The American social psychology author, Daniel Pink, has written a number of best-selling books concerning human motivation, performance and innovation. The Power of Regret- How looking Backward Moves Us Forward continues the genre and, filled as it is with both anecdote and analysis, is an engaging and enjoyable read. A wide range of people will benefit from reading it, not just those who have to deal with regret on the part of both themselves and those for whom they are responsible in a business context.

Noting that there are over 50 books in the US Library of Congress with the title, No Regrets, Pink aims to challenge the US obsession with positivity and reclaim regret not just as an unavoidable part of mature human living but also as a means of improving decision making and performance.

The book draws on Pink’s own work with the American Regret Project and the World Regret Survey, which between them have collected and examined more than 20,000 regrets from around the world.

Pink identifies Four Core Regrets:

Foundation regrets stem from our failure to build a stable platform for our lives; the schoolwork we shirked, the debt we accrued, the drinks we enjoyed. Excess, too much or too little, often features. A simple summary of a Foundation regret is If only I had done the work.

Boldness regrets, as the name suggests, concern the chances we didn’t take, the courage we lacked. Evidence suggests that past inactions that can haunt us rather more than a past action – If only I had taken the risk.

The third category, Moral regrets, are those times when we know we have behaved badly – deceiving a spouse, cheating in a test. At the time of the act, we may convince ourselves it wasn’t so bad, but over the passage of time, we see that this is not the case. In this category (the smallest of the four) it is a past action rather than inaction that troubles us – if only I had done the right thing.

The final category (the largest of the four) is Connection regrets, which “arise from relationships that have come undone or remain incomplete” (page133). What Pink has in mind here are friendships allowed to wither, kindnesses that were not shown or interest in other people that was not expressed – If only I had reached out.

Looking further at the four regrets, Pink suggests that each of them “reveal a need and yield a lesson” (page 96). Foundation regrets, he argues reveal the need for stability whilst the lesson they yield is “Think ahead. Do the work. Start now” (page 96). Boldness regrets reveal the human need for growth and the lesson they yield “Speak up. Ask him out. Take that trip. Start that business” (page 111). Moral regrets reveal the need for goodness, the lesson is “when in doubt do the right thing” (page 129). Finally, Connection regrets reveal the need for love and the lesson they yield is “to do better next time … and (if the door is open) do something now” (page146)

Having analysed regret in this way, the final section of the book, Regret Remade “describes how to turn the negative emotion of regret into a positive instrument for improving your life”. (page 15)

The advice here consists of taking steps to undo a particular action, for example by making an apology, and where this isn’t possible to seek a silver lining to the regret. This entails being grateful that the mistake wasn’t worse and saying to ourselves “At least…” That way, writes Pink, “At Leasts can turn regret into relief” (page 165).

When regrets do threaten to become overwhelming, Pink suggests that talking about what is on our mind, not being too harsh on ourselves and putting the anxieties in perspective, through imagining others confronted with the same challenge, can be beneficial. “Looking backward can move us forward, but only if we do it right. The sequence of self-disclosure, self-compassion and self-distancing offers a simple yet systematic way to transform regret into a powerful force for stability, achievement and purpose” (page 182)

Whilst regret is a retrospective emotion, Pink describes the way in which by anticipating regret most effectively, what he calls optimizing regret, we can improve our decision making and hone our strategy for pursuing the good life.

As this outline of the book suggests, there are plenty of instances when it seems to be telling us things we already know. In some ways this is its strength. For it is a book about human behaviour and we recognize ourselves in it. Accordingly, the selected survey samples and different stories that Pink uses as illustrations are satisfying to read because we feel we know in advance what they will tell us. We find ourselves in the story.

At the same time, some of the analysis of the regrets and the responses to them can seem rather laboured. Mistakes are an everyday part of life, and we learn from them with varying degrees of effectiveness. Sometimes we will never do such a thing again whilst at other times we find ourselves being repeat offenders.

Some readers will warm to the systematic approach that Pink outlines and may change their behaviour accordingly. Others will recognize themselves in the illustrations he offers and carry on as before.

Pink focusses on the positive power of regret and, although he is aware of regret’s negative power, the book could have benefitted from further exploration of this. A sermon in which the preacher said, “To regret something is to lose the battle a second time” comes to mind. What lies behind this claim is not a refusal to learn from mistakes so much as an acceptance of who we are and where we find ourselves.

The four core regrets that Pink outlines all express themselves through “if only” and the danger of this is that it could lead to someone saying “if only I were someone else”. For there lies behind Pink’s writing an unspoken assumption that we all desire effective, high achieving and purposeful lives which are to be achieved through a combination of self-will and self-discipline. There must surely come a time when, for example, the person who has failed to be as bold as they might have been needs not just to accept that this is who they are but delight in it. In other words, their value and distinctiveness lie outside the parameters which are so often laid down by others.

Perhaps as a priest, I was bound to find this a short-coming of a book which does indeed reclaim regret and seeks to improve human living but does so from a secular perspective.

“The Power of Regret”  by Daniel Pink was published in Great Britain in 2022 by Cannongate Books (ISBN-13: 978 1 83885 706 6), 240pp.

Revd Canon Andrew Studdert-Kennedy is Team Rector & Vicar of St Andrew’s, Uxbridge.

Business Ethics: what everyone needs to know by Josephine Nelson and Lynn Stout brings a distinctive angle to the discussion by interweaving the field of business ethics with components of law and legal practice. It also branches out into wider peripheral subjects such as philosophy, psychology, and organisational management. Josephine Nelson is Professor of Law at the Charles Widger School of Law at Villanova University, she specialises in how legal frameworks affect individual behaviour within organizations. The late Lynn Stout was Distinguished Professor of Corporate & Business Law at Cornell Law School. Her previous book, The Shareholder Value Myth was also reviewed on this website and proved to be a popular choice amongst our readers.

The ambition of the book is laid out from the onset – that is, to survey “not only moral philosophy, behavioural science, economic principles, and other contributions, but to make business-law concepts accessible and understandable to businesspeople and students of law, business, and ethics” (page xi). Fortunately, the language of the book fulfils this aim. It is clearly written and accessible to the layperson and makes only limited use of technical jargon. In instances where more specialised terms are indeed discussed (particularly in chapters referring to legal concepts), ample explanation is usually provided to assist the reader.

The book is comprised of 15 chapters and whilst at first glance may appear to be long, one third of its contents (168 pages of 513) are dedicated to an appendix of “Additional Resources and People You Can Reach Out To” (including notes). As the title suggests, the appendix offers additional resources and information for those wishing to delve deeper in the subject – some readers will certainly find this useful.

Chapters 1 through 4 open the discussion by focusing on the broader field of business ethics itself, which is defined as a “…set of moral principles that govern behaviour in a specific sphere of life: the world of business” (page 1). The authors dismiss the popularised idea that business is a cut-throat environment where individuals seek their self-advancement at the expense of others. They view this as “…misleading and inaccurate” whilst acknowledging that “…there are instances of bad behaviour” (ibid). Yet these instances are not dissimilar to other areas of life but just happen to also be occurring in the world of business. The majority of people in the private sector “…will tell you that sound ethics are integral to a successful business career” (Ibid). The book goes on to elaborate why it might be beneficial for a business to think and act ethically. The premise here is the ethics within an organisation not only benefit the organisation itself and its employees but the wider array of stakeholders and indeed society itself – ethics has a multiplier effect.

Chapters 5 through 10 bring in elements of law and legal practice and take a more practical approach to applying them in specific business scenarios. For instance, Chapter 5 addresses questions such as: “What does it mean to owe a legal duty to a partner or other natural person?” (page 61), “When do I have a duty of obedience?” (page 68), “What are duties of confidentiality?” (page 79), “What are disclosure duties?” (page 83). Perhaps more interestingly, the last question asked is “Why should businesspeople act more ethically than the law requires? Isn’t the law enough?” (page 85). The response here is that the law is simply not sufficient to promote and ensure a positive ethical business culture. In some situations it can even be the case that, “legal requirements are not ethically correct” and that “ethically correct decisions are not legally required” (pages 85-86). So there is a lot of material and food for thought in these chapters – readers who are interested in legal matters will find them particularly useful.

Chapters 11 to 15 conclude with a discussion on “How to institute best practices” (chapter 13) and “Designing an ethical culture” (chapter 14). The book emphasises the need for and importance of robust “compliance and ethics programmes” and argues that most effective ones are driven by five key principles: strategy, risk management, culture, speaking up and accountability (page 281). The importance of a “speaking up” culture is stressed in arguing that it is the key indicator of an organisation’s moral environment because it reveals, “…what it feels like to work within the company, and what employees truly understand their organisation’s expectations to be” (page 291). 

