Hello,In this issue, we dive into the retail sector, which includes many players from food to ready-to-wear clothing. Retail is leaving behind a long and challenging journey lasting 3 years. Today, retailers are trying to cope with rising costs, labour and changing customer expectations. So, are the dark clouds that have taken a habit of hovering over the sector dissipating in 2023?Enjoy your reading,Aposto Editorial Team

The best articles on business at Aposto, curated by our editors. Topics include micro-mobility, future of work, energy, green economy, consumer products, marketing and more.

The best articles on business at Aposto, curated by our editors.

Aposto Business

The developments in retail

Retail: Are the dark clouds dissipating?

Hello,In this issue, you can find the article 'How to start a business in the USA?' by Mustafa Emre Selek, former education, HR and technology reporter at the weekly economy magazine PARA. He worked as an investor visa consultant and company formation specialist at Social Enterprises LLC in Delaware / USA. For 2 years, he has serving as COO at Social Enterprises LLC.Enjoy your reading,Aposto Editorial Team

'Nothing is certain except death and taxes.'

How to start a business in the USA

Hello,The scepticism that arises when it comes to billionaires has once again surfaced: 'There are more philanthropists today than ever before. How is it that inequality continues to grow? Are billionaires' donations charity or a way to avoid taxes?'You can find more in this issue.Enjoy your reading,Aposto Editorial Team

There are more philanthropists today than ever before. But how is it that inequality continues to grow? Where do the donations go?

Donations from billionaires: Charity or tax avoidance?

Dear reader,In today's issue, Aposto COO Sinem discusses gender equality in business from various perspectives, from the recruitment process to wage policies, and shares her suggestions on inclusion on the path to leadership.Enjoy your reading,Aposto Editorial Team

Are processes from recruitment to leadership fair for women and men in business? What are the strategies that need to be implemented to ensure equality?

Breaking the siege: 'Women leaders' to 'leaders'

Hello again,In this issue, we talk about the chaos of Taylor Swift's first tour in almost five years, namely The Eras tour. Also, we discuss the companies involved and controversial-to-some pricing along with monopolisation&nbsp;allegations.Enjoy!Aposto Editorial Team

While Ticketmaster states that this is the largest number of tickets sold in one day, the system has received 3,5 billion requests, which is four times the previous record.

Behind the chaos of the Swift tour: Monopoly of music in the US

Hello,In our first article in today's newsletter, Aslı Kurtuluş, Strategy and Performance Leader of S360 Partner, which provides consultancy and research services in the field of sustainability, writes about sustainability reporting, which is on companies' agenda with the impact of the climate crisis and the rise of responsible investments. In our second article, Atilla Büyükuvray analyses the effectiveness of carbon credits and offsetting methods, which are implemented as a financial incentive mechanism to reduce emissions.Enjoy your reading,Aposto Editorial Team

Sustainability reporting and emissions

🌱 Investment advantage: Sustainability reporting

Hello everyone,In this issue, we will take a look at major layoffs at tech companies, from Twitter to Meta. Also, we will talk about companies which are looking to hire laid-off tech workers.Enjoy!Aposto Editorial Team

Perhaps the wildest wave of layoffs of this period occurred on Twitter, following Elon Musk's acquisition. Musk laid off 3,700 people on November 4, nearly half of the company's workforce.

Founders who got it wrong: Major layoffs at tech companies

Hello,We are happy to present the article 'Disrupting the Disruptors' in collaboration with Project Syndicate, written by Roger McNamee, co-founder of Elevation Partners and early investor in Facebook, Google, and Amazon.Enjoy your reading,Aposto Editorial Team

Roger McNamee's article in collaboration with Project Syndicate

Disrupting the Disruptors

Dear reader,The second week continued to push negotiations further on the issues; we saw some progress and were treated to speeches from the leaders of different countries and bodies. The first draft of the decision on COP27 outcomes was published. The Parties had expected swifter and clearer results and the first draft was found to be insufficient.As we have already reported on the progress made in the first week in our previous issues, we will discuss the second week's events, and communicate and assess final COP27 outcomes.This issue was prepared in collaboration with Mazars Türkiye.

Negotiations from the second week, the five main outcomes of COP27, and a look back at the first week's focus on finance.

COP27: Second Week and Outcomes

Hello,In this issue about the energy crisis, we delve into the changes the energy sector has gone through since the beginning of the pandemic, in addition to explaining our current situation. We also talk about energy transition and future predictions.Enjoy!Aposto Editorial Team&nbsp;

Discussions on whether increasing energy expenses will precipitate the gravitation towards cleaner and more cost-effective alternatives while decreasing supply will increase investments in fossil fuel to meet the acute energy need.

Energy crisis: A threat or an opportunity for climate goals?

İş dünyası hakkında yayımlanan makaleler ve yayınlar

İş Dünyası

The retail sector, which includes many players from food to ready-to-wear clothing, is leaving behind a long and challenging journey lasting 3 years. Today, retailers are trying to cope with rising costs, labour and changing customer expectations. So, are the dark clouds that have taken a habit of hovering over the sector dissipating in 2023?<h3 fr-original-style="" style="margin: 0px; color: rgba(0, 0, 0, 0.85); font-weight: 500; padding: 0px; box-sizing: border-box;">A look back at 2022</h3>The pandemic, Russia's invasion of Ukraine, which coincided with the period when the pandemic started to recede, and the inflationary environment that is expanding its sphere of influence day by day... Over the past year, supply chain challenges, inflationary pricing, economic uncertainty and geopolitical factors have deeply affected retailers around the world. In addition, the shift of the workforce to different areas during the pandemic period has also become a problem that the industry has to overcome. However, with the new year, it is thought that there is a positive outlook and focus on the shopping journey among customers. On the other hand, according to a <a fr-original-style="" href="https://www.ipsos.com/en/inflation/global-inflation-monitor-november-2022?utm_source=aposto" rel="noopener noreferrer" style="color: rgb(9, 9, 9); text-decoration: none; background-color: transparent; outline: none; cursor: pointer; transition: color 0.3s ease 0s; touch-action: manipulation; user-select: auto; box-sizing: border-box;" target="_blank">study</a> conducted by the World Economic Forum, 7 out of 10 consumers expect costs to increase in the coming year, which makes the picture in front of the sector uncertain. According to Statista's <a fr-original-style="" href="https://www.statista.com/statistics/443522/global-retail-sales/?utm_source=aposto" rel="noopener noreferrer" style="color: rgb(9, 9, 9); text-decoration: none; background-color: transparent; outline: none; cursor: pointer; transition: color 0.3s ease 0s; touch-action: manipulation; user-select: auto; box-sizing: border-box;" target="_blank">data</a>, global retail sales, which were approximately $ 23.74 trillion in 2020, which is considered the beginning of change, are estimated to be approximately $31.7 trillion in 2025. So what is the path ahead for retail companies that want to be a part of this growth?<h2 fr-original-style="" style="margin: 0px; color: rgba(0, 0, 0, 0.85); font-weight: 500; padding: 0px; box-sizing: border-box;">A Portrait of 2023</h2>As retailers struggle to adapt to the new normal, a seamless experience and digital world are shaping the future of retail. While it is hoped that the gloom in the sector will dissipate in 2023, inflation continues to hang in the air as a question mark. While one side of the retail industry is haunted by unfavourable possibilities, on the other side, trends are winking at the possibility of a completely different future:<h3 fr-original-style="" style="margin: 0px; color: rgba(0, 0, 0, 0.85); font-weight: 500; padding: 0px; box-sizing: border-box;">Threats</h3>Stagnation:&nbsp;Inflation appears to be decelarating, but maecroeconomic forces remain a threat to discretionary spending. Some economists argue that recession is inevitable as a result of efforts to slow down demand and control prices.&nbsp;Bankruptcies on the horizon:&nbsp;As the pandemic hit retailers in 2020, bankruptcy filings increased. However, the market changed positively for retailers in the post-pandemic period. &nbsp;As we approach 2023, inflation and economic uncertainty affected consumer spending. This may mean a revival of bankruptcies in the sector in the new year.&nbsp;<h3 fr-original-style="" style="margin: 0px; color: rgba(0, 0, 0, 0.85); font-weight: 500; padding: 0px; box-sizing: border-box;">Opportunities</h3>Multichannel marketing and new advertising spaces:&nbsp;With shoppers using different devices and platforms across their shopping journeys, it's vital for a company to have a presence across multiple channels. For retailers, this means having a marketing and communications strategy that spans both physical and digital channels, including in-store, online, social media and SMS. Physical stores and websites are becoming increasingly important advertising spaces for retailers and retail merchants. Ad space sales on websites, in-store displays, mobile apps and streaming services are expected to continue to grow.Personalisation:&nbsp;Customers are increasingly looking for products, offers and brand experiences that are tailored to their personalities, lifestyles, preferences and defining characteristics. According to New York-based consultancy McKinsey &amp; Company, <a fr-original-style="" href="https://www.mckinsey.com/capabilities/growth-marketing-and-sales/our-insights/the-value-of-getting-personalization-right-or-wrong-is-multiplying?utm_source=aposto" rel="noopener noreferrer" style="color: rgb(9, 9, 9); text-decoration: none; background-color: transparent; outline: none; cursor: pointer; transition: color 0.3s ease 0s; touch-action: manipulation; user-select: auto; box-sizing: border-box;" target="_blank">71% of consumers</a> expect companies to provide personalised services, and 76% are frustrated when this does not happen. This suggests that the winds of personalisation will continue to blow in the retail sector.Metaverse:&nbsp;The metaverse trend in the retail industry is undebatedly expected to continue in 2023. Over the past year, we have watched various companies in the industry expand their influence in virtual spaces to promote their brands and connect with younger consumers. Gucci, H&amp;M, Puma and Gap are some of the companies that have stepped into the metaverse. McKinsey estimates that the metaverse could be worth $5 trillion by 2030, with an estimated $2 trillion to $2.6 trillion <a fr-original-style="" href="https://www.mckinsey.com/capabilities/growth-marketing-and-sales/our-insights/value-creation-in-the-metaverse?utm_source=aposto" rel="noopener noreferrer" style="color: rgb(9, 9, 9); text-decoration: none; background-color: transparent; outline: none; cursor: pointer; transition: color 0.3s ease 0s; touch-action: manipulation; user-select: auto; box-sizing: border-box;" target="_blank">impact</a>, particularly on e-commerce.TikTok, Instagram and Live Streaming Shopping:&nbsp;Algorithms such as TikTok's 'For You' feed and Instagram's shopping tab are changing targeted advertising and organic content from brands and influencers as a discovery tool on social media. 2022 was the year marketers discovered the power of these spaces. On the other hand, social media made it possible for brands to host interactive shopping events through live streaming. Coresight Research estimates that live streaming e-commerce penetration will grow from $20 billion in 2022 to $57 billion in 2025.Green and sustainable retail: In 2022, many brands rolled up their sleeves to use recycled materials. This meant a shift towards recycling used products and the launch of capsule collections made from recycled materials. Several major companies invested in recycled materials initiatives, including Zara parent Inditex and <a fr-original-style="" href="https://www.retaildive.com/news/recycled-cotton-company-recover-raises-100m-in-funding-led-by-goldman-sach/625314/?utm_source=aposto" rel="noopener noreferrer" style="color: rgb(9, 9, 9); text-decoration: none; background-color: transparent; outline: none; cursor: pointer; transition: color 0.3s ease 0s; touch-action: manipulation; user-select: auto; box-sizing: border-box;" target="_blank">Goldman Sachs Asset Management</a>. This was driven by a younger customer population that prioritises brands that embed social and environmental responsibility into their daily business models. Therefore, how retailers respond to changing consumer expectations regarding product sourcing, packaging and delivery will be critical in the coming period.Corporate Social Responsibility:&nbsp;Consumers are more inclined to support companies that invest in social responsibility. <a fr-original-style="" href="https://online.hbs.edu/blog/post/corporate-social-responsibility-statistics?utm_source=aposto" rel="noopener noreferrer" style="color: rgb(9, 9, 9); text-decoration: none; background-color: transparent; outline: none; cursor: pointer; transition: color 0.3s ease 0s; touch-action: manipulation; user-select: auto; box-sizing: border-box;" target="_blank">Research shows</a> that 77% of shoppers are motivated to buy from companies that are committed to making the world a better place, and 55% believe companies should take a stand on important environmental, political and social issues.&nbsp;<h3 fr-original-style="text-align: left;" style="text-align: left; margin: 0px; color: rgba(0, 0, 0, 0.85); font-weight: 500; padding: 0px; box-sizing: border-box;">The bottom line</h3>The retail industry has to take a few steps to ensure a secure future. As the emphasis on recycling and reuse increases, consumers will buy fewer products and invest more in understanding the life cycle of the product. On the other hand, companies that emphasise social activities as well as environmental activities will shine among consumers. In addition to all these, trends in the digital world will be among the most important factors shaping the future of the sector.

