CREATIVE

CAPITALISM
STUDENT’S
NAME
DATE OF
SUBMISSION
 INTRODUCTION

 Over the years, Capitalism has proved to be the engine of unprecedented social and also
economic growth.
 After the fall of the once triumphant “neoliberalism” and communist states, capitalism
ideology emerged to become the dominant ideology.
 Even with the popularity of the capitalist ideology, several debates have sprung trying to
prove its origin.
 However, the fully flagged capitalism theory is showcased to have originated from Great
Britain and the Netherlands during the 16th and 17th centuries (Ali & Al-Aali, 2018).
 From the given period, the definition of capitalism has evolved accommodating new
varieties.
 Some of the capitalist varieties that exist presently include; laisses faire capitalism,
mercantilism, industrial capitalism. Monopoly capitalism, state capitalism, financial
capitalism, and welfare capitalism
 Free Market

 Under this free enterprise model, the government has no jurisdiction over the market powers.
The primary purpose of reducing government involvement was meant to escalate or enhance
the role of the market on a broader scope.
 It is vital to realize that according to the law of the free market, the rational economic actors
present were compelled to act in a manner that would fulfill their individual interests, based
on the manner in which they dealt with the price of commodities and services as well as
information.
 To most players, free markets were encouraged because they provided opportunities to the
producers as well as consumers, which were based on the creation of more jobs as well as the
permitting of competition; an aspect that in the long run played a crucial role in dictating
which business was indeed successful.
 To most critics, free markets were despised because they often concentrated the riches in the
hands of a few players, as such they were not considered to be sustainable, especially if the
trade was going on in the long-term. 
 Free Market Continued

 It is intriguing to note that free markets were a Marxist form used to portray fiscal
structures that were reliant on private duty regarding methods for creation and
unshakable exchange.
 Due to the central explanation of purposeful exchange, a worth system was being
utilized under private undertaking: as such money was not just a technique for
exchanging items and adventures.
 In the given markets, the given currency signified a sign limit of the value
exchanged, cost being the entirety at which monetary product is exchanged – with
expensive cost inferring to a high worth, while low costs at the time inferred to a
low worth (Garrido Castellano,2020). 
 Creative Capitalism

 One of the transformations of capitalism that was yielded and generated after the
market revolution around the world is creative capitalism.
 Ideally, creative capitalism refers to an approach that advocates for business,
government, and non-profits organizations working together to stretch the reach
of the market forces hence enabling more people to make a profit, gain
recognition, and fulfil work that is projected to ease the world inequalities.
 Primary this new form of capitalism, places the social needs and the economic
activity of a community structure as the main goal, unlike traditional capitalism
which puts the secondary consequences of resource accumulation and generation
of wealth as its priority.
 Creative Capitalism Theory

 According to the Creative capitalism theory, governments are required to create market
incentives intended to attract the poor nations and poor people and empower them into
productivity.
 However, for the accomplishment of creative capitalism to be realized, several
stakeholders such as the government, institution, and the business have to play critical
roles.
 For instance, the theory posits that the government can commence by creating market
incentives that will provoke companies to focus on investing in aiding or helping poor
people and poor nations.
 One of the ways this would be actualized was in the scope of the medical sector, where
the government would offer incentives such as sponsored clearance for the production
of other drugs, especially in a case where a pharmaceutical company produces drugs
aimed at helping the poor and disadvantaged.  
 Benefits of Creative Capitalism

 Seeks to play a key role in taking care of the poor and the needy- Through the use of the
creative capitalist approach, business people and corporations can easily identify different
problem-solving techniques, aspects that are facilitated through the reliance of technology and
resources that can be easily accessed. With the given parities intervention, challenges such as
lack of enough food, water, and medication amongst the poor are easily eliminated. Additionally
in the quest of providing the poor with better and quality services, creative capitalism fosters the
development of poverty-stricken areas leading to improved living standards. 
 Other than helping people, creative capitalism also helps in the recognition agenda. Due to the
wide extension organization pursue, they are prone to be serving a diverse portfolio of new and
different individuals on a regular basis. Through this approach, a company creates a reputation
as a trusted brand, an aspect that elevates the company’s position and assists in the marketing
process, as it appeals to the customers and also attracts other people to the organization. 
 Finally, creative capitalism is showcased to be a platform that is associated with sustainability,
competitiveness, increased revenues as well as social responsibility towards the masses. 
 Corporate Social Responsibility

 Corporate social responsibility is a business self-regulation practice that seeks to create

social accountability culture between a company and surrounding communities.
 Normally, this self-regulation business covers the environmental and social
accountability of the companies. Through the use of this initiative, not only does CSR
help in maintaining and creating a good relationship between the company and
surrounding community, but it also helps the community benefit from assistance offered
by the company.
 Notably, through corporate social responsibility, a company is able to leverage its
strength and position, as a means to create an established brand (Chiari, 2017).
 Furthermore Ishrad et al., (2017) asserts that through the reliance of CSR a firm is able
to craft a positive image that is based on the values it is founded on as well as what it
believes in; aspects that aid in the creation of social consciousness among the employees
within the organization. 
 Corporate Social Responsibility
Continued
 With the reliance on corporate social responsibility being on the rise, the given
aspect has proved to play a critical transformational role.
 According to a recently carried research by Moreno (2020), more than 60% of the
American citizen expressed their hope that the businesses will continue growing
complimentary with the social and environmental changes even in the absence of
government regulation.
 Additionally, 90% of the interviewed respondents stated that they would purchase
products from companies and businesses that have previously been active in
supporting the issues that they cared about. 
 Two Examples of Organizations