The book achieves a great deal:  First, it provides a comprehensive and for the most part, compelling insight into how legal matters affect ethics in business. Second, it offers practical advice on what can be done to institute an ethical culture and prevent companies from falling into organisational malaise. Third, it succeeds at remaining accessible to both the practitioner and layperson alike. However, the book is not immune from weak points. Perhaps the most evident of these is found in Chapter 3 where the aim is overly ambitious and misses the mark. In under 12 pages, the chapter attempts to integrate major philosophical schools of thought and their relation to business ethics – these include, Aristotle’s virtue ethics, Kant’s categorical imperative, Rawls principles, communitarianism and utilitarianism. The result is an inevitably shallow account that is peppered with overgeneralisations. The book’s account of Kant’s categorical imperative is perhaps the most acute example of this which will no doubt leave some readers disappointed, and others rather perplexed.

Despite these shortcomings, Business Ethics: what everyone needs to know is a worthwhile read for those with an interest in business ethics, legal matters, and the interplay between the two. While it is predominantly aimed at business and legal practitioners, those outside the field will find it thought-provoking and worthwhile.

“Business ethics: what everyone needs to know” by J. S. Nelson and Lynn A. Stout was published in 2022 by Oxford University Press (ISBN: 9780190610289, 019061028X).  513pp.

Andrei E. Rogobete is the Associate Director of  the Centre for Enterprise, Markets & Ethics. For more information about Andrei please click here.

Kimberly Kay Hoang is an Associate Professor of Sociology at the University of Chicago. In Spiderweb Capitalism, she both describes and draws conclusions from her research into the way in which business is conducted in Vietnam and Myanmar. Some of her conclusions do not follow from her findings, her terminology and analysis is laden with ideology and the metaphor of a spider’s web that she uses throughout the book is ear-tingling but misleading. Nonetheless, the book should be read by everyone who wishes to be aware of the problems associated with business in emerging markets, especially those who are involved in making decisions as to what business they should conduct in such markets.

Hoang poses the question “How do global elites capitalise on risky frontier markets?” and says that her goal is “to uncover the structure of the networks… to examine the people who make and move the money around the world through offshore vehicles, and… to reveal how elites finesse the gray space between legal and illegal practices to establish significant social and political connections that allow them to exploit new frontiers” (page 2).

To this end, Hoang spent several years seeking to get under the skin of business in Vietnam and Myanmar, primarily by means of a large number of discussions (sometimes lasting many hours) with founders of businesses, investors, managers, fixers and various types of professional advisers, including people based both on-shore and off-shore. She provides interesting descriptions of her methodology, the challenges that she faced in conducting research without herself becoming implicated in illegal activity and the limitations that she laboured under. The limitations were significant but it is astonishing how much Hoang managed to persuade people to discuss with her. She ponders on the reasons why they were prepared to do this and recognises the possibility that it was of some assistance that she is a woman and may, perhaps, have been less threatening to some interviewees than a man might have been. She also notes that her University of Chicago connection may have helped since “The dominant reputation of [the University] often clouded my status as a ‘leftie sociologist’ critical of elites” (page 231).

The majority of the book comprises of descriptions she was told and otherwise found out during her research. These are grouped broadly around various topics (e.g. how deals are set up, types of corruption and bribery, and tax strategies). Hoang’s style is, at times, journalistic (e.g. “It was 5:00p.m., the sun was setting…”, page (xi)) and she tells her stories well. She also seeks to set the context of her various interviews and give insights into the life and character of the various people she encountered. This both makes her accounts more interesting and provides helpful context.

One of the strengths of her accounts is that she does not deal in caricatures. She comments that she “came to understand that [the individuals involved in emerging market business] were complex, multi-dimensional people” and that “Caricatures of them that I had read both in books and in the public media did not quite resonate with my experience spending hours talking to people” (page 169). It is in this spirit that Hoang seeks to understand how the various actors rationalise their activities and even, in some cases, compartmentalise their lives so as to keep a distance between their “playing in the gray” (as she calls their activities) and their home or other private lives. She also recognises a spectrum of willingness to play in the gray: “anti-corrupters”, “greasers” and “bribers” being among the possibilities.

Likewise, Hoang acknowledges that business activities in emerging markets are themselves legally and morally more complex than is sometimes suggested. For example, it is good to see her recognising that some complex structures serve “pragmatic functions beyond secrecy and evasion… [which] include privacy, tax concerns, finessing weak local banking institutions, off-shore arbitration, access to a wider pool of global investors, asset protection from law suits, easier off-shore exits, and the ability to send and receive payment in private through designated nominees”. She also appears to accept the difference between the ensuring of secrecy (because there is something nefarious to hide) and a desire for privacy.

Readers need to be on their guard in relation to Hoang’s use of terminology, which in some cases does not correspond to normal business usage. For example, she describes transfer pricing as an accounting practice designed “to legally write off parts of the costs of the business”, (page 126). She also quotes one of her contacts as saying that “a special purpose vehicle is a paper company set up off-shore” (page 4) and appears to have adopted this definition, which may be useful in the context in which she was operating but is a very narrow conception of a special purpose vehicle.

More seriously, Hoang sometimes fails adequately to distinguish legal from illegal activities and she has a tendency to overstatement. For example, although in one place she recognises that the limited partners of an investment entity may comprise pension funds and other institutions, she focuses on individuals who are limited partners, stating that “they are all global citizens who claim citizenship in one or two countries but regularly travel all around the world” (page 28), which is unhelpful since it does not reflect the reality of many investment funds or their investors. She also states that “the world is now divided between [High Net Wealth Individuals] and poor people across developed, emerging, and frontier markets around the world” (page 19), which is an extraordinary statement bearing in mind that the growth of the middle class has been one of the most notable features of economic development in South, South East and East Asia over the past generation.

Statements such as this point to the more fundamental problems with Hoang’s book. She has conducted research into a particular type of business in two emerging markets but she wants to draw conclusions of much broader applicability. Some of her conclusions may be correct but her evidence does not demonstrate this. Myanmar is by no means a typical emerging market and, although Vietnam may be regarded as more typical, it has a particular history. It is probable that some practices in these countries are replicated in other places (e.g. Sub-Saharan Africa), but it is dangerous to make assumptions in relation to this. Hoang makes clear that cultural factors play an important part in the way in which business is conducted and one should not automatically assume that business practices are the same in places where the cultures are radically different.

Furthermore, one should not assume that the practices that are prevalent in relation to business start-ups and early-stage external investment in businesses prevail in relation to more mature businesses, particularly those which have major international funds and corporations among their investors. Hoang at times appears to recognise this (e.g. she notes that the people she was dealing with were involved in business ventures that were too small generally to hit the headlines and that businesses tend to spend time cleaning up their practices and accounting prior to moving on to the later stages of their development). However, this does not prevent her making sweeping contentious generalisations.

She says that her goal is to “give global capital a face” (page 9, emphasis original) and she seems to believe, without supporting evidence, that what she has found is representative of global capitalism as a whole. For example, she states that frontier markets “illustrate how most capital accumulation takes off through a set of transactions that are often considered corrupt and dirty” (page 10), which is a grave exaggeration. Likewise, she constantly refers to “global elites” as if they comprise the people she is studying whereas, in fact, many of these people could not by any stretch of the imagination be described as “elite” and the majority of those who may properly be regarded as the “elites” have very little to do with the kinds of investments that Hoang has studied.

All of this seems to be associated with Hoang’s ideological commitments. These are manifest in her use of loaded language, of which the metaphor of “spiderweb capitalism” is the most obvious example. She presses this analogy, suggesting that there are both “dominant spiders” and “subordinate spiders” and that “Some spiders build and repair the web, some subdue and organise the prey, still others work to keep the place clean” (page 22). Even more memorably, she asserts that “the ‘prey’ in spiderweb capitalism encompasses the public and all those who are snared in these capital webs” (page 24). This type of language may be picturesque but it is not what one would expect in an academic work and it obscures rather than illuminates the complexity of the relationships and activities that Hoang is analysing.

Much of what Hoang has uncovered is blatantly illegal or, at the very least, highly morally dubious and it undermines economies and healthy social structures. Many people will doubtless say that she merely confirms what they already knew or suspected but her findings nonetheless deserve to be studied carefully, particularly by western investors and professionals, some of whom may be tempted either to close their eyes to what is going on or naively to assume that all is well when it is not. Ultimately, however, Hoang appears to get carried away by her own metaphor and exaggerations.

Her ten page conclusion builds up to a crescendo that bears little connection to the preceding research. She asserts that “One consequence of these massive webs is the growing economic inequality between the rich and poor globally” (page 220), which accords far too much importance to the types of business that she has examined; she adds “These structural webs produce intersecting consequences, including poverty, climate change and environmental damage, and the out-migration of people” (page 221), assertions for which she has presented no evidence. She concludes: “Future generations must have the creative will to build a society with policies and protections in place to save our planet, reduce inequality, and prevent most people from becoming trapped, drained, and lost in these massive spider webs” (page 221), which is a disappointingly polemical ending to some interesting and thought provoking research.

