7 April 2025 – At this historic moment of geopolitical change and economic transformation, the question for businesses is whether they will step up to shape the future – or be shaped by it.
In our latest report, CISL CEO Lindsay Hooper and CISL Fellow Paul Gilding set out a pathway for the private sector to proactively respond to the current volatile geopolitical context while continuing sustainability efforts.
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A global industrial and economic transition is underway – restructuring how economies produce and consume resources and create value. This shift is being driven by hard, non-negotiable forces: the laws of nature and the limits of planetary boundaries. The direction of travel is clear.
The challenge is one of pace. Without deliberate action to accelerate the transition, the alternative is unmanaged decline – marked by escalating crises, abrupt state interventions, and growing threats to economic stability and open markets.
Strategic private sector action can change this trajectory. Businesses and investors have a critical role to play – not only in managing risk but also in reshaping markets and the rules that govern them. Those who act now to accelerate transition will gain a powerful early-mover advantage, set future standards, and influence the direction of policy and capital flows.
The financial stakes are significant. Businesses face existential risk from two directions: from systemic instability if the transition fails to scale, and from competitive displacement if it accelerates faster than they can respond. But the upside is equally significant. Entire sectors are being rebuilt, and the market for sustainable solutions is projected to reach trillions in value – rewarding those who move early to lead in clean technology, resource efficiency and resilient, low carbon business models.
In Survival of the Fittest: From ESG to Competitive Sustainability we made the case for why it is in the private sector’s own interests to accelerate market-wide transition, and to innovate and prepare to compete on a level playing field that rewards superior sustainability performance.
This follow-up report, Competing in the Age of Disruption, sets out a pathway to achieve this ambition. It sets outlines six priorities:
- Shift mindset – from compliance and incrementalism to value, competition and transformation.
- Escape the ESG trap – by ending tokenistic, reputational and defensive actions and redirecting effort towards market-wide impact.
- Prepare for transformation and competition – by embedding strategic foresight, leadership alignment and board-level ownership of transition.
- Innovate to create and protect value – by scaling disruptive technologies, shaping demand and triggering tipping points.
- Change the rules of the game – through strategic policy advocacy that dismantles barriers and builds fair, future-fit markets.
- Build momentum for change – by mobilising industry coalitions, aligning lobbying with long-term value and winning the public debate.
By 2035, sustainable industries are likely to be the dominant forces in global markets. Those who lead the transition stand to gain the greatest advantage, while others risk falling behind. At this historic moment of geopolitical change and economic transformation, the question for businesses is whether they will step up to shape the future – or be shaped by it.
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Citing this report
Hooper, Lindsay; Gilding, Paul (2025). Competing in the Age of Disruption. Cambridge, UK: Cambridge Institute for Sustainability Leadership
