems that only those with pull, prosper.
Second - Enforce our anti-trust laws to keep rich guys like you from killing the dreams of the little guys before they have a chance to bring their products to market. You keep people from competing, therefore you create the worst and most stagnating problem in the industry. A lack of sensible innovation.
Third - Let’s stop listening to rich guys like you who made a pile of money, and who now want to enact some Rawlsian (John Rawls, Justice as Fairness) form of quasi socialism/capitalism. Socialism is to capitalism, what cyanide is to seasoning.
Fourth - Establish this rule in every ones mind; “Capitalism doesn’t work and play well with government meddling!” This rule worked for you, the government bent over backwards to stay out of your way, while you busy with your capitalist endeavors. Meanwhile every consumer was bent over forward.
Fifth - Let’s start making advertising laws that are directly applicable when it comes to computer software. Before my enterprise switched to a Linux based system, I spent 12,000.00 a year on technical support. This was simply because your product was badly designed, and didn’t live up to it’s advertised promises. In your advertisements; you should be forced to disclose, “Warning this product is hazardous to your wealth.”
Well that’s enough for right now. I would go on about celebrities like Bono; who have big piles of money of their own, wanting to spend everyone else’s money. But, that’s like kicking Winnie the Pooh. And, we have to be sensitive and fair today. Too bad people weren’t sensitive to those who were crushed under the wheels of Microsoft, we might have better computers and software, had we been fair.