“Spiderweb Capitalism” by Kimberly K Hoang was published in 2022 by Princeton University Press (ISBN: 978-0-691-22911-9). 240pp, plus notes.

Richard Godden is a Lawyer and has been a Partner with Linklaters for over 30 years during which time he has advised on a wide range of transactions and issues in various parts of the world.

Richard’s experience includes his time as Secretary at the UK Takeover Panel and he is currently a member of the Panel. He also served as Global Head of Client Sectors, responsible for Linklaters’ industry sector groups, and was a member of the firm’s Executive Committee.

Daniel Finn holds chairs in both Economics and Theology at St John’s University and the College of St Benedict in Minnesota. He is, therefore, both a representative and exponent of the intellectual tradition within Roman Catholic thought that seeks to apply Christian thinking to economics and business.

Finn has brought together 12 authors to contribute, singly or jointly, to this volume of essays which seeks to explore the moral assessment of business from a Catholic perspective and to do so in a deeper way than the more usual debates around personal integrity or assessments of capitalism and socialism. He argues that such an approach leaves fundamental questions unanswered, although the actual content of those questions is not entirely clear. Nevertheless, this volume presents a series of essays which seeks to address the morality of business within the tradition of Catholic social thought.

The book is divided into three parts. Part one consists of two useful chapters on the perspectives of CEOs and then a reflection on the history of commerce and communion in the history of Christian thought. Part two discusses the internal dynamics of business with three chapters dealing with matters such as agency and the technocratic paradigm. Part three looks at the wider responsibilities of business including approaches to business ethics, the idea of “good goods”, the moral ecology of business and the moral legitimacy of market decisions.

The first chapter gives fascinating insights into the perspectives of three CEOs of companies ranging from a family-owned manufacturing company to a more widely held investment and banking company, one of whom spent many years as a senior executive of a large public company.

These insights are wise, incisive and illuminating. The purpose of business lies at the heart of these senior leaders’ perspectives. Business is intended to meet real needs, profit is essential. However, trust, integrity and quality products are not by-products but central to the mission of their companies. Thomas Holloran noted that during his time with a large public company the shareholders all did very well and yet the company’s mission was not about maximising shareholder wealth. Unsurprisingly, all three opt for a stakeholder model. Although I largely agree with this approach one wonders whether we may have so caricatured the idea of profit maximization that we are in danger of missing some important aspects of the purpose of business. Mary Hirschfield, in chapter 5, dealing with the technocratic paradigm, undertakes a useful exercise in setting out the main arguments in defence of profit maximization as producing socially optimal outcomes in a logical and balanced way (pp95-98). We need more of this honest debate.

All three of the CEOs also emphasised personal responsibility, culture, virtues and the moral qualities of goods and services. Thomas Holloran points out that it is a misconception that most business people are greedy or dishonest. On the contrary, he argues, most are deeply moral (pp22-23). This is an important corrective to the notion that all business is exploitative and business executives are only interested in their own success and profits.

The remaining chapters are somewhat more of a mix tackling important individual subjects but it is not always clear how they relate to the wider picture. Too many of the chapters are stand-alone narratives (albeit with attempts to cross-refer). I would have preferred a more clearly articulated overall vision rather than Daniel Finn’s very brief introduction. However, this is a relatively minor quibble and does not take away from the importance of the collection as a whole.

The strongest chapters are those that reach out further into wider debate.

One example of this is Martin Schlag’s chapter on the responsibility of business for the moral ecology in which they operate (chapter 8). Professor Schlag engages critically with two recent critics of the market, Michael Sandel and Jean Tirole.  Schlag rejects the presumption that markets and morals are in opposition to each other, noting that for Thomas Aquinas, ‘it would be inconceivable to affirm that markets are amoral in their operations’ (p165). Schlag, then, is determined to make us work hard through involvement in the market rather than separation from the market. This is an important theological corrective to the points of view either that business is evil and to be avoided, or that our real calling is to Christianise business. Rather we should view business as part of God’s provision for humanity and a place to exercise Christian character and responsibility. Schlag also builds on Aquinas to remind us that private ownership entails obligations and this includes the owners and ownership of business. In this way business is an integral part of the wider ecology of economic life encouraging the flourishing of all.

Chapter 7, by Daniel Cloutier, dealing with “good goods” is a useful and interesting discussion around the nature of goods. The author identifies three categories of questionable goods, those that are defective, harmful or futile. However, these criteria are negative and not always straightforward (for example, in the case of weaponry). The criteria adopted for futile goods are more instructive. We might purchase futile goods for three reasons, according to the author, the pursuit of luxury, our own self-identification, or consumption as an end itself. The point is that they suggest, “an implied reversal about what is important in life” (page 151). This chapter also discusses the gig economy which sets up some interesting questions. Unfortunately, these are then not pursued leaving the reader feeling rather let down that the analysis had not been extended to a central feature of the modern economy.

One helpful feature of the book is the manner in which the authors of many of the chapters refer back to and locate their observations in the comments of the CEOs in chapter 1. This is a useful link of theory and practice.

I enjoyed this book and recommend it. The chapters were somewhat more disparate than I expected; all were interesting, some were outstanding. We can also give thanks that a group of theologically informed writers are both willing and able to engage with economics and business. Most of what was discussed was relevant to our common Christian tradition.

Daniel Finn asks an appropriate question in his opening sentence, ‘Can a religion whose founder taught love of neighbour as the most fundamental moral principle give moral approval to profit-seeking business firms in a global economy?’ (page 1). As James Heft noted in his Afterword, the CEO interviews reveal that all business leaders “face decisions that are often not black and white and who have to make practical judgments that involve inescapable trade-offs, situations where hard decisions have to be made” (page 222).

Elusive though the answers may remain we should be thankful for this group of scholars exploring these questions and dilemmas. We leave the last word to Professor Schlag:

‘The task of Catholic social thought is neither to be irenic nor cynical but realistic, with a realism that presents constructive, practical solutions not for the righteous but for reasonable people’ (page 174).

“Business Ethics and Catholic Social Thought,” edited by Daniel K Finn was published in 2021 by Georgetown University Press (ISBN: 978-1-64712-074-0). 245pp.

Dr Richard Turnbull is the Director of the Centre for Enterprise, Markets & Ethics (CEME). For more information about Richard please click here.

Much of The Biblical Entrepreneur’s Experience comprises a rather simplistic and selective use of scripture to support a particular world-view, namely a North American free market system. As such, it could almost be categorised as espousing a prosperity gospel, in which correctly following biblical methods will necessarily bring success in business (see Chapter 2 for Davis’s “system”). The examples given in the book, of entrepreneurs such as Sarah Breedlove (Madam C.J. Walker), Strive Masiyiwa and Scott Harrison, tell this story in an often engaging way, but at times verge on a parody, which attempts to represent the complex riches of the Christian faith in an unreflective manner. One example is the song “The Hairdresser’s Ode to Madam C.J. Walker”, to the tune of “Onward, Christian Soldiers”, which the author cites approvingly (pages 72-73). The ‘mission’ of beautifying hair is conflated completely with the great Christian Commission in a manner that I found both disturbing and shallow.

Davis’s central metaphor, akin to a sermon illustration, is that of ‘bees and fleas’, and the author uses the bee/flea imagery to invite the reader into his world-view. BEEs (Biblical Experiential Entrepreneur) are good, and FLEAs (in-Flexible Learnt Entrepreneurial Antagonist) are bad. At the heart of Davis’s analysis is the proposition that “A BEE creates; a FLEA takes” (page 22). The book is peppered with “fun facts”, such as, “The honeybee has a heart!” (page 143), and side-bar notes, for example, “Strive – to devote serious effort or energy; to struggle in opposition” (page 115). Taken together, the above makes the overarching style of the book quite propositional and un-nuanced.

However, at times the book is also informative and every now and again I was pleased to find an interesting comment or statement that, I felt, contributed in a thoughtful way to a theological consideration of the subjects of enterprise and of entrepreneurial behaviour. For example, on the theme of entrepreneurial endeavour, Davis suggests: “It is to prepare the entrepreneur for the next life: a venture more fulfilling than its worldly counterparts” (page 5). This statement sketches out an idea which could be developed into some deep vocational thinking on the kingdom of heaven, and the place for enterprise within God’s enduring purposes. In another intriguing statement Davis comments: ‘…through grace we are given a great opportunity to provide others with a needed product or service to glorify Him – not ourselves” (page 11). Here, the themes of God’s grace, human need (not desire), and divine glory are all connected together under the umbrella of enterprise.