It would not be wrong to assume that the ideal of every entrepreneur who has already reached the stage of establishing a company, is to make their business international.The first step is to establish a company abroad, mostly in the USA. The USA, which is a popular country for entrepreneurs and even investors, has been very popular in recent years with its entrepreneurial incentives and legal and tax related conveniences. On the other hand, the size of the market, its proximity to the South American market of 425 million people and the presence of sector leaders in the USA make it even more popular. However, it is known that entrepreneurs should use financial resources cautiously. Therefore, it is useful to carefully examine the bureaucratic processes and requirements before setting up a company abroad, especially in the USA.<h3 fr-original-style="" style="margin: 0px; color: rgba(0, 0, 0, 0.85); font-weight: 500; padding: 0px; box-sizing: border-box;">Incorporation and tax identification</h3>There are two issues that entrepreneurs must decide on before setting up a company in the USA: The state of incorporation and the type of company.If the company to be established in the USA will be actively operated from the USA, that is, if there will be a physical presence there, the state where the work will be carried out is the best place to establish the company. Delaware and Wyoming are more advantageous than other states in terms business. Both of these states offer great opportunities to entrepreneurs in terms of tax. Although Delaware is slightly more expensive than Wyoming in terms of taxes, it is more preferable due to the state's pro-employer laws. Plus, upon request, you can personally visit the state and reduce the processing time to 1 hour.The type of company is the second issue. If the purpose of establishing a company is to receive investment and to open the company to the stock exchange in the long term, it is best to establish a 'corporation'. Because this type of company has opportunities such as share trading. The 'LLC' is more suitable for people who will trade directly.On the other hand, it is very important to obtain EIN (Employer Identification Number) and ITIN (Individual Taxpayer Identification Number). The long processes and the inability to start trading without these increase their importance. It is essential to obtain these numbers from the IRS through an authorised agent.<h3 fr-original-style="" style="margin: 0px; color: rgba(0, 0, 0, 0.85); font-weight: 500; padding: 0px; box-sizing: border-box;">Accounting and tax</h3>'Nothing is certain except death and taxes.' Although 250 years have passed since this quote attributed to Benjamin Franklin, not much has changed. The US is still very sensitive and quite ruthless about taxes. Because companies and company owners who do not submit their tax returns on time or submit incomplete or incorrect tax returns may face tax penalties of up to 500 thousand dollars.&nbsp;Actually, we can clarify the issue as follows. There are three main types of taxes in the US: income tax, sales tax and state tax. Apart from these taxes, some products may also be subject to special additional taxes. Income tax is a tax paid directly to the IRS and the forms to be filled out differ according to the type of company and the number of partners, and the tax declaration date varies according to the type of company and the number of partners. Sales tax and state tax are taxes paid to the state. State taxes are called 'franchise tax' or 'annual report'.&nbsp;I explain sales tax as follows: Let's say you own an electronics store in New York and a customer comes and buys a product from your store. In this case, you will need to add 8.875% sales tax rate to the price of the product. Subsequently, you must file a sales tax return with the state of New York.<h3 fr-original-style="" style="margin: 0px; color: rgba(0, 0, 0, 0.85); font-weight: 500; padding: 0px; box-sizing: border-box;">Investor visa</h3>After your business reaches a certain volume, you can apply for an E2 investor visa and obtain the right to work in your own business and live in the USA. This visa, which is usually granted for a period of five years in the first stage, can be renewed in the second period as a result of the payment of taxes, the development of the business and the upward acceleration of financial reports. Of course, there are many issues that need to be detailed in this regard. Because there are many factors affecting the visa status, from the amount of investment to the share ratio in the company, from taxation to the number of employees.This adventure, which starts with the establishment of a company, is a time-consuming process with stages such as monthly accounting, annual tax declarations, investment in Silicon Valley, and then the investor visa.

The USA, which is a popular country for entrepreneurs and even investors, has been very popular in recent years with its entrepreneurial incentives and legal and tax related conveniences. 

How to start a business in the USA?

There is news that we are used to seeing frequently in the headlines, but which manages to attract our attention every time: 'Philanthropist billionaire pledges to donate most of his fortune.'Mackenzie Scott, one of the actors in one of the most expensive divorces in history in 2019, is at the forefront of this news. Scott, who played an important role in the founding of Amazon with her ex-husband Jeff Bezos, is already among the richest women in the world with Amazon shares, of which she owns 4% as part of the divorce settlement, and a fortune of $21.2 billion. What saves Scott from being referred to as 'Jeff Bezos' ex-wife' in the headlines and keeps her in the public eye despite not giving any interviews is the donations she has made in the last three years...Most recently, on 15 December 2022, Scott launched a website called 'Yield Giving', detailing the more than $14 billion in donations she has made to more than 1,600 organisations to date, and <a fr-original-style="" href="https://www.wsj.com/articles/mackenzie-scott-launches-website-to-detail-her-philanthropic-efforts-11671122995?utm_source=aposto" rel="noopener noreferrer" style="color: rgb(9, 9, 9); text-decoration: none; background-color: transparent; outline: none; cursor: pointer; transition: color 0.3s ease 0s; touch-action: manipulation; user-select: auto; box-sizing: border-box;" target="_blank">announced</a> that she would launch an open call process for charities to request funds. For some, this step taken in the name of transparency was an important development in terms of setting a precedent; however, the scepticism that arises when it comes to billionaires has once again surfaced:&nbsp;'There are more philanthropists today than ever before. How is it that inequality continues to grow? Are billionaires' donations charity or a way to avoid taxes?'<h2 fr-original-style="" style="margin: 0px; color: rgba(0, 0, 0, 0.85); font-weight: 500; padding: 0px; box-sizing: border-box;">What is the Giving Pledge?</h2>The role of individual philanthropy has grown significantly over the last 20 years. According to a September 2020 article in The Guardian, <a fr-original-style="" href="https://www.theguardian.com/society/2020/sep/08/how-philanthropy-benefits-the-super-rich?utm_source=aposto" rel="noopener noreferrer" style="color: rgb(9, 9, 9); text-decoration: none; background-color: transparent; outline: none; cursor: pointer; transition: color 0.3s ease 0s; touch-action: manipulation; user-select: auto; box-sizing: border-box;" target="_blank">'How philanthropy benefits the super-rich'</a>, nearly three-quarters of the world's 260,000 charities were founded in this period and already control more than $1.5 trillion. Given the scale of giving, the biggest philanthropists live in the US and the UK. It is a well-known fact that many philanthropists open their own charitable organisations and carry out their charitable activities through them.The Bill &amp; Melinda Gates Foundation, co-chaired by Microsoft founder Bill Gates and his ex-wife Melinda Gates, is one of the first organisations that come to mind when we think 'billionaire and charity'. Founded in 2000, the foundation has donated more than $45 billion to date. So much so that the $6.2 billion they donated in 2021 was even more than the foreign aid budget of many countries.The Gates' contributions to the world of philanthropy were not limited to The Gates Foundation. In June 2010, the Gates and Warren Buffet, the founder of Berkshire Hathaway and famous investor Warren Buffet, known to be close friends, launched the 'Giving Pledge' movement, which has so far been <a fr-original-style="" href="https://edition.cnn.com/2022/11/28/opinions/billionaires-pledge-share-wealth-collins/index.html" rel="noopener noreferrer" style="color: rgb(9, 9, 9); text-decoration: none; background-color: transparent; outline: none; cursor: pointer; transition: color 0.3s ease 0s; touch-action: manipulation; user-select: auto; box-sizing: border-box;" target="_blank">joined</a> by 230 billionaires from 28 countries. This movement is based on the principle that participants pledge to donate half of their wealth to charitable organisations during their lifetime.<ul fr-original-style="padding-inline-start: 20px;" style="padding-inline-start: 20px; margin-top: 0px; margin-bottom: 1em; list-style-position: inside; box-sizing: border-box;"><li fr-original-style="" style="box-sizing: border-box;">Elon Musk, CEO of Tesla, Mark Zuckerberg, CEO of Meta, and Mackenzie Scott are among the signatories of the Giving Pledge.&nbsp;</li><li fr-original-style="" style="box-sizing: border-box;">Jeff Bezos, the founder of Amazon, is ranked fourth on Forbes' Billionaires List, but he has not yet signed the Giving Pledge, for which he has been <a fr-original-style="" href="https://www.cnbc.com/2022/11/16/jeff-bezos-will-give-away-most-of-his-fortune-why-its-a-big-deal.html" rel="noopener noreferrer" style="color: rgb(9, 9, 9); text-decoration: none; background-color: transparent; outline: none; cursor: pointer; transition: color 0.3s ease 0s; touch-action: manipulation; user-select: auto; box-sizing: border-box;" target="_blank">criticised</a>.</li></ul><h2 fr-original-style="" style="margin: 0px; color: rgba(0, 0, 0, 0.85); font-weight: 500; padding: 0px; box-sizing: border-box;">Where do the donations go?</h2>Although the number of billionaires who pledge to donate a large portion of their assets is increasing day by day, the real problem starts here. Because there is the visible aspect of donations, which is subject to fancy headlines, and there is a hidden side beneath the iceberg. The assumption that philanthropy automatically leads to the redistribution of money or a Robinhood-like approach of taking from the rich and giving to the poor is mostly wrong. Research shows that in the US, only a fifth of the money donated by major philanthropists reaches the needy, while the rest goes to organisations that invest in 'good causes', such as arts and culture, sports clubs, education and health care.It is a well-known fact that billionaires, especially in the USA, transfer most of their donations to foundations they have established or to tax-advantaged donor advised funds (DAFs). In these funds, although the fund&nbsp;legally manages&nbsp;the resources, the donor still has a say in where the funds are allocated. According to a study published in July 2022, approximately 30 per cent of charitable donations are made through such intermediaries, surpassing direct donations to traditional charities. In the US, billionaires can claim enormous tax deductions for donations to intermediary organisations, while the lack of strict controls over these organisations raises doubts about whether donations actually reach charities.For example, a few weeks ago, it was <a fr-original-style="" href="https://www.bloomberght.com/musk-in-5-7-milyar-dolarlik-bagisi-kendi-vakfina-gitmis-2320999?utm_source=aposto" rel="noopener noreferrer" style="color: rgb(9, 9, 9); text-decoration: none; background-color: transparent; outline: none; cursor: pointer; transition: color 0.3s ease 0s; touch-action: manipulation; user-select: auto; box-sizing: border-box;" target="_blank">revealed</a> that Tesla&nbsp;CEO Elon Musk's $5.7 billion Tesla share donation announced in November 2021 went to his foundation. Thus, while the foundation became one of the largest organisations in the US with an asset value of $ 9.4 billion, Musk was once again at the centre of the question 'Will he benefit from a tax deduction with his donation?'On the other hand, the 'Philanthropy Score' list published annually by Forbes <a fr-original-style="" href="https://link.apos.to/c/3M8fu-Jhblez?c=jWpYbWUvHDnwg5oovBQDO&sub=62b033905d379200061d8935&s=web" rel="noopener noreferrer" style="color: rgb(9, 9, 9); text-decoration: none; background-color: transparent; outline: none; cursor: pointer; transition: color 0.3s ease 0s; touch-action: manipulation; user-select: auto; box-sizing: border-box;" target="_blank">shows</a> that billionaires fail in philanthropy. According to the September 2022 version of the list, which calculates billionaires' philanthropic activities based on direct donations, excluding cash sitting in their private foundations or donor-advised, tax-advantaged funds that have not yet reached those in need, the results are as follows:<ul fr-original-style="padding-inline-start: 20px;" style="padding-inline-start: 20px; margin-top: 0px; margin-bottom: 1em; list-style-position: inside; box-sizing: border-box;"><li fr-original-style="" style="box-sizing: border-box;">Most members of the 'Forbes 400', the list of the 400 richest people in the US, received a score of 1 or 2, indicating that they have so far donated less than 5 per cent of their wealth to charity.</li><li fr-original-style="" style="box-sizing: border-box;">Only nine of the billionaires earned 5 points by donating more than 20 per cent of their wealth. Those names are as follows: Bill Gates, Melinda French Gates, MacKenzie Scott, Warren Buffett, George Soros, Gordon Moore, Amos Hostetter Jr, Lynn Schusterman and John Arnold.</li></ul><h2 fr-original-style="" style="margin: 0px; color: rgba(0, 0, 0, 0.85); font-weight: 500; padding: 0px; box-sizing: border-box;">Could a 'billionaire tax' be the solution?</h2>Allegations and data that billionaires use their philanthropic activities as a secret solution to avoid taxes have fuelled the debate on a 'billionaires tax' in the recent years.In Davos in 2019, Dutch economic historian Rutger Bregman was asked how we can prevent the social backlash caused by rising inequality:&nbsp;'The answer is very simple. Stop talking about charity and start talking about taxes. Taxes, taxes, taxes, taxes... To me, everything else is rubbish.' In the years following this outburst, especially during the Joe Biden era in the US, the 'billionaires tax' became one of the ideas frequently put forward by politicians.Legislative proposals, which include an annual tax payment from billionaires on the value of the assets they own and the value they earn, and an increase in taxes, have also received support from names such as Warren Buffet and Bill Gates; however, no concrete steps have been taken so far. Moreover, the discussions started to gradually diminish as the impact of the pandemic decreased. It is not known whether the billionaire tax will be implemented soon; however, the dark clouds over the philanthropic activities of billionaires do not seem to dissipate unless there is increased supervision and new rules.