 Among some of the corporate social responsibilities that companies involve themselves in, environmental
issues take a leading priority.
 In the quest of protecting the environment, Starbucks Coffee usually adopts various environmental drives
such as; tree plantation, carbon treatment, and Gabion construction.
 By so doing, the respective company is in a position to offer a caring attitude to both the consumers and
citizens (Moreno, 2020).
 Apart from environmental drives, the organization can involve themselves in donation as a means of
fulfilling their CSR plea.
 Basically, this aspect has been showcased by the Rothschild foundation which obligates and fulfill their
social duty by setting up funds as well as other items with commendable monetary value to the
administration of different nations which will be in charge of ensuring the funds, as well as items, are thus
used for social causes and not as such for-profit or commercialization.
 It is vital to note that organizations such as Rothschild foundation, in this case, tend to be more endowed
with cash and materialistic possessions as such they are instrumental in promoting noble causes as well as
cultivating neighborhood network programs.
 Gates’ Creative Capitalism

 When focusing on Bill Gates, it is intriguing to note that the figure is indeed
recognized for creative capitalism, which is arguably present in all organizations and
is driven by the mission of helping out without expecting any element in return.
 In today’s world, it is imperative to note that creative capitalism often acts as an
approach of earning revenue while still at the same time looking after those that truly
deserve it.
 Gates in this capitalistic approach has repeatedly probed most of the organizations
around the globe to embrace these ideas, as it is projected to be fruitful in enhancing
the concept of global citizenship.
 While most organizations that have responded towards this call are at this time taking
baby steps; Gates is still sure that creative capitalism if pursued with an open mind,
will yield exceptional results that favor innovation and unrivaled service delivery.
Gates’ Creative Capitalism Continued

 Raigrodski (2016) asserts that if the corporate sector really wanted to pursue the
given form of charity, based on its founding tenets, this would without a doubt
lead to the realization of more drives such as what Bill Gates is driving for.
 However, it is evident that the perception of charity attached to an element of
revenue driven charity is more distressing in the eyes of most corporations, as
such they lack the motivation to pursue this aspect to the fullest.
 To the given institutions, Bill Gates is presented as an individual who is solely
seeking to apply motivations as a means of only solving the issues of the poor, an
aspect that is skeptical across most forms, for this will solely lead to the growth of
the margin that exists between the worlds poor.    
 CSR- Is It A Worthy Cause?

 Most organizations are at the given moment driven into embracing charitable
undertakings that are related to their business community because this aspect
eliminates the potential of abuse or misuse in an unpredictable manner.
 This aspect presented by Gates is perceived thus as primarily using CSR opening
solely for the advancement purposes of a particular object.
 Even though partaking in CSR is considered to be a triumph for all parties that are
involved, it is unfortunate to realize that impact of the given exercise does not
interest the clients in a constructive and genuine manner especially if a
corporation is fulfilling an unrelated cause.
My Views on Gates Capitalism

 I accept that Gates' inventive free enterprise considerations are what we ought to
do; dealing with those that are in need the most.
 Lamentably, I don't accept that Corporate America will at any point become that
socially capable.
 For whatever length of time that there are load up individuals who just need to fill
their pockets with cash and the board any semblance of the individuals who
brought Enron down this will never occur.
 Bill Gates is an exceptional kind of extremely rich person, he has faith in making
the best decision.
 References

 Ali, A. J., & Al-Aali, G. (2018). Competition and Corporate Social Responsibility under Creative
Capitalism. Journal of Promotion Management, 24(4), 533-554.
 Garrido Castellano, C. (2020). Ryder Meets Bourriaud. Kazuo Ishiguro’s The Unconsoled and the
Contradictions of “Creative Capitalism”. Critique: Studies in Contemporary Fiction, 61(2), 236-247.
 Chiari, D. (2017). Is Corporate Social Responsibility So Soft: The Relationship between Corporate Social
Responsibility and Unfair Commercial Practice Law. King's Student L. Rev., 8, 163.
 Irshad, A., Rahim, A., Khan, M. F., & Khan, M. M. (2017). The impact of corporate social responsibility on
customer satisfaction and customer loyalty, moderating effect of corporate image (evidence from
Pakistan). City University Research Journal, 1, 63-73
 Moreno, D. J. (2020). Social Marketing And Corporate Social Responsibility. 'Oikos Polis', Revista
Latinoamericana de Ciencias Económicas y Sociales (RLCES), 5(1), 39-71.
 Raigrodski, D. (2016). Creative capitalism and human trafficking: a business approach to eliminate forced
labor and human trafficking from global supply chains. Wm. & Mary Bus. L. Rev., 8, 71.