In Chapter 6 biblical examples are used to support the practice of “active listening”, as a way of harnessing God’s messages imparted through others, and Davis interestingly adds some thoughts about the challenges of fear and pride (pages 46-47). This “active listening” to others is to be set alongside the need for regular meditation on scripture (Chapter 15), not mere uncritical proof-texting, which appears elsewhere in the book. Separately, Chapter 10 plays with the “beehive” imagery and the way hexagons fit together perfectly, an illustration of how a project should work, a line of discussion that concludes with this communitarian statement: “…an individual cannot save the world; however a swarm of BEEs in each city can rebuild areas, then blocks of areas, followed quickly throughout a city. Multiple cities make up a country. Multiple countries make up a region. Multiple regions make up the world” (page 104).

A different book might have taken some of these statements and developed them by placing them alongside (and sometimes in tension with) the thinking set out by other authors who have considered the place for enterprise within the Christian world-view. The reader is left to do this work for themself. For example, the rich and in my mind helpful concept of the vocation of the entrepreneur, as proposed by Davis, could have been explored within a more general discussion on vocational calling, and specifically the nature of work within God’s providence.

In a way, the most inspiring section of this book for me was Section 6 (Chapters 16, 17 and 18), which describes empirical research about the distinctiveness of Christian-led and Christian-inspired businesses. Such enterprises typically have greater productivity, staff loyalty, and general outperformance. In this regard, I found the story of Walker Mowers engaging, not least the way in which the owners and directors of this business deliberately attempt to tell the story of the company within the bigger context of the story of salvation history (page 155). An enterprise is thus no longer a means to an end (profit), but is part of an over-arching narrative that embraces God’s purposes. This theme alone could have been developed into a major piece of thinking that I believe would be incredibly timely and helpful for business in today’s world.

In sum, this is a “popular” rather than “scholarly” book. It is, in the main, an easy read with occasional thought-provoking nuggets. With rather less “prosperity gospel” and rather more theological reflection on the important themes that are hinted at, it would have been much improved upon.

“The Biblical Entrepreneur’s Experience” by S Leigh Davis was published in 2021 by River Birch Press (ISBN-13: 9781951561802).  260pp.

Edward Carter is Vicar of St Peter Mancroft Church in Norwich, having previously been the Canon Theologian at Chelmsford Cathedral, a parish priest in Oxfordshire, a Minor Canon at St George’s Windsor and a curate in Norwich. Prior to ordination he worked for small companies and ran his own business.

He chairs the Church Investors Group, an ecumenical body that represents over £10bn of church money, and which engages with a wide range of publicly listed companies on ethical issues. His research interests include the theology of enterprise and of competition, and his hobbies include board-games, volleyball and film-making. He is married to Sarah and they have two adult sons.

Some of the toughest and most complex challenges faced by businesses and corporations in today’s world involve ethics and morality. This is in part why the study of business ethics has now become central in MBA and other programmes.  But the very complexity of these challenges, in an increasingly pluralized as well as globalized world, present a danger that companies lose sight of the big picture – failing to see the wood for the trees.

Lutge and Uhl seek to assist here by providing a comprehensive overview of the essential concepts of business ethics related to the economy as a whole.  At the same time, they offer a wide-ranging analysis of the issues and tools that corporations need to be aware of as they consider the ethical and moral dimensions of their activities.  So, this book – Business Ethics: An Economically Informed Perspective – is distinctive and helpful in the comprehensiveness of what it offers.

Lutge and Uhl are German-based scholars who evidently have deep knowledge in these very important areas – which cover a wide range of academic disciplines.  The quality of their English writing is very good, and the book will be a valuable resource both for companies (especially medium-size and large companies), as well as individuals who have senior-level responsibility.

The authors sometimes refer to their book as a ‘textbook’. However, my impression is that is more of a comprehensive survey than a teaching book as such.

Chapter 1 sets the scene by discussing briefly the phenomenon of globalization. The authors argue that globalization poses a challenge to virtue ethics: “It is an enormous challenge to find some plausible common ground” for a meaningful ethical dialogue “if a common denominator of values does not exist” (pages 13-14).  The authors propose that a more helpful approach is offered by order ethics: the focus here is more on rules than on values.  “The key idea of order ethics is to look out for strategies on the level of rules that enable win-win solutions for all affected parties” (page 14).  The authors return to this emphasis a number of times.

Chapter 2 provides a brief analysis of the relationship between ethics and economics. The authors interpret business ethics as ethics with an economic method.  This links to the book’s subtitle: An Economically Informed Approach. Lutge and Uhl argue that, from the point of view of business ethics, “production and distribution should be recognized as interdependent and therefore only discussed simultaneously” (page 26).  Similarly, “it is only in the interplay of ethical reflection and economically informed implementation that rules and institutions can be created that are resistant to exploitation and mutually beneficial” (page 31).

Chapter 3 surveys the development of business ethics thinking in the historical context of the distinction between premodern and modern companies. The authors include a brief survey of ethical teaching in the Bible and Christian thought, as well as Hinduism and Islam. They argue that the complexity of the 21^st century world means that it is insufficient to have an ethics of behaviour: one must also think about the ‘ethics of conditions’, by which they mean the rules of competition (page 52). This chapter makes a strong case for the benefits of markets and competition.  It also argues that business ethics can to some degree be regarded as a form of risk management.  “Especially in an information society…it is in the company’s own interest not to ignore the moral dimension of its own actions” (page 37).

Chapter 4 is a more lengthy survey of key models and tools of business ethics and corporate ethics.  It consists of three sections: the first looks at philosophical foundations and tools, such as deontology and consequentialism and contractual concepts (e.g., the work of Hobbes, Kant and Rawls). The second section focuses on economic and social-science foundations and tools, such as the rational actor, dilemma structures (e.g., the ‘Prisoners’ Dilemma’) and the concept of utility.  These tools are applied to concepts of justice. The third section deals with psychological foundations and tools.  Major subjects considered here include the social intuitionist model of moral judgment and the concept of bounded ethicality: a perhaps unfortunate piece of jargon which essentially refers to the study of how and why ethical decision-making can be inconsistent and thus problematic – both on the part of individuals and organizations.

It would be fair to say that the evident breadth and depth of Chapter 4 means that it is not easy reading. But this chapter does illustrate the usefulness of the book as a comprehensive survey, and thus a tool for reference and reflection.

Chapter 5 looks in depth at some of the challenges of the modern globalized world, and seeks to show how these impinge on business ethics.  This chapter considers absolute poverty and relative poverty, and then evaluates the extent to which equality is a valid goal, in ethical terms.  The authors’ overall approach is reflected in the following words: “It does not make sense to construct a fundamental trade-off between freedom and equality.  Rather, there should be a search for win-win opportunities that improve all parts of society so that no group feels systematically left behind” (page 168).

Chapter 6 is the last and most comprehensive chapter in the book, and addresses a number of aspects of corporate ethics.  In doing so, it pays due attention to the fact that companies are key players in the globalized world.  Again, this book is seen to offer a very important survey of material and perspectives that are vital, especially for larger corporations.  A number of case studies are provided (in this and other chapters) which help to highlight the practical nature of the challenges and ethical issues.

Chapter 6 provides a detailed analysis of compliance – as a minimum ethical requirement – including the limits of compliance.  It then considers different perspectives on corporate responsibility, including the relationship between profit-maximization and ethical responsibility, and corporate ethics based on the role of ‘the honourable gentleman’ – this latter approach having been recently revived through, for example, the Harvard Business School: “As one of the world’s top management schools, it is providing a prominent stage for individualistic concepts and moral codes” based on honour (page 237).  The authors are, however, sceptical and critical of this development: the question arises as to how such an approach “can be implemented in concrete terms in the context of value pluralism. Even if it were possible to agree on certain values – at least within a certain cultural sphere – there would be obvious disparities in the actual evaluation and respective weighting of particular actions” (page 238).

The authors argue, instead, that the complexity of the modern world “requires the implementation of ethical values in the form of rules and institutions” (page 239).  However, it would seem that further thought is required here: unless there really is some given moral foundation for behaviour and conduct – such as that provided by the Christian faith – then any “implementation” of ethical values is ultimately lacking in foundation.  Even though today’s world evidently exhibits some degree of moral pluralism – and hence relativism – it is still surely possible to draw people together to engage in meaningful conversation about what is right and just.

Chapter 6 concludes with a survey of concepts of corporate social responsibility, including the importance of guarding against reputational risk and loss that can arise if companies fail to act in line with ethical principles. Once again, this illustrates the usefulness of the book as a comprehensive reference, to help guide companies, and those who have senior responsibility, through the complexities that surround business ethics.