While discussing writing about subjects 'We can't talk about at work', I realised it was time to share with our readers what I know about the problems I see, and what I know (as I research it every day) about development.I could not postpone writing on this subject while building my career at the very centre of the quadrilateral of 'woman', 'young person', 'leader' and 'entrepreneur'. There are only a handful of people around me who are ambitious enough to be young, women, leader and/or entrepreneurs in the business world. I see the same determination, excitement and perseverance in the eyes of people in these positions, if it is a fair positioning. Is it because of the difficulties brought about by external factors that the number of these people seems so low to me, or is it because I see the number of these people numerically 'less' than it should be because two acrobats cannot dance on the same rope? Or is it because the majority of the tables I sit at are under siege by men? Or is there gender equality in business life, but it is not visible enough because of the psychological impositions and central influences around us? I will answer these questions in this article.<h3 fr-original-style="" style="margin: 0px; color: rgba(0, 0, 0, 0.85); font-weight: 500; padding: 0px; box-sizing: border-box;">Egalitarianism in human resources</h3>Let's start questioning gender equality and justice by analysing a person's first step in starting a job. When starting a job, following the interview process, people are offered a job in line with their skills, education, experience, and the wage and rights policies of the employer. In this process, the most accurate person is determined among dozens of candidates and is selected for that job. However, unfortunately, not everything is so bright. According to the <a fr-original-style="" href="https://www.pwc.com.tr/en/hizmetlerimiz/insan-yonetimi-ve-organizasyon-danismanligi/yayinlar/calisma-hayatinda-cinsiyet-esitligi-2022.html" rel="noopener noreferrer" style="color: rgb(9, 9, 9); text-decoration: none; background-color: transparent; outline: none; cursor: pointer; transition: color 0.3s ease 0s; touch-action: manipulation; user-select: auto; box-sizing: border-box;" target="_blank">Gender Equality in the Workplace Survey 2022</a> prepared by PWC and Peryön,<ul fr-original-style="padding-inline-start: 20px;" style="padding-inline-start: 20px; margin-top: 0px; margin-bottom: 1em; list-style-position: inside; box-sizing: border-box;"><li fr-original-style="" style="box-sizing: border-box;">Looking at the human resources processes&nbsp;in general, 65% of female respondents and 85% of male respondents found the processes equal/fair. When we look at the average data, we see that male respondents think that the processes are fairer. As for detailed breakdowns; &nbsp;</li><li fr-original-style="" style="box-sizing: border-box;">While the rate of female respondents who think that the hiring&nbsp;process&nbsp;is equal/fair is 73%, this rate is 87% among male respondents.</li><li fr-original-style="" style="box-sizing: border-box;">While 60% of female respondents think that a transparent and gender-equal wages policy is followed in their company, this number rises to 88% among male respondents. While 74% of female respondents think that the performance evaluation process is equal and fair, 93% of male respondents think so.</li><li fr-original-style="" style="box-sizing: border-box;">While the rate of female respondents who think that promotions and wage increases are carried out equally/fairly is 64%, this rate is 88% for male respondents.</li><li fr-original-style="" style="box-sizing: border-box;">69% of female respondents and 87% of male respondents think that their companies offer equal/fair development opportunities that will prepare them for their future and provide career progression.</li></ul>Why might women feel that the processes are less fair than men? This problem arises due to a lack of transparent wage policies, the fact that people doing similar work are known to receive different wages, operational gaps due to the lack of centralised recruitment, the lack of concrete information about the interview process, and the fact that performance metrics are based on vague criteria. Even though these are a large part of the equation and can be taken as a guide in the solution process, the epsilon, which we do not talk about, is a part of the equation and its weight cannot be underestimated. In this equation, epsilon, which we will see as the embodiment of prejudice, can help explain this situation in detail.<h3 fr-original-style="" style="margin: 0px; color: rgba(0, 0, 0, 0.85); font-weight: 500; padding: 0px; box-sizing: border-box;">Unconscious prejudice in business life</h3>Unconscious prejudice is defined as socially stereotyped judgements about certain groups of people that individuals form without conscious awareness. Due to its intrinsic nature, defining, teaching about and reforming unconscious prejudice is seen as one of the greatest challenges facing humanity. The primary problem caused by unconscious prejudice arises from the characteristics of the other person, regardless of the person's ability, education, or intelligence, and creates injustice. If we look at the statistics, it is seen that 56% of the participants in the research stated that they were exposed to&nbsp;unconscious bias&nbsp;in at least one of the human resources processes, and this rate was 60% for female participants and 42% for male participants. A detailed look at the processes reveals that the rate of unconscious bias is higher for female respondents than for male respondents.<h3 fr-original-style="" style="margin: 0px; color: rgba(0, 0, 0, 0.85); font-weight: 500; padding: 0px; box-sizing: border-box;">Is equality achieved when it comes to leadership?</h3>In 2022, only 8.8 per cent of all Fortune 500&nbsp;companies will have a female CEO. This data shows that nearly 91 per cent of Fortune 500&nbsp;CEOs are men. Only 35 per cent&nbsp;of people in senior management positions are women. This is due to reasons other than unconscious prejudices and the effects of recruitment processes.<a fr-original-style="" href="https://www.mckinsey.com/featured-insights/diversity-and-inclusion/women-in-the-workplace?utm_source=aposto" rel="noopener noreferrer" style="color: rgb(9, 9, 9); text-decoration: none; background-color: transparent; outline: none; cursor: pointer; transition: color 0.3s ease 0s; touch-action: manipulation; user-select: auto; box-sizing: border-box;" target="_blank">McKinsey's research</a> shows that the two biggest challenges holding women back from leadership positions are that women are held to higher standards and that many organisations are not 'ready' to hire women for senior executive positions. However, other challenges include family responsibilities not leaving enough time to run a large company, women not having access to the same types of networks&nbsp;as men, and women being less likely to ask for promotions and raises. Even today, the fact that family care is still seen as the sole responsibility of women, the fact that environments that exclude women, such as 'old boys clubs', can easily form due to the ratio of men to women in the business world, and the studies reporting that women are seen as patronising when they behave confidently can be useful in making sense of this situation.In fact, it is possible to describe this problem in three aspects: the policies of companies, the place of business life in the individual's life, and social norms. I think that following the solutions of company policies, the behaviour of individuals and then social norms will be transformed.<h3 fr-original-style="text-align: left;" style="text-align: left; margin: 0px; color: rgba(0, 0, 0, 0.85); font-weight: 500; padding: 0px; box-sizing: border-box;">Steps for structural inclusion to address inequality</h3>Companies being inclusive and pushing for relevant policies is a primary step in the solution process. <a fr-original-style="" href="https://www.kornferry.com/insights/featured-topics/diversity-equity-inclusion/4-steps-to-building-an-inclusive-organization?utm_source=aposto" rel="noopener noreferrer" style="color: rgb(9, 9, 9); text-decoration: none; background-color: transparent; outline: none; cursor: pointer; transition: color 0.3s ease 0s; touch-action: manipulation; user-select: auto; box-sizing: border-box;" target="_blank">Korn Ferry</a>, a global organisational consulting firm, argues that the implementation of a four-part solution can mechanise the path to equality.<ul fr-original-style="padding-inline-start: 20px;" style="padding-inline-start: 20px; margin-top: 0px; margin-bottom: 1em; list-style-position: inside; box-sizing: border-box;"><li fr-original-style="" style="box-sizing: border-box;">Behavioural inclusion: Individuals can achieve inclusion by recognising long-standing unconscious bias and working to mitigate it. In this step, the company argues that education can help. Here, it emphasises that noticing and warning against masculine language, derogatory discourse on ethnicities or age-based demeaning expressions that are commonly used in daily life, and explaining the impact of these expressions can create behavioural transformation in the organisation.</li><li fr-original-style="" style="box-sizing: border-box;">Structural inclusion:&nbsp;Organisations can be inclusive by re-examining and reshaping their talent processes to ensure they are fair and equitable for the entire employee population. They can drive transformation through their ethos and code of ethics, and by developing equitable policies and practices in hiring, assessment, promotion and rewards. The impact of recognising and correcting structural failures within the organisation can be substantial.</li><li fr-original-style="" style="box-sizing: border-box;">Inclusive leadership:&nbsp;Inclusive leaders are defined as those who empower team members to take risks, manage their own development, and bring their authentic selves to work. Unlike companies that provide leadership with authority, inclusive leaders work in a more neutral and result-orientated way, and it is observed that success and progress are achieved, which leads to measurable judgements within the company.&nbsp;</li><li fr-original-style="" style="box-sizing: border-box;">Lasting change:&nbsp;Managers can help organisations become inclusive by ensuring that changes persist over time. This requires actively engaging, recognising, testing systems and ensuring that the person at the top of the company takes concrete steps. This is the only way for the rest of the teams to be aware of this.</li></ul>As I have seen in the reports, research and solution proposals from different sources, despite the progress, there is still a long way to go both in the world and in Turkey, from a statistical perspective. Gradual transition to new corporate cultures and structures, the transformation of systems, and women not seeing themselves as lesser are the first steps of the solution process.&nbsp;Finally, I would like to share a quote from the book Lean In by Sheryl Sandberg, former COO of Meta, to inspire women leaders and leader candidates:&nbsp;<blockquote fr-original-style="color: rgb(9, 9, 9); border-color: rgb(17, 142, 73); border-width: 4px; font-style: italic; padding-left: 10px;" style="color: rgb(9, 9, 9); border-color: rgb(17, 142, 73); border-width: 4px; font-style: italic; padding-left: 10px; margin: 0px 0px 1em; border-left-style: solid; box-sizing: border-box;">"In the future, there will be no female leaders. There will just be leaders."</blockquote>

