How can businesses create and shape new green markets?
The World Economic Forum believes early movers need to act during this decade to become leaders in tomorrow's large-scale markets that will transform the economy and protect our planet.
The contributors to this report lay out the risks, opportunities and best practices for those who want to shape these new markets to their advantages and to everyone else's:
- Some sustainable technologies still need to scale to reach cost parity, especially in the industry, but others like renewable energies and electric vehicles showed leaders need to invest before this point.
- End consumers are already paying up to 7% more for sustainable products, and growing. This premium needs to be reflected in upstream markets to foster transition along all the value chains.
- In many sectors, suppliers are still not up to speed, which could lead to green materials' shortage. As much as it is a risk for downstream players' procurement, it is an opportunity for upstream ones to invest in growing markets.
- Thriving in green markets requires new go-to-market approaches, from value propositions taking into account all stakeholders to pricing strategies to circular business models.
- New phenomena like scarcity and value-based pricing challenge the usual commoditised and liquid markets suppliers have known for decades, opening up huge untapped markets to meet downstream players' sustainability commitments.
This report addresses many aspects of the emergence of green markets, from green product cost analysis to sector best practices, legislations, and collaboration, to show how early movers may face higher costs, but are likely to find a rewarding market.