“Business Ethics: An Economically Informed Perspective” by Christopher Lutge and Matthias Uhl was published in 2021 by Oxford: Oxford University Press (ISBN 978-0-19-886477-6). 353pp.

Revd Dr Andy Hartropp is an economist, theologian and church minister.  He has two PhDs, one in Economics and one in Christian Ethics.  He lectured in financial economics for 5 years at Brunel University, west London.  He also worked for a year with the Jubilee Centre in Cambridge, primarily leading a team doing research on families in debt.  He trained at Oak Hill College, London, for ordained ministry in the Church of England.  His (second) PhD was published as: What is Economic Justice?  Biblical and secular perspectives contrasted (Carlisle: Paternoster, 2007).  He has spent 13 years in parish ministry.  He worked for eight years with the Oxford Centre for Mission Studies, where he was the Sundo Kim Research Tutor in Mission and Economics.  In March 2016 he joined Waverley Abbey College as Director of Higher Education.  He chairs the Ethics and Social Theology Group of the Tyndale Fellowship.  He is married to Claire, and they live in Bicester, near Oxford.

Jeremias Prassl is a Fellow of Magdalen College and an Associate Professor in the Faculty of Law at Oxford University. He advises public and private sector organisations on regulating the gig economy. In his book entitled Humans as a Service, Prassl re-evaluates the merits and pitfalls of the “gig economy” and seeks to discover ways that society might benefit from the gig economy without falling into “extreme forms” of labour force commodification (page 4).

For those of you wondering what the “gig economy” is, Prassl describes it as “…an ever-growing number of start-ups, […] online platforms and mobile apps [that] connect consumers, businesses, and workers – often for jobs lasting no longer than a few minutes” (page 2). The term “gig” invokes an artist’s gig for a time-limited and (usually) one-off performance.

This new and growing space labelled as the “gig economy” poses both opportunities and challenges.  On one hand the digital space has enabled an unparalleled level of growth and innovation in the exchange of goods, services and other forms of capital at instant speeds – creating value for all participants (page 3). On the other hand, critics argue that a deregulated gig economy leads to a commodification of labour whereby “those with money will be able to […] hire those without money by forcing an online bidding war to see who will charge the least for their labour” (Ibid.).

The book seems to be written with the “educated reader” in mind. The author makes extensive use of practical examples whilst limiting overuse of legal jargon, which makes the book accessible to the specialist and non-specialist alike. The contents are structured among six main chapters and while we will not detail each in part here, we will touch upon some of the key points that may warrant further discussion.

Chapters I and II lay out the foundations of the gig economy: its internal workings, the role of digitalisation, the role of regulation (or lack thereof), and so on. Prassl points out that large actors within the gig economy are mistakenly given the benefit of the doubt when found guilty of mistreating their employees (or contractors). This is largely done by hiding under the “innovation” banner and perhaps abusing the public’s perception of innovation as a natural industry disruptor. Once section in the second chapter highlights the discrepancy between the authorities’ response to Mike Ashley’s Sports Direct zero-hours contracts scandal, and the ill treatment of ride sharing drivers for Lyft & Co. in the US (page 41-42). Prassl asks, “Why, then, is it that Mike Ashley was (rightly) subjected to parliamentary humiliation, whereas the sharing economy is celebrated by its very own cross-party caucus in the US Congress?” (Ibid.).

Chapters III and IV continue the discussion and look at life within the gig economy and the dilemmas that innovation can give rise to, particularly in respect to applying the appropriate level of regulation. Prassl points out an “innovation paradox”: “…it is undoubtedly true that key elements behind the rise of the sharing economy are completely new – first and foremost, their reliance on the internet, smartphone apps and digital platforms […] When it comes to work in the on-demand economy, on the other hand, the story is a very different one” (page 72). It is the capacity to accurately differentiate between the truly novel and the outwardly novel that policymakers will need if they are to develop an appropriate regulatory framework.

Chapters V and VI conclude the discussion by looking at various approaches of harnessing the benefits of the gig economy whilst restoring and protecting workers’ rights. Prassl argues that a key element is ensuring that everyone plays by the same rules, “…we need to redress structural imbalances and create a level playing field – with employment law at its foundation” (page 119).

To conclude, Humans as a Service by Jeremias Prassl is a great overview of the opportunities and challenges that the gig economy brings for all stakeholders involved. However, (and given that this piece of work is primarily written from a legal perspective), one cannot help but feel that insufficient voice has been given to the non-legal (or non-regulatory) solutions to the problems facing the gig economy. Some of these might include: allowing for market corrections and re-structuring, online reputation management, the implications of reputation damage, the increasing role of independent reviews in online decision-making, and so on. This would encompass a much broader discussion that the book sorely misses.

That is not to say these are unequivocal answers – yet a more thorough investigation into the non-regulatory means of transforming the gig economy would have benefited the book greatly. If readers can look beyond the “regulation is the answer” approach (which no doubt, some will), Humans as a Service is a good and informative read. It is just a shame that it missed the opportunity of being an excellent read. Perhaps an economist’s response to the book would help – let’s hope that we see such endeavour in the future.

Prassl, Jeremias. “Humans as a Service: The Promise and Perils of Work in the Gig Economy” was first published in 2018 by Oxford University Press (ISBN:9780192517388). 199pp.

Andrei E. Rogobete is the Associate Director of  the Centre for Enterprise, Markets & Ethics. For more information about Andrei please click here.

This book is the product of an extensive research programme undertaken between Mars Catalyst, which is the internal think-tank of the Mars company, and the Saïd Business School at the University of Oxford. Professor Colin Mayer is a leading voice in the debates around business purpose and has written and spoken extensively in the field. His previous writing in this area includes Firm Commitment (OUP, 2013), and Prosperity (OUP, 2018). He is insightful and measured and this comes through in this volume. Bruno Roche was formerly the chief economist of Mars, Inc. and the head of Mars Catalyst. He brings both practical business experience and a commitment to thinking about and developing both the ideas and practices around business purpose. He developed the idea of the ‘economics of mutuality’ a surprisingly confusing concept, but one with a lengthy history in Mars. A fascinating and interesting project.

The book has four parts. The first deals with consists of an introduction and overview by the editors. Part II consists of seventeen contributions designed to deal with the core components of the ‘economics of mutuality’ including reflections on purpose, various aspects of non-financial capital (human capital, natural capital, social capital), accounting and measurement issues and the role of micro-equity, investment funds, partnerships, NGO activism and other matters. Part III includes 14 case studies and then Part IV is a conclusion.

The book contains some significant insights, offering areas for further research and useful debates on important topics, all of which build on current knowledge and research in this increasingly important area. However, the book seeks to achieve far too much and consequently ends up with disconnects between the debates in Part II and the subsequently case studies.

The book’s premise is that the classic Chicago economic model of profit/shareholder value maximization was misconceived in its very nature but that business is in a position to be a profitable force for good that transcends self-interest ‘for the benefit of people, planet and profit’ (page 4) which is labelled mutuality. There are merits, as well as flaws, in the Chicago model but few would argue with the second part of that statement.

The history of the idea of mutuality as it relates to Mars is set out by Jay Jakub in chapter 4. Forrest Mars Snr wrote, in a 1947 letter, that the aim of the company (page 57) ‘is the manufacture and distribution of food products in such manner as to promote a mutuality of service and benefits,’ listing consumers, suppliers, competitors, government, suppliers, employees and shareholders as all sharing in this mutuality.

The economics of mutuality takes specific account of a wider range of impacts on people and planet, not least through embracing human, social and natural capital (chapters 10-13). The term ‘economics of mutuality’ though is confusing. The ideas extend beyond the ideas of mutual ownership (see chapter 17) but that is what most people will immediately think of and hence might be distracted from the wider argument. The terminology cannot be readily grasped.  There remains a distinct vagueness when discussing the range and measurement of alternative forms of capital. The editors define mutuality as involving trust, a wider and more pragmatic view of the firm, measuring non-financial performance and developing simple metrics and reporting. The book would have carried more coherence if this definition had more clearly formed the shape of the book and then developed in the case studies. This would have given both a sharper and yet more in-depth analysis.

At the heart of the argument is the idea that the effective boundaries of the firm should be extended beyond the contractual definitions of the traditional corporation which then enables the establishment and pursuit of wider purposes. This argument merits much more discussion as it is a genuinely innovative and creative idea. Colin Mayer and Bruno Roche argue, ‘companies are part of larger business ecosystems and as such, have responsibilities to individuals, communities, and resources that contribute to business performance’ (page 14).  Few would disagree with that and yet extending the boundaries of the firm poses challenges for the structure and nature of the corporation and there remain several conundrums. What is the legal structure which will shape the future corporation? How will the various contractual relationships be reflected in that structure? Are there different possibilities for public, private and family companies?