Recently, there has been extraordinary demand from fans for the pre-sale of tickets for Taylor Swift's The Eras tour, consisting of 52 concerts, which is her first tour in nearly five years. 2.4 million tickets were sold in one day through a pre-sale made through Live Nation Entertainment's Ticketmaster, which at first opened exclusively to a specific group of members. While stating that to date, this is the largest amount of tickets sold in one day, the system has received 3.5 billion requests, which is equal to four times the previous record. Ticketmaster.com could not handle the traffic, and most of the fans had to wait a long time to buy tickets on the website that gave errors, and for the most part, they had to give up.Following the chaos, Ticketmaster went for solutions, such as cancelling the general sale and changing the dates some of its members could buy tickets, stating that this situation occurred ‘due to extraordinarily high demand and not enough tickets’. Taylor Swift, on the other hand, held the company responsible for what happened and said in a statement:&nbsp;<blockquote fr-original-style="color: rgb(9, 9, 9); border-color: rgb(17, 142, 73); border-width: 4px; font-style: italic; padding-left: 10px;" style="color: rgb(9, 9, 9); border-color: rgb(17, 142, 73); border-width: 4px; font-style: italic; padding-left: 10px; margin: 0px 0px 1em; border-left-style: solid; box-sizing: border-box;">‘I’m not going to make excuses for anyone because we asked them, multiple times, if they could handle this kind of demand and we were assured that they could. It’s truly amazing that 2.4 million people got tickets, but it really pisses me off that a lot of people felt like they went through bear attacks to get them.’</blockquote><h2 fr-original-style="" style="margin: 0px; color: rgba(0, 0, 0, 0.85); font-weight: 500; padding: 0px; box-sizing: border-box;">Calls for incompetition and unwinding</h2>The 2010 merger of Ticketmaster with Live Nation, which operates venues, advertises tours, and sells tickets, has been critised for damaging competitive dynamics in the market, resulting in a&nbsp;monopoly&nbsp;and not making enough effort to improve processes and operations and innovate to improve the user experience.This was not the first incident that Ticketmaster faced. During the merger, the companies made commitments that they would not discriminate against venues that prefer not to use the ticketing platform, and that they would give the software licence to one of their competitors. However, in 2020, the US Department of Justice&nbsp;(DOJ) introduced some new regulations because they did not fulfill them. Sources <a fr-original-style="" href="https://www.nytimes.com/2022/11/18/technology/live-nation-ticketmaster-investigation-taylor-swift.html" rel="noopener noreferrer" style="color: rgb(9, 9, 9); text-decoration: none; background-color: transparent; outline: none; cursor: pointer; transition: color 0.3s ease 0s; touch-action: manipulation; user-select: auto; box-sizing: border-box;" target="_blank">told</a> the New York Times&nbsp;that the DOJ launched an investigation into Live Nation and Ticketmaster over complaints from event venues, consumers, and ticket companies shortly before the Swift chaos, and the question whether the company abused its dominant power in the music industry has been raised following the recent events.&nbsp;According to Bloomberg, Senators Richard Blumenthal, Amy Klobuchar, and Edward Markey from the United States said in a note to the DOJ, ‘If the investigation reveals that Live Nation has continued to abuse its dominant market position notwithstanding two prior consent decrees, we urge the department to consider unwinding the Ticketmaster-Live Nation merger and breaking up the company.’&nbsp;<img src="https://images.aposto.com/2022/11/4/1670519770060.png" style="display: block; vertical-align: top; margin: 5px auto; text-align: center; width: 100%; max-width: 550px; border-style: none; position: relative; cursor: pointer; padding: 0px 1px; box-sizing: border-box;" ratio="1.72" width="550" fr-original-style="display: block; vertical-align: top; margin: 5px auto; text-align: center; width: 100%; max-width: 550px;" fr-original-class="fr-draggable"> <h2 fr-original-style="" style="margin: 0px; color: rgba(0, 0, 0, 0.85); font-weight: 500; padding: 0px; box-sizing: border-box;">What was really the problem?</h2>Liberty Media, the largest shareholder in Ticketmaster and Live Nation, suggested that AEG, which is responsible for Swift's tour and also Live Nation's rival, would prefer to work with Ticketmaster, while AEG told CNBC that the allegations were not true, citing Ticketmaster's&nbsp;private agreements with the vast majority of event venues, ‘Ticketmaster’s exclusive deals with the vast majority of venues on the Eras tour required us to ticket through their system. We didn’t have a choice.’&nbsp;It wasn't just a problem Taylor Swift faced, indeed, the coalition called Break Up Ticketmaster, said that Live Nation controls 70% of the ticketing and live event venues market, so artists and their representatives have little choice&nbsp;as to the platforms to sell their tickets.Moreover, the group urged the DOJ to open an investigation into Ticketmaster and Live Nation for ‘hiking up ticket prices’ and ‘charging rip-off junk fees’. Senators who wrote to the DOJ that they anticipate that the 2010 merger would actually encourage competition and reduce ticket prices, but Ticketmaster has increased prices for all types of events and venues by more than three times over the last 20 years.<ul fr-original-style="padding-inline-start: 20px;" style="padding-inline-start: 20px; margin-top: 0px; margin-bottom: 1em; list-style-position: inside; box-sizing: border-box;"><li dir="ltr" fr-original-style="" style="box-sizing: border-box;">Pricing: The ticket pricing method used by Ticketmaster determines the price based on demand and allows prices to increase in direct proportion to the number of people waiting in line. In 2021, Live Nation grossed more than 1 billion dollars with over 13 million ticket sales, while its rival AEG grossed 281 million dollars from 3 million ticket sales.</li></ul>Florian Ederer, Professor of Economics at Yale School of Management, notes that Ticketmaster is not the only seller in the market, hence it is not a monopoly. However, he says it could abuse its power with a 70% share of the market and is in fact responsible for more than 80% of tickets for major concerts sold since 1995. On the other hand, Michael Carrier of Rutgers University told The Economist that over 70% market share is enough to control a market.<img src="https://images.aposto.com/2022/11/4/1670519879215.png" style="display: block; vertical-align: top; margin: 5px auto; text-align: center; width: 100%; max-width: 550px; border-style: none; position: relative; cursor: pointer; padding: 0px 1px; box-sizing: border-box;" ratio="1.76" width="550" fr-original-style="display: block; vertical-align: top; margin: 5px auto; text-align: center; width: 100%; max-width: 550px;" fr-original-class="fr-draggable">While some state that monopolisation usually occurs through the provision of a unique product or service, it would not be wrong to assume that Ticketmaster's 30% market share is not due to its innovation ability; because some factors, such as its pricing method and the advantages it acquired in the ecosystem as a result of its merger with Live Nation, do not seem to be a source of motivation for the company in the sense of making innovations and investments to improve the website and the user experience. Considering that in April 2021, 5 members of the US House of Representatives urged US President Joe Biden to launch an investigation into the merger of Live Nation and Ticketmaster, which they call a ‘monopoly’, we will wait and see what the institutions that have been observed to have taken steps to prevent monopolisation, especially in recent times, will do to preserve competition in the music industry in the near future.

What happened in the background of Taylor Swift's The Eras tour, and why were some fans left unhappy?

