If you had known in 1985 how completely the internet was going to change things, what would you have done?  I'm guessing you would have gotten there first with your own youtube or google, and possibly left a job selling encyclopedias or rethought your music store.  Today we stand on the brink of an even larger sea change in the nature of the global economy, which will change the rules as completely in as rapid a time frame.  I am of course referring to the vast bubble of our ecological debt.

 

Hello valued reader, and welcome to this, the first entry of my Green Dollar Economy blog.  My name is Michael, and I hope to provide you with tools and food for thought on the changing shape of our economy and how business owners can position themselves to maximize their success in the days ahead.  No matter the nature of your business, one factor guaranteed to profoundly impact your level of success is the quality of your information about how the marketplace is going to change.  In the stock market, the right nugget of prophecy is so valuable that we consider it an unfair advantage, and punish by law those who turn easy profits from it.  In the real world, we call it being ahead of the curve, and it's the holy grail of positioning yourself to maximize your market share.  In plain english, success comes largely from seeing the road ahead as clearly as possible.  When we look at the impact of our ecological footprint on tomorrow's markets, we don't need a crystal ball to make confident predictions.

 

Two factors alone require the bulk of our initial consideration.  One is our relationship with the materials economy, all of the physical stuff that makes up everything we use in our day to day lives.

 

Our world is large, but far from infinite.  I'm certain it's obvious to anyone who pauses a moment to think about it that there is a finite amount of any given resource on the Earth.  Gold, gemstones and other items traditionally viewed as treasure may be the most obvious example, and the looming prospect of peak oil the farthest reaching.  We can be hopeful that new deposits may be discovered, but it's clear that there is only so much to find, and after we've harvested the easy pickings what remains is progressively less accessible and consequently more expensive and difficult to extract.  This is true of every resource our economy is dependent upon.  We can reliably expect resource costs to rise until the point that the resources are exhausted, meaning there simply is no more to claim, or functionally exhausted, meaning that the profit to be made from the resource is smaller than the cost to retrieve it.  Even in the area of so called renewable resources, we are harvesting materials an average of 44% faster than the planet can provide them, and we’d be wise to be aware that every ecosystem we rely upon is in decline.

 

That resource scarcity is only beginning to inform our economy, but will inexorably dominate as we move forward.  The lifestyle of the average north American requires the extraction of 196 pounds (88 kg) of physical materials from the planet every day, as calculated by the World Watch Institute for 2010.  That's more than our average body weight in materials daily, so it is blatantly clear that we can't carry on in that fashion forever.  More efficient use of existing resources is an absolute necessity in guaranteeing any future economy.  The sooner a business reviews its place in the materials economy and seeks efficiencies, the more secure their position will be.  Our days of relying on inexpensive foreign materials are numbered, so proactively establishing local networks early is crucial to future business.  

The other inescapable factor shaping the world to come is the looming spectre of a changing climate and an ever growing chorus of conservationist voices demanding we reduce our greenhouse gas emissions to avert ecological disaster. If you are in any doubt, allow me to reassure you that climate change denial is in its final death throes.  Not only are 97% of scientists who publish peer reviewed papers in agreement about the severity of the issue, but news events and observations around the world are already surpassing many pessimistic predictions made by the scientists.  The smart money is already looking at a new world map.  Military planners, for example, waste no time on skepticism, clearly outlining in policy documents what regions will experience the greatest unrest due to growing resource scarcity.  There are no skeptics in the animal kingdom, either, as 64% of studied species that are able have already changed their migratory patterns or made efforts to relocate, something that's entirely unprecedented in human experience.  Please feel free to contact me with any specific concerns or questions about the science.  If I do not have the information already on hand, I have spent enough time in research to know how to find the right resources to point you towards.  

While the economy has stuttered and contracted significantly in the last couple of years, there are a handful of growth areas that are enjoying improved performance across the board.  One of those strong performers is the growing number of green and ethical businesses.  Public awareness is growing and driving sales, but this is not simply a trend or marketing strategy.  Savvy consumers are increasingly critical of efforts to greenwash polluting businesses, but the most compelling reasons to reduce the ecological impact of your venture are straightforward bottom line concerns.  The most obvious example is renewable energy solutions, where return on investment is measured in only a relative handful of years even without considering inevitable increases in utility costs, and the public relations benefit of making the effort is merely icing on the cake.  Green power is far from the only arena where improvements can be made.  Sourcing materials ethically and locally where possible, improving efficiencies in all aspects of our work, defining and improving positive social benefits from our efforts, increasing product life spans, and diverting waste streams into productive areas where they may actually transform into revenue streams are also eminently worth pursuing.  

A reduction in the size and scope of our economy is unavoidable on the journey towards a stable and sustainable state.  In my next green dollar economy, I hope to outline how I approach the hardest and most fundamental question green business planners face.  The most uncomfortable part happens right up front, with a hard look at the fundamentals of what you do and whether it can be sustainable at all.  We still enjoy a brief window of opportunity to position ourselves for success, and to part ways with the next herd of dinosaur businesses that will experience the greatest losses in the years to come.  

Thank you for joining me.  At Green Feat, we are dedicated to helping your business to make the journey towards sustainability through research, implementation and follow up.  You may direct any questions or comments about this blog to info@yourgreenfeat.ca, and I hope that my words have reached you on a day that's been filled with good news.