Another area of significance identified and certainly in need of further research is the development of metrics of measurement for the wider range of capitals identified leading to the idea of a mutual profit and loss account. Chapters 13, 14 and 15 dealing with accounting for natural capital (Richard Barker), implementing a mutual profit and loss account (Robert Eccles and Francois Laurent) and the impact of mutual profit on business behaviour (Robert Eccles and Judith C. Stroehle) were all excellent chapters pushing at the boundaries. Yet, it remained theoretical. One was left wondering whether anyone had actually implemented this sort of accounting approach. As Eccles and Laurent note, to be ‘meaningful and effective, the mutual P&L relies on the selection of material issues and initiatives, the right metrics, and a certain degree of stability over time’ (page 197). This is essentially a rather vague and highly subjective set of criteria; accounting and measurement, however, depends on objective criteria. No concrete examples were actually given and the idea was not explored in the case study section.

The case studies are all examples of businesses which pursue wider purposes and objectives for the good of society, for people, for planet and also for profit. The examples range from supply change management, micro-equity initiatives, fair trade, alleviation of poverty and specific examples of business eco-systems designed for the good of society. Some are well-known. All are good, even inspiring examples of profitable business for good. What was much more difficult was to see the specific (rather than general) link between the earlier chapters and the case studies.

Overall this book is a helpful contribution to the wider debates and draws on a number of important areas for further development and future research. The question remains of how business, mainstream commercial business, can be refocussed in positive ways for the benefit of the various mutually inter-dependent players, rather than simply some good examples of business for good. This requires a more focused approach, reflection on legal structures, their limits and boundaries, and how to reflect new structures as well as the issues of measurement and reporting across a wider range of metrics.

Putting Purpose into Practice: The Economics of Mutuality, edited by Colin Mayer and Bruno Roche was published in 2021 by Oxford University Press (ISBN: 978-0-19-887070-8). 404pp.

This book is a collection of eighteen separate but thematically connected papers which were given at an international academic conference in Belgium in May 2018. The organising principle is an enquiry as to whether the ‘will to serve’ must always be ‘crowded out in the real economic arena of hard competition’ (page vi). The authors are very diverse, with global perspectives offered, although there is an inevitable impression at certain moments that one is eavesdropping on a room full of academics talking to one another and there is some repetition, notably when it comes to the description of what ‘servant leadership’ might be.

I found some of the papers stronger than others but I enjoyed reading all of them, and was left with ideas and questions about re-discovering a wider view of how businesses and companies operate within society. Originally the granting of ‘limited liability’ was seen as a privilege that brought responsibilities towards the community. Those responsibilities have at times been largely overlooked in the single-minded search for profit, which in turn has shaped the kind of leadership the corporate sector has embraced and this volume is a helpful contribution to a growing literature that urges a wider view of what makes for good leadership (whether described using ‘servant’ language or not), as well as a broader view of the very purpose of business and enterprise itself.

It is difficult to summarise such a diverse set of essays, and even the over-arching theme of servant leadership seemed not to be dominant. There are three sections: (1) Philosophical and Spiritual Foundations; (2) Social Entrepreneurship: Serving the Common Good; (3) Servant Leadership in the Context of Business. The general movement through the collection is from concepts to practice, although there is plenty of overlap.

Section 1 (Philosophical and Spiritual Foundations)

I found the most thought provoking of the seven essays in Section 1 to be Ipseistic Ethics Beyond Moralism: Rooting the “Will to Serve” in “The Reverence for Life” by Chris Doude van Troostwijk and The Dark Side of Servant Leadership: Power Abuse via Serving by Volker Kessler. 

Despite its title, the former is very readable. It uses Albert Schweitzer’s life-story as a vehicle for the author’s argument, which is an attempt to answer this question: ‘Is there a way that respects both the self-centered impetus of human life and the altruistic needs of life in general?’ (page 82) I was especially intrigued by the author’s appropriation of Darwin’s ‘survival of the fittest’ theme so as to re-evaluate ‘fit’ as a social idea – the cooperation needed for someone to be a ‘good fit’ within an organisation.

Volker Kessler’s paper contrasts strongly with the others, in that the author (a practitioner with his wife Martina) draws upon a data-base of stories to describe eight mechanisms of power abuse in Christian organisations. The main issues are those of inappropriate obligations and commitments, and a culture of dependency masked as being reciprocity. This sentence stood out for me: ‘Many of the misuses listed… could be avoided if leaders would not call themselves servants.’ (page 119) Every Christian leader would benefit from reading and reflecting on this article.

Several of the other essays are also interesting. Two take a Christian perspective: Patrick Nullens’ paper (The Will to Serve: An Anthropological and Spiritual Foundation for Leadership) looks at the moral aspects of servant leadership, and makes theological links to Christian love and Christ the servant/slave. Nullens raises human fallenness, and therefore the need also for justice – a wider concept linked to the common good; and Heiko Wenzel’s essay (Reading Exodus 18 and Robert Greenleaf) refers to Exodus 18 (Moses’ leadership) as a way of exploring the differences between hierarchical leadership and a ‘first among equals’ model. Issues of organisational culture and participation, and how they are shaped, are considered. In contrast, in Simone Weil and a Critical Will to Serve Michael J. Thate draws on Simone Weil’s thought, in which the theme of ‘creative attention’ is prominent – this being attention towards the world, and a kind of ethical awareness that avoids rigidity.

The other two essays in Section 1 are disappointing. First, Servant Leadership Beyond Servant and Leader: A Buddhist Perspective on the Theory and Practice of Servant Leadership by Ernest C. H. Ng sketches out a model called ‘Interdependent Leadership’. This suggests that changes can be delivered only when confronting thoughts are transcended and any place for opposites or ‘contest’ is removed, but I struggled with understanding how this analysis might become a practical tool.  Secondly, Christianity and Servant Leadership by Peirong Lin among other things considers the concept of the ‘leadership moment’ (page 124), and the need to hold leader, follower, purpose and context together. I liked the phrase, ‘Normal things have parable character’ (page 135), borrowed from Dutch priest and professor Tjeu van Knippenberg, but overall this article felt fairly general to me.

Section 2 (Social Entrepreneurship: Serving the Common Good)

All six essays in Section 2 provoke thought, especially for Christians. The section opens with Emilio Di Somma pushing back against the Milton Friedman version of economics, and seeking to find a place for power-relations, politics, and human dignity within the discussion (Protecting the Weak and Creating Community). Serving is therefore mainly characterised as relinquishing power, and the example of Adriano Olivetti as an exemplary and socially responsible entrepreneur is used. I found myself arriving at the interesting conclusion that ‘making things well’ might be more important than making a profit, although the two are of course not mutually exclusive.

Foundations for Social Entrepreneurship: An Integrative Indian Perspective by Sharda S. Nandram, Puneet K. Bindlish, Harsh Purohit, Ankur Joshi, & Priti Hingorani explores the idea that entrepreneurs might be drawn towards social entrepreneurial activities because of themes lying within Indian philosophy. There is some methodology and interpretation, although I was left wanting more of this. The most interesting concept is that of the ‘public domain’, and why some entrepreneurs seem willing to gift their ideas and creativity to the world, for example Tim Berners-Lee and the world wide web.

Workplace Spirituality in Social Entrepreneurship: Motivation for Serving in the Common Good by Natasha Gjorevska describes ‘spiritual entrepreneurs’ as a category, and explores a complementary relationship between the concepts of social enterprise and workplace spiritual leadership. ‘Spiritual’ here is not necessarily ‘religious’, but embraces themes such as ‘meaningful work’, ‘purpose’, and a ‘sense of community’. However, there are plenty of resonances with Christian thinking about vocation, and the common good.

Mindful Servant Leadership for B-Corps by Kevin Jackson provides some helpful (for me) background information about B-Corps, which are essentially public benefit companies that also exhibit non-instrumental motivations: ‘…ethics for their own sake…’ (p.213). The other main strand within this paper concerns ‘mindfulness’, which keeps a leader’s view wide, and therefore overlaps with the bigger societal purposes of a B-Corp. I translated this for myself into a Christian understanding of prayerfulness, and the big-picture view of creation, and new creation in Christ. With a bit of interpretation this article would be of interest to Christian business leaders and entrepreneurs as they look to the wider purposes of their organisation.

In The Religious Leader as Social Entrepreneur, Jack Barentsen begins by raising the concern that an apparently ‘servant’ religious leader might only or mainly be motivated by the need to proselytise. However, the argument is put that this is usually not the case, and that a broader view of the common good is in mind. One specific example is peacebuilding. Barentsen notes the well-known fact that people of faith are much more likely to volunteer (‘serve’), and therefore contribute to social capital, and he has a useful section, albeit descriptive rather than analytical, on religious leaders as entrepreneurs. I liked his final question asking, are religious leaders helped and trained to be social entrepreneurs, or common-good-builders. My sense is that in the church I belong to the answer is, ‘No’.