The changing economic order, globalisation and the negative social and environmental impacts they bring with them are changing the agenda of investors and therefore companies. New concepts of the economic order such as countries’ zero-emission commitments, regulations such as the&nbsp;European Green Deal,&nbsp;environmental risks are among the most effective and prioritised risks on the world agenda, the rise of responsible investments in global markets, stakeholder capitalism and the big reset is pushing companies to create environmental, social and corporate governance (ESG) focused strategies.With this change, innovative business models, circular and zero carbon economy, people-oriented and inclusive systems, a management approach that focuses not only on shareholders but also on all stakeholders, and integrated management have become the focus of leading companies.<h3 dir="ltr" fr-original-style="" style="margin: 0px; color: rgba(0, 0, 0, 0.85); font-weight: 500; padding: 0px; box-sizing: border-box;">Number of reports on the rise as their scopes get wider</h3>At this point, companies and leaders started to intensify their sustainability-focused reporting in order to explain themselves to the stakeholders for whom they are responsible. The number of reporting companies in the S&amp;P 500 has more than quadrupled in the last 10 years. Today, <a fr-original-style="" href="https://www.sustainability-reports.com/ga-institutes-publishes-2021-sustainability-reporting-in-focus-trends-report/" rel="noopener noreferrer" style="color: rgb(9, 9, 9); text-decoration: none; background-color: transparent; outline: none; cursor: pointer; transition: color 0.3s ease 0s; touch-action: manipulation; user-select: auto; box-sizing: border-box;" target="_blank">92%</a> of the companies in the S&amp;P 500 and <a fr-original-style="" href="https://assets.kpmg/content/dam/kpmg/sg/pdf/2022/10/ssr-small-steps-big-shifts.pdf" rel="noopener noreferrer" style="color: rgb(9, 9, 9); text-decoration: none; background-color: transparent; outline: none; cursor: pointer; transition: color 0.3s ease 0s; touch-action: manipulation; user-select: auto; box-sizing: border-box;" target="_blank">96%</a> of the 250 largest companies in the Fortune 500 are conducting sustainability reports.In addition to competitive advantage, changing customer demands, and the need to attract and retain talent, the biggest motivation for reporting is to provide the information needed by investors, especially for publicly traded companies. Today, the amount of investment received by companies with high sustainability performance in global markets is over 35 trillion dollars. Moreover, research shows that companies with high sustainability performance have better financial performance. Being traded on reliable global sustainability indices is the primary way to prove that companies are performing well. The Dow Jones Sustainability Index, FTSE4Good Index Series, MSCI ESG Indices and the Borsa Istanbul Sustainability Index from Turkey question the performance of companies in terms of ESG through different evaluation methods. This explains not only the number of reports but also the rate of increase in data coverage.<h3 dir="ltr" fr-original-style="" style="margin: 0px; color: rgba(0, 0, 0, 0.85); font-weight: 500; padding: 0px; box-sizing: border-box;">According to which standards is reporting done?</h3>Just as effective international initiatives ensure the reliability of financial reporting, the world of sustainability reporting adopts a similar approach. Sustainability reports are generally based on the Global Reporting Initiative (GRI) Standards, Sustainability Accounting Standards Board (SASB) Standards, World Economic Forum Stakeholder Capitalism Metrics (WEF SCM), United Nations Global Compact (UNGC) and the International Integrated Reporting Council (IIRC) framework for integrated reports. In climate-related reporting, in addition to the Carbon Disclosure Project (CDP), risks and opportunities are included in accordance with the recommendations of the Task Force on Climate Related Financial Disclosures (TCFD).&nbsp;In addition to global developments, regional and local expectations from companies have started to increase and different reporting requirements have emerged. For example, the European Commission has made non-financial reporting mandatory for all publicly traded companies and published the Corporate Sustainability Reporting Directive (CSRD).&nbsp;On the other hand, every publicly traded company in Turkey is obliged to make disclosures in its financial reports in accordance with the Capital Markets Board's Sustainability Principles Compliance Framework.&nbsp;These reporting requirements affect not only companies but also the supply chain. For example, with the German Supply Chain Due Diligence Act, which will take effect starting 1 January 2023, companies will be responsible for the entire supply chain in terms of child labour, forced labour, forms of slavery, occupational health and safety, and decent wages. This will increase the transparency of social risks in the reporting of companies doing business with Germany. Similarly, with the European Green Deal, companies trading with the European Union will increase their performance and reporting on different environmental, social and governance issues, especially climate change and gender equality.<h3 dir="ltr" fr-original-style="" style="margin: 0px; color: rgba(0, 0, 0, 0.85); font-weight: 500; padding: 0px; box-sizing: border-box;">A common language in reporting</h3>Although companies use the reporting guidelines they want according to their priority stakeholder groups and sectors, they may experience confusion and difficulties due to the increasing number of standards, guidelines and practices in recent years. Today, many companies think they do not know where to start reporting on sustainability or that existing reporting methods, indices and standards are too complicated. In such cases, the best step for companies is to identify the most appropriate reporting standards, guidelines and practices for their needs and take action accordingly.The International Financial Reporting Standard (IFRS) has taken action to create a common reporting standard by gathering sustainability disclosures together, thus preventing confusion caused by different reporting standards. With the participation of organisations and stakeholders working in this field, IFRS published two standards titled General Requirements for Sustainability and Climate Related Financial Information (IFRS S1 and IFRS S2). These standards, which are still at the draft stage, are planned to be implemented quickly, especially for publicly traded companies. In fact, as recently announced during COP27, IFRS S2 will be included in CDP reporting starting in 2024.<h3 dir="ltr" fr-original-style="" style="margin: 0px; color: rgba(0, 0, 0, 0.85); font-weight: 500; padding: 0px; box-sizing: border-box;">What is an ideal reporting standard?</h3>More important than finding the most appropriate reporting standard for companies is the&nbsp;content quality&nbsp;of their reporting. The more impact-focused, transparent, balanced and inclusive a company's reporting is, the closer it comes to the ideal.No company is perfect, so it is important to reflect good performance while holding room for improvement. For example, not including a negatively publicised incident in the report at all reduces the credibility of the report. However, we should read about the truth and the effects of this negative event, and the actions to be taken in the coming period in a company's sustainability report.Another important factor that improves the quality of content is the stakeholder’s voice&nbsp;in the report. It is important for companies to act together with their stakeholders in decision-making processes in order to minimise risks and ensure harmony between stakeholder groups. Explaining how stakeholder engagement mechanisms work throughout the company and sharing the feedback received and responses given are among the expected criteria.&nbsp;Analysing and financialising the impacts of sustainability issues on the company is one of the main requirements for reporting, but nowadays, including the negative and/or positive impacts&nbsp;of the company on the environment, society and economy is a finding sought in new generation reporting. Another important criterion for an ideal report is that the targets aligning with the strategy and the data should be comparable. Comparisons with past performance, future forecasts and industry averages provide meaningful inferences for the reader.<h3 dir="ltr" fr-original-style="" style="margin: 0px; color: rgba(0, 0, 0, 0.85); font-weight: 500; padding: 0px; box-sizing: border-box;">Conclusion</h3>Sustainability reports provide a snapshot of the current situation of an organisation. For a better sustainability report, all companies need ESG strategies and targets that are integrated with their business strategy and are supported by clear action plans.&nbsp;All stakeholders, especially investors, need clarity on how companies will act in the near term within the framework of a long-term vision with strong interim targets for 2030 or the closer term.&nbsp;It is likely to become increasingly important in the coming period for companies to manage their portfolios according to environmental and social risks and opportunities, and to share these transparently through sustainability reports.

Why is sustainability reporting conducted?

