As businesses merge and the economy becomes more globalized, the need for sustainability goes up. Here’s what went on in this week’s news.
Walmart just made its largest acquisition to date with Flipkart, an online retailer in India that is famous for its delivery via motorcycles and large backpacks. Although Flipkart has just a small portion of Walmart’s massive sales numbers, the purchase allows Walmart to expand into markets where Amazon is competing as well. Flipkart has strategically grown in a location where online sales were not always considered safe by building trust with consumers and offering other payment options, such as cash in-person upon delivery. Walmart hopes to combine with this kind of strategic thinking to become the largest online retailer in the region.
Since 2014, T-Mobile and Sprint have been attempting a merger, only to be stalled by regulatory hurdles. This week, however, the companies are finally joining forces to create an organization similar in size to their top competitors, Verizon and AT&T.
While the new merger comes with promises of lower prices and faster network speeds, the verdict is still out. Prices are historically lower in markets where there are more options, and although T-Mobile and Sprint have pitched their joining forces as a way to speed up 5G infrastructure, consumers await the result. The merger also provides a bellwether for future large corporate tie-ups.
Sustainable practices for business used to be considered a bonus, not a requirement. In today’s day and age, this is changing rapidly, especially among technology companies. Sustainability not only pushes business forward and positions companies as trustworthy, but also saves costs and decreases liability. BlackRock, a leading financial planning and investment management company, recently announced their stance that if companies want to receive their support, they’ll need to consider their environmental and societal impacts first.
BlackRock is just one of many companies leading the sustainability charge among today’s businesses. Technology is helping companies be more transparent, whether it’s through Coca-Cola’s use of blockchain to be proactive around forced labor or Cisco’s incorporation of AI in their operations to analyze data faster to be more environmentally efficient. Sustainability is no longer at the fringes of business, but moving rapidly towards becoming its center focus.
From the increasing pace of mergers to being mindful of the environment, business is changing like never before. Sustainability and mindfulness of the environment has become, and will continue to be, a cornerstone of successful businesses. In the business world of the future, in order to get to the enterprise level where mergers, acquisition, and globalization is an option, being sustainable is not an option but an essential.