Serving the Poor: The Case of the EoC Enterprise ‘Mercurio Net’ by Mara Del Baldo & Maria-Gabriella Baldarelli is very different from the other essays. EoC stands for ‘Economy of Communion’, which is a network of companies initiated in Brazil in 1991 by Chiara Lubich, and which connects to the Roman Catholic Focolare Movement. Lubich’s vision was based on reducing poverty and the need for a broad understanding of happiness and ‘human flowering’. (page 256) She wanted to see a new generation of companies producing wealth on behalf of those in poverty by providing good work. The authors tell us that there are now almost 1,000 EoC firms around the world. I knew none of this, and was grateful to learn, as well as being reminded that the place for servant leadership is critical when it comes to an attentiveness to the poor.

Section 3 (Servant Leadership in the Context of Business)

The third section of the book begins with Jakob Willem (Pim) Boven’s observation (with which I agree) that a theory of leadership (entrepreneurship) is very under-represented in the standard neo-classical economic theories (Servant Leadership in Market-Oriented Organizations, Does that Make Sense? An Evaluation from an Economic-Organization Theory Perspective). The author therefore suggests that we need to take seriously the institutional reality of the company, and he points us to the growing body of research into Organizational Economics. His main point is that there are resonances between Organizational Economics and the theme of ‘Servant Leadership’.

The next two essays in this final section seek to learn from specific situations. The first, The Importance of Calling in Realization of Life Projects: The Case of Maverick and Serial-entrepreneur Hans Nielsen Hauge with Implications for Business Education by Knut Ims, Truls Liland, & Magne Supphellen is the more analytical.  It is essentially a very interesting case study of Hans Nielsen Hauge (1771-1824), who was an influential entrepreneur in Norway – a preacher and businessman whose impact is still felt today. I did not know his story before reading this article, and found it inspiring. Of note for me was the feudal context out of which Hauge sprang, and which he implicitly challenged, as was the link between the spiritual experience of his ‘call’ (described on page 313) and his practical entrepreneurship. The authors point to these key ingredients in Hauge’s life: self-determination (an intrinsic motivation); meaning; persistence. These combine to give prominence to a holistic view of life, rather than life as a series of attempts to optimise choices. This rallying cry towards the end of the paper seemed powerful and important to me: ‘We need a type of business education and business training, which assists students in defining life goals and life projects.’ (page 325).

Rethinking Fashion Retail: The Case of MrSale by Gabor Kovacs takes the form of a qualitative mini research project focused on a small private company called MrSale, which was founded in Budapest in 2000. Kovacs is seeking evidence about the source of genuine ethical commitment in business. The answer is to do with the motivations of serving society and contributing to social well-being, with a link to meditation and Buddhism. The often-observed benefits of an ethically run business are, in this case, seen to be those of satisfied employees, increased innovation, higher levels of trust with suppliers, growth, and ultimately profits. Case studies are always engaging, but I was hoping for more critical comment and interpretation.

The final two essays consider the thinking of two very different people: Aldous Huxley, who was famously the author of Brave New World in 1932, which took a pessimistic view of the rise of science and a mechanised economy; and John Wesley the prophetic teacher and preacher, who created a large-scale business and who had links to the world of commerce and trade.

In Aldous Huxley’s Anarchist Entrepreneurship Based on Spiritual Capital, Gerrit De Vylder plays Huxley’s fiction off against the theme of servant leadership – a creative endeavour which yields surprisingly rich results. The idea which most caught my eye was the value ascribed to localism and the link to the ‘small is beautiful’ economics of E.F. Schumacher. This paper, and indeed the entire book, pre-dates the covid-19 pandemic, but I wondered if the new post-pandemic desire to build more resilient supply chains and to reduce dependence on global trade routes might have added to the discussion.

In the final chapter of the collection (John Wesley: Prophet and Entrepreneur), Clive Murray Norris gives a concise description of John Wesley’s ministry and observes that Wesley’s prophetic voice had a dual focus: personal spiritual renewal, and the need to address the problems and injustices faced by society. This in turn meant that Wesley avoided the trap of a ‘prosperity gospel’, and instead demonstrated a strong sense of stewardship and the fruitfulness of good works in a broad, societal sense. My knowledge of John Wesley’s activities was improved by reading this paper, and the conclusion, with four points for reflection aimed at today’s social entrepreneurs, made for a fine ending to the entire book. Summarised, these are: (i) the need for a holistic view of humanity’s spiritual and physical needs; (ii) the desirability of borrowing ideas from others, accepting that not every idea will work, and focusing on practical action; (iii) the importance of having friends and partners across the community, both rich and poor; and (iv) the imperative that all share a common purpose, that all are welcome, that anything is possible, and that action must start now.

“Servant Leadership, Social Entrepreneurship and the Will to Serve – Spiritual Foundations and Business Applications”, edited by Luk Bouckaert and Steven C. van den Heuvel, was published in 2019 by Palgrave Macmillan (ISBN-13: 9783030299385). 394pp.

Edward Carter is Vicar of St Peter Mancroft Church in Norwich, having previously been the Canon Theologian at Chelmsford Cathedral, a parish priest in Oxfordshire, a Minor Canon at St George’s Windsor and a curate in Norwich. Prior to ordination he worked for small companies and ran his own business.

He chairs the Church Investors Group, an ecumenical body that represents over £10bn of church money, and which engages with a wide range of publicly listed companies on ethical issues. His research interests include the theology of enterprise and of competition, and his hobbies include board-games, volleyball and film-making. He is married to Sarah and they have two adult sons.

Reimagining Capitalism: How business can save the world is a very didactic, easy to read book. Unfolding like a captivating lecture, it is highly structured and each point is illustrated with a wealth of business examples taken from a wide spectrum of enterprises, old and new.

You can easily imagine Rebecca Henderson on the campus of the Harvard Business School answering the challenging questions of Millennials who fully embrace sustainability and inclusion topics. The resulting book challenges head-on the paradigm of business management theory over the last fifty years that held shareholder value maximisation as the most powerful way to increase general prosperity. She does not seek to list the shortcomings or fix the problems of the current model, rather, she is more ambitious. Tapping into her considerable experience of business consultancy and her knowledge of history of corporations and national institutions, she builds block by block a path to rethink or Reimagine Capitalism.

She takes stock of Shareholder Value Maximisation theory and highlights that the conditions deemed necessary by its early advocates are not always present: markets fail us because externalities are not properly priced, genuine freedom of opportunity is not available to many because of lack of fair access to education and health services and firms are increasingly able to fix the rules of the game in their favour. Uncontrolled free markets lead people to believe that they can do without government, “without shared social and moral commitments to the health of the entire society” on which however all market activity ultimately relies.

In her effort to build a path to “reimagine capitalism in practice”, she lays out five foundation blocks to lead us on the journey.

Firstly, she tackles the strong economic business case for creating shared value. It is somewhat abstract and ethereal as a theoretical economic concept, however, she effectively uses examples to illustrate how it can manifest itself and its importance in a business context. Reducing environmental damage and treating people well reduce reputational risk. Shared value can also help securing the long-term viability of a supply chain, increase the demand for your product and reduce costs. Achieving shared value however, is not a small feat. To help us project how shared value can be established in a company, she introduces the interesting concept of architectural innovation.

Following this logic, she highlights how the adoption by any enterprise of an authentic purpose “makes it easier to identify the kind of architectural innovations that enable the creation of shared value.” Rejecting the commonly held belief of profits and purpose being mutually exclusive, she sees purpose-driven organisations as better equipped to handle transition in disruptive market conditions. The clear sense of their mission in the world, the commitment to building an organisation in which every employee is treated with dignity and respect “release creativity, commitment and raw energy”. She does not elaborate much on the strong spiritual or political convictions that sustain “the courage and vision of the leaders necessary to manage with purpose” even though she recognises its critical importance.

She then turns her attention to the need for finance to focus on the long-term. Asset owners and asset managers might have a different appetite (and incentives) to hold assets long-term but investors in general need better data to be convinced to hold their interest longer. ESG metrics, especially those with potential significant impact on short-term profitability and long-term liabilities must continue to be rigorously developed and used. While the investment community as a whole may not yet be ready to wholeheartedly embrace the company purpose and ready to give time to its implementation, Rebecca Henderson suggests a possible limitation, even reduction of investor power to the benefit of other stakeholders. Harnessing the power and influence of investors is a key enabler to drive change at scale. The examples she cites demonstrate that this is beginning to happen within the investment community.