Organised in Egypt, COP27, had a special meaning this year as the countries most affected by climate disasters are located in Africa.By 2045, 1.6 billion more people are expected to join the world population of 8 billion, and the world economy is expected to double. The Organisation of the Petroleum Exporting Countries (OPEC) <a fr-original-style="" href="https://news.yahoo.com/opec-forecasts-fossil-fuel-surge-171210404.html" rel="noopener noreferrer" style="color: rgb(9, 9, 9); text-decoration: none; background-color: transparent; outline: none; cursor: pointer; transition: color 0.3s ease 0s; touch-action: manipulation; user-select: auto; box-sizing: border-box;" target="_blank">predicts</a> that the share of fossil fuels in energy production, which is 80.2% today, will decline to 69.6% in 2045. However, this proportional decline does not mean that there will be a decrease in fossil fuel consumption due to the increase in total energy consumption. According to the report, consumption of all fossil fuels is expected to increase except for coal.When the&nbsp;Paris Climate Agreement, which Turkey signed in 2021, set a target of 1.5°C for the global warming threshold, it was 2015. Alok Sharma, who also chaired COP26 last year, emphasised that the Earth has already warmed by 1.1°C and that the 1.5°C target at COP27 is at risk: ‘Even at 1.5°C we will still have devastating consequences for many millions… 1.5°C must be a red line. And that can’t be the cop we lose 1.5°C on.'The United Nations (UN) 2022 Emissions Gap report <a fr-original-style="" href="https://www.unep.org/resources/emissions-gap-report-2022" rel="noopener noreferrer" style="color: rgb(9, 9, 9); text-decoration: none; background-color: transparent; outline: none; cursor: pointer; transition: color 0.3s ease 0s; touch-action: manipulation; user-select: auto; box-sizing: border-box;" target="_blank">reveals</a> that global emissions need to decrease by 45 per cent in order to avoid a climate change-induced catastrophe. Turkey's carbon emissions are projected to peak in 2038. However, according to the UN report, global carbon emissions <a fr-original-style="" href="https://www.france24.com/en/environment/20220404-emissions-must-peak-before-2025-for-liveable-future-un-report-says" rel="noopener noreferrer" style="color: rgb(9, 9, 9); text-decoration: none; background-color: transparent; outline: none; cursor: pointer; transition: color 0.3s ease 0s; touch-action: manipulation; user-select: auto; box-sizing: border-box;" target="_blank">need to</a> peak in 2025 if we want a habitable future.<h3 dir="ltr" fr-original-style="" style="margin: 0px; color: rgba(0, 0, 0, 0.85); font-weight: 500; padding: 0px; box-sizing: border-box;">Carbon credits and carbon offsetting</h3>Commercial certificates representing the right to emit a certain amount of carbon dioxide - or the equivalent amount of another greenhouse gas - are called <a fr-original-style="" href="https://redshawadvisors.com/learn-carbon/glossary/carbon-credit/" rel="noopener noreferrer" style="color: rgb(9, 9, 9); text-decoration: none; background-color: transparent; outline: none; cursor: pointer; transition: color 0.3s ease 0s; touch-action: manipulation; user-select: auto; box-sizing: border-box;" target="_blank">carbon credits.</a> Developed as a financial incentive mechanism to reduce greenhouse gas emissions, carbon credits enable companies that use less than their emission rights to earn income by selling these rights to others. Those that fail to reduce their emissions are faced with increasing costs as they have to buy carbon credits.At this stage,&nbsp;carbon offsets,&nbsp;developed to reduce emissions without compromising economic growth, come into play. <a fr-original-style="" href="https://redshawadvisors.com/learn-carbon/glossary/carbon-offset/" rel="noopener noreferrer" style="color: rgb(9, 9, 9); text-decoration: none; background-color: transparent; outline: none; cursor: pointer; transition: color 0.3s ease 0s; touch-action: manipulation; user-select: auto; box-sizing: border-box;" target="_blank">Carbon offsets</a> are carried out by reducing or eliminating an equal amount of greenhouse gases such as carbon dioxide in order to compensate for actual emissions. Offsets are measured in tonnes of carbon dioxide equivalent (CO2e). Carbon credits generated by carbon offsets give companies the right to emit more carbon and can be sold to others.<h3 dir="ltr" fr-original-style="" style="margin: 0px; color: rgba(0, 0, 0, 0.85); font-weight: 500; padding: 0px; box-sizing: border-box;">How effective are offsets?</h3>On the other hand, the effectiveness of emission offsets is the subject of a different discussion. Carbon credit trading allows parties to make carbon offsets of questionable compatibility at low costs. Another and more fundamental problem is that carbon offsets do nothing to address the actual source of emissions and can only offset a small fraction of global carbon dioxide emissions. According to data published by the think tank R Street Institute, the cost of carbon credits is less than $10 per tonne with carbon offsets, while the cost of companies cutting production or taking permanent measures to reduce emissions can <a fr-original-style="" href="https://www.rstreet.org/2021/10/20/economic-and-environmental-potential-of-carbon-offsets-may-be-underestimated/" rel="noopener noreferrer" style="color: rgb(9, 9, 9); text-decoration: none; background-color: transparent; outline: none; cursor: pointer; transition: color 0.3s ease 0s; touch-action: manipulation; user-select: auto; box-sizing: border-box;" target="_blank">reach</a> thousands of dollars per tonne.Afforestation is a popular offsetting method as it traps carbon dioxide in the atmosphere. However, this is <a fr-original-style="" href="https://web.archive.org/web/20100212232904/http://www.davidsuzuki.org/Climate_Change/What_You_Can_Do/trees3.asp" rel="noopener noreferrer" style="color: rgb(9, 9, 9); text-decoration: none; background-color: transparent; outline: none; cursor: pointer; transition: color 0.3s ease 0s; touch-action: manipulation; user-select: auto; box-sizing: border-box;" target="_blank">not enough</a> to keep afforestation projects from being the subject of controversy. Planted trees need many years to mature in terms of carbon capture,&nbsp;but credits sold in this way give companies the right to emit carbon instantly. Contrary to expectations, forest fires can cause carbon emissions, or unconsciously planted invasive species can damage endemic vegetation. Furthermore, while trees trap carbon, they contribute to the release of methane, another greenhouse gas.<h3 dir="ltr" fr-original-style="" style="margin: 0px; color: rgba(0, 0, 0, 0.85); font-weight: 500; padding: 0px; box-sizing: border-box;">Emission rights</h3>Emission quotas of countries are determined by the Kyoto Protocol, which is an extension of the 1992 United Nations Framework Convention on Climate Change (UNFCCC), signed in 1997 and entered into force in 2005.The Kyoto Protocol also allows ‘developed countries’ to sponsor emission reduction projects in ‘developing countries.’ In this way, ‘developing countries’ can attract investment from ‘developed countries’, while ‘developed countries’ can reduce their carbon offsetting costs without sacrificing their carbon emissions.Countries that are signatories to the Kyoto Protocol obtain carbon credits by certifying their carbon offset projects (CER) and can close their emission gaps by purchasing carbon credits. There are 5 stock exchanges in Europe where carbon credits are traded. Carbon trading is expected to create the world's largest commodity market.<h3 dir="ltr" fr-original-style="" style="margin: 0px; color: rgba(0, 0, 0, 0.85); font-weight: 500; padding: 0px; box-sizing: border-box;">Original additionality and permanence</h3>An effective carbon offset project is based on the concept of 'unique additionality'. Accordingly, for an effective emission offset, a carbon offset project should contribute to reducing carbon emissions ‘relative to doing nothing’. For example, the fact that a company planting trees for timber production does not cut them down until they are commercially mature does not make a unique contribution in terms of emission offsetting.A project that makes a unique additionality also needs to be funded solely for the purpose of generating carbon credits. Projects that have a commercial return but reduce carbon emissions as an additional benefit are not recognised as carbon offset projects. Again, for example, an efficiency investment that will reduce fuel costs in production is not registered as carbon offsetting since it is ultimately made to reduce costs, not to compensate for emissions.The second important concept is permanence. As in the timber example above, if a reforestation project is cut, burnt, decomposed or dried up before it can contribute to capturing the tonnes of greenhouse gases corresponding to the carbon credits it generates, it means that the project has failed in terms of carbon offsetting. Gilles Dufrasne of the Integrity Council for the Voluntary Carbon Market (ICVCM) <a fr-original-style="" href="https://www.bloomberg.com/news/articles/2022-08-02/now-is-your-chance-to-fix-the-carbon-offset-market" rel="noopener noreferrer" style="color: rgb(9, 9, 9); text-decoration: none; background-color: transparent; outline: none; cursor: pointer; transition: color 0.3s ease 0s; touch-action: manipulation; user-select: auto; box-sizing: border-box;" target="_blank">notes</a> that a forest established to compensate for emissions needs to stand for hundreds of years to fulfil its carbon offsetting role.British rock band <a fr-original-style="" href="https://www.telegraph.co.uk/news/worldnews/asia/india/1517031/How-Coldplays-green-hopes-died-in-the-arid-soil-of-India.html" rel="noopener noreferrer" style="color: rgb(9, 9, 9); text-decoration: none; background-color: transparent; outline: none; cursor: pointer; transition: color 0.3s ease 0s; touch-action: manipulation; user-select: auto; box-sizing: border-box;" target="_blank">Coldplay</a> planted 10,000 mango seedlings in a field in southern India to eliminate the carbon footprint of their second studio album, but the project failed to neutralise even the emissions generated during the delivery of the trees to the region as the seedlings dried up within 4 years.

An irrecoverable error: Emission

In recent weeks, Amazon has become the first publicly traded company in the world to lose 1 trillion dollars in market capitalisation. The tech giant's shares fell 4.3% on November 9, with its valuation falling to nearly 879 billion dollars after closing the day with a record market capitalisation of 1.88 trillion dollars in July 2021. About 1 week later, the company's CEO Andy Jessy said in an e-mail to employees that ‘the annual evaluation process is more difficult than ever due to the difficulties in the economy’ and that the layoffs, which will affect 10,000 people, will continue in early 2023.Amazon wasn't the only company in the tech sector where alarms went off, as rising inflation, rising recession concerns, tight monetary policies, and below-expected financial results led to a decline in tech stocks. Companies that planned to cut spending to prepare for tough times started to downsize their workforce. According to information in Layoffs.fyi, which tracks the layoffs, 145 tech companies announced their layoffs in November, while the number of tech workers who lost their jobs reached 45,265.<h2 fr-original-style="" style="margin: 0px; color: rgba(0, 0, 0, 0.85); font-weight: 500; padding: 0px; box-sizing: border-box;">Alphabet</h2>Activist investor Christopher Hohn told Google's parent company Alphabet that their salaries are too high compared to other tech giants and that their overgrown workforce has to be downsized. The Information reported that Google, which has not yet made layoffs on this scale, plans to implement an evaluation and performance improvement plan that could result in the loss of 10,000 employees. Accordingly, Google executives were asked to rank 6% of employees based on their performance. Previously, this rate was 2% and with the new performance system, premium and stock payments might not be made.<h2 fr-original-style="" style="margin: 0px; color: rgba(0, 0, 0, 0.85); font-weight: 500; padding: 0px; box-sizing: border-box;">Twitter</h2>Perhaps the wildest wave of layoffs of this period occurred on Twitter, following Elon Musk's acquisition. Musk laid off 3,700 people on November 4, nearly half of the company's workforce, after which about 4,400&nbsp;of the 5,500 contract employees in many fields, including the content moderation and marketing department, were fired without any notice. After Musk's e-mail to employees, in which he offered them ‘three months of severance if they did not want to continue working there 'to build a breakthrough Twitter 2.0',&nbsp;the wave of resignations began. Moreover, it was also stated that some of the employees who were fired in this process were dismissed and recalled without questioning their skills. The rumours included that there were those who were fired for criticising Musk.<img src="https://images.aposto.com/2022/11/1/1670240677454.png" style="display: block; vertical-align: top; margin: 5px auto; text-align: center; width: 100%; max-width: 550px; border-style: none; position: relative; cursor: pointer; padding: 0px 1px; box-sizing: border-box;" width="550" ratio="1.58" fr-original-style="display: block; vertical-align: top; margin: 5px auto; text-align: center; width: 100%; max-width: 550px;" fr-original-class="fr-draggable"><ul fr-original-style="padding-inline-start: 20px;" style="padding-inline-start: 20px; margin-top: 0px; margin-bottom: 1em; list-style-position: inside; box-sizing: border-box;"><li fr-original-style="" style="box-sizing: border-box;">In the meantime: Musk said layoffs were not a preference as the company lost 4 million dollars a day. The company's founder and former CEO, Jack Dorsey, said he accepts responsibility for what happened on Twitter and apologised for growing the company too quickly.</li></ul><img src="https://images.aposto.com/2022/11/1/1670240731043.png" style="display: block; vertical-align: top; margin: 5px auto; text-align: center; width: 100%; max-width: 550px; border-style: none; position: relative; cursor: pointer; padding: 0px 1px; box-sizing: border-box;" width="550" ratio="1.43" fr-original-style="display: block; vertical-align: top; margin: 5px auto; text-align: center; width: 100%; max-width: 550px;" fr-original-class="fr-draggable"><h2 fr-original-style="" style="margin: 0px; color: rgba(0, 0, 0, 0.85); font-weight: 500; padding: 0px; box-sizing: border-box;">Meta</h2>Meta announced on November 9 that it would lay off more than 11,000 people, which makes up 13% of the workforce. The company's CEO, Mark Zuckerberg, said in a note to employees that cutting discretionary spending to become leaner and more efficient. The metaverse has announced that they will take steps such as focusing on areas such as artificial intelligence discovery engine, advertising, and not hiring during the first quarter of 2023.<blockquote fr-original-style="color: rgb(9, 9, 9); border-color: rgb(17, 142, 73); border-width: 4px; font-style: italic; padding-left: 10px;" style="color: rgb(9, 9, 9); border-color: rgb(17, 142, 73); border-width: 4px; font-style: italic; padding-left: 10px; margin: 0px 0px 1em; border-left-style: solid; box-sizing: border-box;">‘At the start of Covid, the world rapidly moved online and the surge of e-commerce led to outsized revenue growth. Many people predicted this would be a permanent acceleration that would continue even after the pandemic ended. I did too, so I made the decision to significantly increase our investments. Unfortunately, this did not play out the way I expected. Not only has online commerce returned to prior trends, but the macroeconomic downturn, increased competition, and ads signal loss have caused our revenue to be much lower than I’d expected. &nbsp;I got this wrong, and I take responsibility for that.’ —Mark Zuckerberg, CEO of Meta</blockquote><h2 fr-original-style="" style="margin: 0px; color: rgba(0, 0, 0, 0.85); font-weight: 500; padding: 0px; box-sizing: border-box;">The future</h2>Different actors in the tech sector are also taking steps to cut costs in the macroeconomic environment, and many see layoffs as an effective method in this context. For example, Cisco will reportedly lay off about 4,100 people, which is equivalent to 5% of its 83,000 employees. According to a message Forbes saw, online used car retailer Carvana plans to lay off 1,500 employees, which makes up 8% of its workforce. But for these employees with experience and significant knowledge of working in the world's largest companies, the picture may not seem so dark.&nbsp;Recently, Jaguar Land Rover opened a&nbsp;job posting portal for laid-off tech workers featuring 800 positions in areas such as autonomous driving, electrification, machine learning, and data science. Moreover, some companies have even started to work to attract these talents. For example, the CEO of service provider Calix said on LinkedIn, ‘Twitter team, I am sorry to read about what you are going through. Disturbing. At Calix we are hiring and looking for great team members.’&nbsp;urging them to contact the company.

