Surveys gauging the real sector of 40 leading global economies reveal a collective desire among millions of companies to avoid a polarized world. These businesses are advocating for a swift resolution to global and regional geopolitical tensions, urging an end to the geoeconomic turmoil arising from these tensions. This turmoil manifests as the politicization of raw materials, intermediate products, and technological opportunities between countries. Both nations and companies are urging a shift toward a period where the focus can be redirected to enhancing their competitive skills.

The recent United Nations Climate Change Conference (COP28), during which the hosting responsibility for the next future climate conference was passed from the United Arab Emirates (UAE) to Azerbaijan (COP29), has underscored once more the vital importance of the concept of sustainability and the corresponding goals of achieving net-zero carbon and zero waste. This affirmation holds true for leading countries and corporations globally.

The fundamental process that will enable Turkish companies to exist in global competition and make their exports sustainable is "triple transformation." The main agenda of Turkish companies in the 2024-2030 period will be environmental, technological and social transformations.

2024 will truly be a transition year for environmental transformation. In the world's leading economies, especially in the European Union, the "environmental" sensitivity of companies will be one of the most important reputation elements.

A company's standing in global competition is significantly influenced by its carbon footprint, zero waste performance, and its ability to leverage clean and renewable energy. Success in these areas can bolster a company's position, whereas failure may result in negative consequences. Ineffectiveness in environmental initiatives can expose a company to additional environmental taxes, gradually eroding its competitive edge against firms succeeding in green transformation. To ensure sustainability in exports and profitability, achieving success in environmental transformation is paramount.

Digitalization requires technological transformation

The second crucial pillar is technological transformation. The rapid pace of digitalization necessitates companies to expedite their digital transformation. Those unable to sufficiently digitalize their production and business processes and lack the ability to manage their operations comprehensively with data may find it challenging to survive in the global competitive landscape.

Accordingly, strengthening of their teams and staff to manage the digitalization process, and deepening their own intellectual capital will be the most indispensable areas of focus for companies over the next five or six years.

The last pillar of the triple transformation is social transformation; strengthening the capacity of companies to improve their work for the benefit of society. Issues such as child labor or convict labor have already fallen behind for the world's most elite economies, which are members of the Organisation for Economic Co-operation and Development (OECD), such as Türkiye.

Some G20 countries are aware that they need to leave these issues behind within a year or two. Prioritizing the sensitivity of benefiting society in the company's economic activities will also differentiate companies in terms of reputation and value. Never let your businesses fall behind these global priorities being deceived by geopolitical tensions.