However, one company cannot do much on its own about genuine public good problems. Industry-wide self-regulation has been criticised in the past as a way to anticipate and diffuse the threat of government regulations or also to set up barriers to new entrants. Nevertheless, the powerful example of how Unilever and Paul Polman socialized the problem of palm oil sustainability shows that increasing everyone’s incentive to cooperate and being able to enforce cooperation can have a major impact and create collective shared value.

Her last avenue of reflection in Reimagining Capitalism is the role of government as a guarantor and enabler of a free and fair market. “While economic growth and social well-being are often enormously advanced by the presence of free markets, they are also critically dependent on a host of complementary institutions.” Denouncing the systematic campaign of the last 50 years to discredit government in the US, she suggests answers to the fundamental question she raises namely “how do we protect the institutions that have made us rich and free?”

Rebecca Henderson is determined to provide each reader with nothing less than a roadmap to find their own path forward towards changing the world. She is a staunch believer in the positive power of capitalism but is also clear about the dangers of unchecked capitalism, leading to the explosion of inequalities and the rise of populism. While the topics she develops could have justified further ethical considerations, she keeps the debate firmly in the logic of the business case, adopting a rigorous, business-like approach. She manages nevertheless to communicate and share a real passion for the issue at stake. This book is highly topical as demonstrated by the speech on March 15 2021, by the acting chair of the US Securities and Exchange Commission, Allison Lee who stated:

“That supposed distinction—between what’s ‘good’ and what’s profitable, between what’s sustainable environmentally and what’s sustainable economically, between acting in pursuit of the public interest and acting to maximize the bottom line—is increasingly diminished,” Lee told the audience at the liberal think tank Centre for American Progress. “[There’s] no historical precedent for the magnitude of the shift in investor focus that we’ve witnessed over the last decade.”

It is overall a very interesting and relevant book, well worth reading and reflecting upon.

“Reimagining Capitalism: How business can save the world” by Rebecca Henderson was published in 2020 by Portfolio Penguin (ISBN-13: 978-0241379660). 336pp.

Anne Devlin is a director of Terra Solar II, a former oil trader with BP and a member of the Board of CEME.

The sub-title of The World Made Otherwise is “Sustaining Humanity in a Threatened World” and climate change or other environmental issues form the book’s starting point and backdrop. Gorringe sees climate change as creating a burning platform that makes thorough-going political, economic and social change imperative.

His prognosis is dire. He opines that “civilisational collapse is likely” (page 19) and that, together, environmental issues and current socio-political trends “could suggest the ‘new dark ages’ of which MacIntyre spoke nearly 40 years ago” (page 153). He asserts that the resulting problems are primarily moral and political and that “neither technological fixes nor tweaking of the present economic system are sufficient to address them” (page 117). Instead, he thinks that the heart of the problem lies in false values.

Much of Gorringe’s discussion relating to values will be widely applauded: he rejects the post-modern relativism that reduces discussions of values to discussions of psychology or sociology, confusing values with either societal norms or preferences linked to self-realisation; he defends the idea of universal values against those who would deny their existence (including those on the left who suggest that the very idea of human rights is a form of Western cultural imperialism); he also rejects “the claim of the neoliberal market to provide the fundamental standard for everything whatsoever” (page 57) and instead seeks to establish a value system based on the ultimate end or object of human life, which he suggests is, in essence, the creative fulfilment of human potential, “a fulfilment that is both individual and social” (page 85).

His discussion of the problems within the existing political, economic and social order also contains much that will command wide acceptance, albeit not much that is new. In particular, the history of the twentieth century supports the wisdom of his call for “a critical watchfulness” with regards to our political practices and his warning that “all claims for absolute allegiance on the part of the state are idolatrous” (pages 133/134). Likewise, his warning about making an idol of the market will be accepted by all but the most extreme free marketeers and his criticisms of the workings of modern democracies (including the basis on which people cast their vote, the role of the media and lobbying) ring true.

Unfortunately, however, time and again Gorringe gravely overstates his case and, whilst some parts of the book are closely argued, much of what he asserts is not backed up by detailed analysis or engagement with different views. For example, he asserts that “equality must mean equality of outcome” (page 163) on the basis of five lines of argument and he makes no effort to comprehend the practical and moral arguments for the market economy or recognise the different conceptions of justice that underly much current socio-political debate (as to which, see Capitalism and Democracy by Thomas Spragens). Furthermore, the version of the market economy that he attacks is extreme and he fails to acknowledge that one can be in favour of a market economy yet at the same time recognise the need for guiding values outside it. Instead, he makes a number of unsupported ex cathedra assertions that, on occasions, descend into mere left-wing jibes (e.g. his side swipe at “austerity” measures, which he defines as “making sure the bankers do not have to pay for their mistakes”, page 198, and his distinction between “genuine science” and “the spurious corporate-financed variety”, page 290).

The least satisfactory part of the book is its suggestions for change: they are almost totally lacking in specificity and are absurdly Utopian. Gorringe says that he is putting forward what he calls “rights cosmopolitanism”, which he describes as “a vision of a cosmopolitan world of federated states where all people enjoy basic rights and freedoms simply in view of their humanity” (page 147). However, the vision is vague and Gorringe gives no clue as to how it might be realised. He envisages the break-up of current nation states and talks of “a world of small and devolved, but often federated states, where economic and environmental rules would be worked out together and held to be binding by the United Nations and its agencies” (page 152); he suggests that “local economies will have shorter supply chains and keep real wealth within the community” and that they “will not import products they can produce for themselves or export local products until local needs have been met”, citing apparently with approval, Molly Scott Cato’s suggestion that there might be perhaps 20 bioregions forming the basis for a reformed economy with each bioregion having “the task of provisioning its inhabitants” (pages 233/234); and he advocates monetary reform. Yet his political proposals amount to little more than a vague idea relating to the creation of local deliberative assemblies; leaving aside a few specific proposals (e.g. to mutualise utilities and provide a basic citizen’s income), his economic ideas are packed into a bewildering four page section in which he advocates the localisation of economic life; and, apart from discussing a few examples of what are, in essence, local or restricted use currencies, he gives us no clear idea of what monetary reforms he is seeking.

Gorringe defends himself against the charge of being Utopian by suggesting, first, “that nothing is so wildly Utopian as to try and build a sustainable world on the basis of greed and competition” and, secondly, that his proposals “are actually being modelled on the ground the world over” (page 236) but this defence fails. The first of these points has no bearing on the realism of his proposals and the second fails to recognise that the only examples he gives of anything remotely resembling the kind of localised system that he advocates are very small scale and, as he himself recognises, have many problems.

It is difficult to know precisely who the book is aimed at. It is not an academic work yet it is overloaded with quotations from and references to the views of different authors (e.g. the main text in the first five pages of the chapter relating to values includes references to the views of no less than 15 different authors). These come so thick and fast that parts of the book are heavy-going and they are likely to render it inaccessible to many potential readers. Furthermore, Gorringe is a liberal Christian who is heavily influenced by Marxist thinking and these starting points pervade The World Made Otherwise. Gorringe makes no attempt to justify them, with the result is that the book is unlikely to prove persuasive to those who do not share his assumptions. Thus, whilst most Christians will welcome his reminder that God ultimately owns all things (a fact which necessarily relativizes property rights), his approach to Scriptural interpretation will baffle and alarm many. For example, his suggestion that “The Eucharist (when not fetishized) adumbrates as a sign the view that the world is gifted to all creatures and is to be shared equally between them” (page 224) is, to put it mildly, difficult to extract from the biblical text, whilst his assertion that Hebrews 13:14 (“Here we have no abiding city”) “promises us that Rome (which for us is neoliberalism) will not last forever” (page 66) is extraordinary.

Gorringe has, for a long time, passionately believed in the need for radical, political, economic and social change and environmental issues have added to the imperative tone of his appeals for such change. However, passion and urgency do not of themselves make up a viable political programme. Gorringe’s theological villain is clearly St. Augustine of Hippo, who he feels is responsible for generations of Christians believing that “the possibility of a truly different society… belongs only to the next life” (page 67). On this basis, one might expect him to show us the way to an earthly paradise but, despite its title, The World Made Otherwise fails to provide one and, whatever one’s political views, Gorringe’s diagnosis and prognosis are simply depressing.

The World Made Otherwise by Timothy J. Gorringe was published in 2018 by Cascade Books (ISBN: 978-1-5326-4867-0). 348 pp

Richard Godden is a Lawyer and has been a Partner with Linklaters for over 25 years during which time he has advised on a wide range of transactions and issues in various parts of the world. 

Richard’s experience includes his time as Secretary at the UK Takeover Panel and a secondment to Linklaters’ Hong Kong office. He also served as Global Head of Client Sectors, responsible for Linklaters’ industry sector groups, and was a member of the Global Executive Committee.