As rising inflation, rising recession concerns, and tight monetary policies led to a decline in tech stocks, alarms went off in the sector, which paved the way for major layoffs.

By Roger McNamee STANFORD – After a decade of unconstrained growth – when it seemed that a new billionaire was minted every day – the tech industry has finally hit a rough patch. Elon Musk’s erratic behavior following his takeover of Twitter has left the financially leveraged platform in a <a data-saferedirecturl="https://www.google.com/url?q=https://time.com/6234759/nothing-can-replace-twitter-roger-mcnamee/&source=gmail&ust=1670484590692000&usg=AOvVaw1RDqFFg280mOm7P6Lf2AYi" fr-original-style="" href="https://time.com/6234759/nothing-can-replace-twitter-roger-mcnamee/" style="color: rgb(9, 9, 9); text-decoration: none; background-color: transparent; outline: none; cursor: pointer; transition: color 0.3s ease 0s; touch-action: manipulation; user-select: auto; box-sizing: border-box;" target="_blank">precarious state</a>. The crypto exchange FTX’s sudden implosion has vaporized a business that was recently valued at <a data-saferedirecturl="https://www.google.com/url?q=https://www.barrons.com/articles/crypto-exchange-ftx-valuation-funding-51663854185&source=gmail&ust=1670484590692000&usg=AOvVaw0etzzGEf8OguQSsuZr9xfX" fr-original-style="" href="https://www.barrons.com/articles/crypto-exchange-ftx-valuation-funding-51663854185" style="color: rgb(9, 9, 9); text-decoration: none; background-color: transparent; outline: none; cursor: pointer; transition: color 0.3s ease 0s; touch-action: manipulation; user-select: auto; box-sizing: border-box;" target="_blank">$32 billion</a>, taking many other crypto firms with it. Meta (Facebook) is <a data-saferedirecturl="https://www.google.com/url?q=https://www.washingtonpost.com/business/2022/11/17/layoffs-amazon-meta-labor-market-unemployment/&source=gmail&ust=1670484590692000&usg=AOvVaw0zT4XdLCF8MVqUii1ypmYn" fr-original-style="" href="https://www.washingtonpost.com/business/2022/11/17/layoffs-amazon-meta-labor-market-unemployment/" style="color: rgb(9, 9, 9); text-decoration: none; background-color: transparent; outline: none; cursor: pointer; transition: color 0.3s ease 0s; touch-action: manipulation; user-select: auto; box-sizing: border-box;" target="_blank">laying off</a> 11,000 people, 13% of its workforce, and Amazon is <a data-saferedirecturl="https://www.google.com/url?q=https://www.euronews.com/next/2022/11/15/amazon-is-reportedly-preparing-to-shed-10000-corporate-and-technology-jobs-worldwide%23:~:text%3DAmazon%2520is%2520set%2520to%2520cut,retail%2520division%2520and%2520human%2520resources.&source=gmail&ust=1670484590692000&usg=AOvVaw1tf2rsp-9eIxJ2oPHB8se4" fr-original-style="" href="https://www.euronews.com/next/2022/11/15/amazon-is-reportedly-preparing-to-shed-10000-corporate-and-technology-jobs-worldwide#:~:text=Amazon%20is%20set%20to%20cut,retail%20division%20and%20human%20resources." style="color: rgb(9, 9, 9); text-decoration: none; background-color: transparent; outline: none; cursor: pointer; transition: color 0.3s ease 0s; touch-action: manipulation; user-select: auto; box-sizing: border-box;" target="_blank">shedding</a> 10,000.What are we supposed to make of these setbacks? Are they isolated incidents, or signs of structural change?Twitter was already struggling. After taking on debt and overpaying for the platform, Musk immediately began cutting costs, declaring that the company was losing <a data-saferedirecturl="https://www.google.com/url?q=https://twitter.com/elonmusk/status/1588671155766194176?s%3D20%26t%3D9iQ-RKzoJQ7w4Ex-NSfEpA&source=gmail&ust=1670484590692000&usg=AOvVaw2nMko-1NsqnugcW-yzL_K6" fr-original-style="" href="https://twitter.com/elonmusk/status/1588671155766194176?s=20&t=9iQ-RKzoJQ7w4Ex-NSfEpA" style="color: rgb(9, 9, 9); text-decoration: none; background-color: transparent; outline: none; cursor: pointer; transition: color 0.3s ease 0s; touch-action: manipulation; user-select: auto; box-sizing: border-box;" target="_blank">$4 million</a> per day. His <a data-saferedirecturl="https://www.google.com/url?q=https://www.platformer.news/p/elons-paranoid-purge&source=gmail&ust=1670484590692000&usg=AOvVaw301w9SpYngHXMs491nesq_" fr-original-style="" href="https://www.platformer.news/p/elons-paranoid-purge" style="color: rgb(9, 9, 9); text-decoration: none; background-color: transparent; outline: none; cursor: pointer; transition: color 0.3s ease 0s; touch-action: manipulation; user-select: auto; box-sizing: border-box;" target="_blank">first layoffs</a> swept out 80% of the company’s contractors and half of its permanent staff, including key engineers and most of the content-moderation team.Musk then reversed the bans on Donald Trump and thousands of far-right provocateurs, as well as <a data-saferedirecturl="https://www.google.com/url?q=https://www.cnn.com/2022/11/29/tech/twitter-covid-misinformation-policy/index.html&source=gmail&ust=1670484590692000&usg=AOvVaw2UgCqq2xIdrpg4Y7VwNXSq" fr-original-style="" href="https://www.cnn.com/2022/11/29/tech/twitter-covid-misinformation-policy/index.html" style="color: rgb(9, 9, 9); text-decoration: none; background-color: transparent; outline: none; cursor: pointer; transition: color 0.3s ease 0s; touch-action: manipulation; user-select: auto; box-sizing: border-box;" target="_blank">ending the enforcement</a> of rules against “harmful misinformation” about COVID-19 and vaccines. Many advertisers have paused their campaigns to avoid having their brands associated with toxic content. As I write, Twitter is in chaos.As the second-largest crypto exchange, FTX (and its founder, Sam Bankman-Fried) came out of nowhere, built a huge public profile, and then blew up – all in the space of a few years. Details are still emerging, but the bankruptcy specialist now serving as FTX’s CEO (and who previously oversaw Enron’s bankruptcy), says he has <a data-saferedirecturl="https://www.google.com/url?q=https://www.reuters.com/technology/new-ftx-ceo-slams-complete-failure-corporate-control-2022-11-17/&source=gmail&ust=1670484590692000&usg=AOvVaw3-PdpkkwxPVD7085OaKFgx" fr-original-style="" href="https://www.reuters.com/technology/new-ftx-ceo-slams-complete-failure-corporate-control-2022-11-17/" style="color: rgb(9, 9, 9); text-decoration: none; background-color: transparent; outline: none; cursor: pointer; transition: color 0.3s ease 0s; touch-action: manipulation; user-select: auto; box-sizing: border-box;" target="_blank">never seen</a> “such a complete failure of corporate controls and such a complete absence of trustworthy information.” The ripple effects are being felt across the crypto industry.Meta’s layoffs reflect the company’s stalled growth after a meteoric 17-year run. Young people have embraced TikTok, undermining the growth of Meta’s Instagram platform, and Apple has introduced a tool that lets iPhone users opt out of sharing data with platforms like Facebook and Instagram, costing Meta as much as <a data-saferedirecturl="https://www.google.com/url?q=https://www.forbes.com/sites/kateoflahertyuk/2022/04/23/apple-just-issued-stunning-12-billion-blow-to-facebook/?sh%3D312413e51907&source=gmail&ust=1670484590692000&usg=AOvVaw37kC2Fj9NIW5BGGjaLiIU1" fr-original-style="" href="https://www.forbes.com/sites/kateoflahertyuk/2022/04/23/apple-just-issued-stunning-12-billion-blow-to-facebook/?sh=312413e51907" style="color: rgb(9, 9, 9); text-decoration: none; background-color: transparent; outline: none; cursor: pointer; transition: color 0.3s ease 0s; touch-action: manipulation; user-select: auto; box-sizing: border-box;" target="_blank">$12.8 billion</a> this year. Meanwhile, Meta CEO Mark Zuckerberg has made a huge bet on virtual reality, attempting to create a general-purpose operating system for an industry that does not yet exist. The company has already spent <a data-saferedirecturl="https://www.google.com/url?q=https://www.businessinsider.com/meta-lost-30-billion-on-metaverse-rivals-spent-far-less-2022-10&source=gmail&ust=1670484590692000&usg=AOvVaw0yQ8KMs4dJyQDpj5PmIUOI" fr-original-style="" href="https://www.businessinsider.com/meta-lost-30-billion-on-metaverse-rivals-spent-far-less-2022-10" style="color: rgb(9, 9, 9); text-decoration: none; background-color: transparent; outline: none; cursor: pointer; transition: color 0.3s ease 0s; touch-action: manipulation; user-select: auto; box-sizing: border-box;" target="_blank">$36 billion</a> on this vision, with little to show for it.Other tech companies are also retrenching, owing to a broader post-pandemic reversion to the trend line for online retail, as well as disappointing results from some individual products. But more to the point, I believe the global economy is in the early stages of a structural change that will leave the tech industry – the biggest beneficiary of the prior economic regime – particularly vulnerable to disruption.The economic environment of the past decade was ideal for business. Interest rates and inflation across the advanced economies were exceptionally and persistently low. Peaceful relations among major powers underpinned easy access to global markets and sustained supply chains that optimized labor costs.But while prolonged economic stability benefited market leaders in every industry, it lulled executives, investors, and politicians into complacency. Many took on more risk, seemingly without consequence, leading to a mispricing of risk throughout the economy. When the pandemic hit in early 2020, it shocked most of the economy. But lockdowns and quarantines were great for tech companies, which kept hiring through the first half of this year, seemingly unaware that they, too, might be subject to disruption.Russia’s invasion of Ukraine changed everything, catching most corporations and even governments off guard. I believe it will be remembered as the trigger that ushered in a new economic era, with interest rates, inflation, geopolitical tensions, and instability at significantly higher levels than in the past decade. There has been a loss of trust among major powers, and it will be many years before governments are once again willing to subordinate other issues to economic interests.For tech, a new economic environment presents both challenges and opportunities. Many tech businesses will not recover. Crypto, Twitter, and Meta’s best days appear to be behind them. Other tech businesses, probably including Amazon and Apple, will recover, but perhaps more slowly than they would like.Some new opportunities will emerge. Enterprises that are restructuring manufacturing and supply chains will need technology. As workers leverage their newfound bargaining power to demand a greater share of the returns, demand for tech-based automation will likely increase. And as consumers adjust to new economic realities, they will stand to benefit from a range of applications and services that do not exist today.While it may be too much to ask, policymakers should seize this moment to steer the tech industry in more desirable directions. For years, the industry – particularly the social-media platforms – has weakened democracy, undermined public health, and jeopardized public safety. To the extent that policymakers have done anything to rein in the industry, they have focused on privacy and competition – efforts that have accomplished too little and come too late.The focus of policymakers and regulators should shift from symptoms to root causes: namely, the industry’s culture, business models, and structure. The culture of the industry is hyper-focused on speed, scale, and profits, without regard for consumer safety. Too many products – including major internet platforms, self-driving cars, artificial intelligence, smart devices, crypto, deep fakes, and facial recognition – are simply unsafe. There are no rules requiring tech companies to put consumer safety first; worse, the economic incentives encourage exactly the opposite kind of behavior.Similarly, the “<a data-saferedirecturl="https://www.google.com/url?q=https://theconversation.com/explainer-what-is-surveillance-capitalism-and-how-does-it-shape-our-economy-119158&source=gmail&ust=1670484590692000&usg=AOvVaw3WJ1CzYH7WwkYOs_HyHjp4" fr-original-style="" href="https://theconversation.com/explainer-what-is-surveillance-capitalism-and-how-does-it-shape-our-economy-119158" style="color: rgb(9, 9, 9); text-decoration: none; background-color: transparent; outline: none; cursor: pointer; transition: color 0.3s ease 0s; touch-action: manipulation; user-select: auto; box-sizing: border-box;" target="_blank">surveillance capitalism</a>” business model – which uses big data and behavioral economics to manipulate behavior – is an assault on human autonomy analogous to child labor. And it is an assault that has spread from internet platforms to many other industries, including health care, transportation, and financial services.Finally, the concentration of economic power in the tech industry prevents new ideas and business models from coming to market. With today’s macroeconomic disruption, policymakers have an opportunity to make up for years of laissez-faire policies. Tech companies should be forced to demonstrate safety as a condition of market access. Surveillance capitalism should be banned. Monopolistic business practices must be outlawed, and monopolies broken up.Protecting democracy, public health, and public safety is good politics. It also happens to be the right thing to do. There will never be a better time.<hr fr-original-style="" style="height: 0px; overflow: visible; border-bottom: none; clear: both; user-select: none; break-after: page; box-sizing: border-box;">Roger McNamee is a co-founder of Elevation Partners and an early investor in Facebook, Google, and Amazon.<hr fr-original-style="" style="height: 0px; overflow: visible; border-bottom: none; clear: both; user-select: none; break-after: page; box-sizing: border-box;">Copyright: Project Syndicate, 2022.<a data-saferedirecturl="https://www.google.com/url?q=http://www.project-syndicate.org&source=gmail&ust=1670484590692000&usg=AOvVaw1Hguyb79M8RHgpfUlQwi-b" fr-original-style="" href="http://www.project-syndicate.org/" style="color: rgb(9, 9, 9); text-decoration: none; background-color: transparent; outline: none; cursor: pointer; transition: color 0.3s ease 0s; touch-action: manipulation; user-select: auto; box-sizing: border-box;" target="_blank">www.project-syndicate.org</a>

Written by Büşra Uçan,MarComm Assistant, Mazars in Turkey Though the negotiations should have been concluded on Friday November 18, the talks were extended until Sunday due to disagreements over funding. The dual issues of Ukraine and rising global inflation distracted international attention. Countries, headed by India, drew attention to the fact that the final agreement needed to reduce the use of all fossil fuels instead of just coal. Fossil fuel-rich countries in Africa did not warm to this suggestion.<h3 fr-original-style="" style="margin: 0px; color: rgba(0, 0, 0, 0.85); font-weight: 500; padding: 0px; box-sizing: border-box;">The biggest win at COP27 was the Loss and Damage Fund</h3>In the lead up to COP27, developed countries presented solutions with alternatives such as insurance and early warning systems. But developing and vulnerable countries were determined to win a new fund for their loss and damage. During the last few days of the summit, the establishment of a Loss and Damage fund was approved by consensus of all parties after the EU&nbsp;stepped forward to agree followed by the US and China.&nbsp;This decision went down in history as the biggest win of COP27. However, the controversial details of who should pay for and who will benefit from the fund, were left to next year's COP28. The delegates welcomed this climate justice breakthrough, on the basis that the carbon emissions of richer countries have contributed to the disasters that poorer nations are now facing.<h3 fr-original-style="" style="margin: 0px; color: rgba(0, 0, 0, 0.85); font-weight: 500; padding: 0px; box-sizing: border-box;">Mitigation and 1.5 Degree Target</h3>To limit global warming to 1.5 degrees by the end of the century, we need to mitigate emissions by 45% by 2030. Current global policies are estimated to lead to warming of about 2.7 degrees above pre-industrial levels by the end of the century. Even if successfully implemented, the latest round of Nationally Determined Contributions (NDCs) commitments will only limit warming to 2.4 degrees. To hit the 1.5-degree target, countries need to incorporate binding, long-term net zero targets into their climate action policies. According to the text of the decision from the COP27, 1.5 degrees is still the official target, but the announced emission mitigation plans are not enough to reach it. Thanks in large part to the latest global fuel crisis the discussions have only been able to result in an outcome where Parties agreed not to backtrack on the current target instead of increasing efforts to hit the target. Failure to agree on the phasing out of fossil fuels puts the 1.5-degree target at notable risk. COP26 President Alok Sharma spoke about the stress of trying to keep to commitments agreed last year and around countries attacking their achievements, stating, 'We had to work tirelessly to maintain the lines we had drawn. We have struggled to add to Glasgow's wins.' Delegates were disappointed with the delayed steps on mitigation and by the presence of lobbyists blocking a phased exit from fossil fuels. Jennifer Morgan, Germany's Special Envoy for Climate, explained why they agreed to the final version of the agreement despite the absence of a clause for stricter emission reductions in the agreement, noting that they '...wanted to be on the side of the most vulnerable countries.'<img src="https://images.aposto.com/2022/11/5/1670583251271.png" style="display: block; vertical-align: top; margin: 5px auto; text-align: center; width: 100%; max-width: 550px; border-style: none; position: relative; cursor: pointer; padding: 0px 1px; box-sizing: border-box;" width="550" ratio="1.92" fr-original-style="display: block; vertical-align: top; margin: 5px auto; text-align: center; width: 100%; max-width: 550px;" fr-original-class="fr-draggable">Source: <a fr-original-style="" href="https://climateactiontracker.org/global/temperatures/" style="color: rgb(9, 9, 9); text-decoration: none; background-color: transparent; outline: none; cursor: pointer; transition: color 0.3s ease 0s; touch-action: manipulation; user-select: auto; box-sizing: border-box;" target="_blank">https://climateactiontracker.org/global/temperatures/</a><h3 fr-original-style="" style="margin: 0px; color: rgba(0, 0, 0, 0.85); font-weight: 500; padding: 0px; box-sizing: border-box;">Adaptation and Resilience</h3>Last year, we witnessed the disasters caused by climate change in our daily news feed from every corner of the globe. Unfortunately, as global warming continues to increase, disasters will continue to increase exponentially. Countries that are particularly vulnerable to the effects of climate change must build resilience, developing tools to adapt and cope.The issue of adaptation has thus disconnected from Loss and Damage as a key issue discussed COP27. Experts warn that mitigation targets alone will not be enough to combat climate change. COP27 called on governments and the business community to adapt and avoid the cost of inaction. The development of a framework for monitoring progress on global adaptation measures and to double the funding for adaptation were agreed in the final text of the COP27 conference.<h3 fr-original-style="" style="margin: 0px; color: rgba(0, 0, 0, 0.85); font-weight: 500; padding: 0px; box-sizing: border-box;">Energy Transition and Fossil Fuels</h3>The demands of India&nbsp;and other countries that the COP27 final text include a phased reduction of the use of 'all fossil fuels' were not met. Instead, it called on countries to take further steps to 'phase out any coal power that lacks carbon sequestration technology, and inefficient fossil fuel subsidies,' which was the same language agreed at the previous Glasgow&nbsp;summit. In short, the text did not move beyond the COP26 rhetoric of phasing out coal. The text of the COP27 agreement also refers to 'energy with low carbon emissions', i.e., natural gas, and the concern is that this will lead to an increased use of natural gas which emits both carbon dioxide and methane. The use of green hydrogen was highlighted an opportunity for some developing countries to export on the path to decarbonization. However, the pipelines have yet to be developed.At COP27, countries agreed that a 'fair and equal energy transition' should be based on national development priorities and include social protection and solidarity measures, such as providing retraining programs and support for coal workers affected by the transition. Another key decision taken was to create a work program founded on a just transition and to hold an annual round table meeting at ministerial level as part of this process.Sheikh Mohammed bin Zayed al-Nahyan,&nbsp;the leader of the United Arab Emirates, which will host next year's COP28 climate summit, said his country would continue to provide oil and gas 'as long as the world needs it.'Maldives Climate Minister Aminath Shauna said, 'I appreciate the progress we have made at COP27. However, we have failed at mitigation. We need to phase out fossil fuels.'<h3 fr-original-style="" style="margin: 0px; color: rgba(0, 0, 0, 0.85); font-weight: 500; padding: 0px; box-sizing: border-box;">Climate finance</h3>Developed countries made more commitments on climate finance at COP27 including multilateral agreements for loss and damage, adaptation, coal transition, but they have been unable to deliver on promises to provide US$ 100 billion annually for vulnerable and developing countries.The idea that public financing should be deployed in a way that complements and paves the way for private financing has gained traction. There is now growing pressure for the reform of global financial institutions such as the World Bank and IMF, to respond to the climate crisis. The need to fund climate adaptation has moved to the center stage, but there is still a serious funding gap as only 10% of the US$410-560 billion financing needs were met in 2020. As public scrutiny increases and recommendations for net-zero commitments become more stringent, there are significant transitions in planning for the implementation of commitments.