Blog for Masters & MBAs | EADA
  • The EADA Experience
  • Alumni Stories
  • Life in Barcelona
  • Admissions & Financing
No Result
View All Result
Blog for Masters & MBAs | EADA
  • The EADA Experience
  • Alumni Stories
  • Life in Barcelona
  • Admissions & Financing
No Result
View All Result
Masters & MBAs | EADA
No Result
View All Result

The Challenges of the New Economic Spirit

January 25, 2017
in The EADA Experience
0 0
Home The EADA Experience
Share on FacebookShare on TwitterShare on LinkedIn

By Joan Miquel Piqué, Professor, Strategy Department, EADA Business School.

 

“The millennials have to contend with an enormous contradiction: on the one hand, they were born and raised in a comfortable and affluent environment, and on the other, they will have to accept that they will be worse off than their parents. They use the economy and consumption as an instrument to achieve their objectives.”

Imagine Albert. He is 30 joan-miquel-piqueOK-252x300years old. He is a photographer and has spent a large part of the last decade working freelance, pursuing his big passions: photography, Africa, and social work. He now works in Brussels for one of the largest NGOs in the world and he doesn’t know exactly how long the project will last nor where he will be 10 years from now, but he feels he has fulfilled some of his dreams. And he is a pretty good example of what his generation has lived through and is going to live through.

 

The millennials in the western world, as an economic subject, are confronted with an enormous contradiction: on the one hand, they were born and grew up in comfortable and affluent surroundings –a period of expansion and social and economic progress, globalisation and technological change–, and on the other, the will have to pursue their career and personal projects surrounded by uncertainty and a scarcity of natural resources, employment, growth drivers, the energy model. All of this whilst contending with the dilemma, perhaps the first time since the rise of capitalism 200 years ago, that they will be worse off than their parents (even though, in this case, “worse off” may prove difficult to define)

Live and enjoy the present

They were provided with all the tools to make them the best-educated generation in history and now they are told that there is not enough to go around for everyone. But the confidence they were brought up to have helps them address this issue with astonishing pragmatism and optimism, you might even say maturity: if we have to live in this VUCA (volatile, uncertain, complex, ambiguous) environment, then let’s not think too much about the future and enjoy the present, trying to get the most out of everything we have around us. Quite mystical, quite magical. They don’t have any problems with self-esteem. As Evan Spiegel (25 years old), cofounder and CEO of Snapchat, the latest trendy social network, puts it, “You have all that you need to fulfil your dreams inside yourself. And, if not, there is a world of free information available to you on the Internet to help you accomplish them.”

That’s why, as economic subjects and consumers, millennials cannot be studied by applying the classic industrial parameters –they are like their environment: diverse, unclassifiable, mutant, unpredictable. That’s why some people even go so far as to say that millennials, as a type, only exist in theory. They are capable of driving any traditional factory crazy: one, they are used to having such abundant supply that it seems infinite (I want it, and I want it now); two, their demands change at lightning speed (like the globalised world they live in); three, they do not respond to traditional marketing because their communication is much more complex and social than the old transmitter-receiver set up (the key word here is sharing); and four, as customers, they know what they want and are not the least impressionable. That’s some challenge for the market.

In less than 10 years time, millennials will make up 75% of the workforce and the majority of companies will most likely be owned by them.

They approach the economy and consuming in the same way as they do any other aspect of today’s reality: they use them as instruments for achieving their objectives. Perhaps this is one of the few characteristics that they have in common. Without malice, without regrets, without ties. They are environmentally aware and will look after the world they live in, but the world is at their service. They have already received a great deal of attention on the part of governments and the world’s main institutions, and have been studied in detail. And now that they are entering into their late twenties and early thirties, they are going to become the dominant consumer group in the market and companies will need to take into account the following:

  • They do not buy products or services, but experiences: money is important, but up to a certain point. They prefer to earn half as much and enjoy themselves. There is a dose of reality in their proverbial hedonism; they don’t think about having, but about enjoying, especially when having requires a lot of space or investing too much time.
  • They are essentially disloyal. Or, to put it another way, their loyalty must be won every day and it is lost from one minute to the next. There is nothing now that lasts for a whole lifetime, brands and products included.
  • They require a great deal of communication and interaction: they need to be listened to, for many reasons. Because they will naturally explain how they want the product. They want to know the why for just about everything. They need to communicate constantly, and empathy, in this respect, is a key word.
  • Stores are a thing of the past. Most millennials acknowledge that they practise showrooming. In other words, they go to stores to see and try out what they like, and then they buy it cheaper from their smartphone.
  • They are socially responsible. Truly so. We are no longer talking about differentiation in the market, but of being worthy of their trust as consumers. And, when they want to, they really know how to searchout information.

Millenials

And we still haven’t mentioned the importance of technology, mainly because they don’t give any importance to it. They don’t even realise it’s there, simply because it has always been there, because it is a part of themselves. It doesn’t matter if a company does not take the technology component into account in everything it does. They just won’t know that it exists. And that’s that; no problem at all.

In 2025, millennials will make up 75% of the workforce and the majority of companies will probably also be theirs.

 

Article priginally publiushed in el Periódico, 27 April 2016.

Related

Tags: From our faculty
Share4TweetShare
Previous Post

Rankings put organisations to the test

Next Post

Bruno Cohanier: “To become a CFO you need to prove you are a capable cross-disciplinary manager”

Related Posts

Sustainable Christmas Gift Guide
The EADA Experience

Sustainable Christmas Gift Guide

December 17, 2020

...

EADA and Ashoka: committed to Social Innovation
The EADA Experience

EADA and Ashoka: committed to Social Innovation

December 14, 2020

...

Next Post
Bruno Cohanier: “To become a CFO you need to prove you are a capable cross-disciplinary manager”

Bruno Cohanier: “To become a CFO you need to prove you are a capable cross-disciplinary manager”

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Languages

  • enEnglish

Tags

CFA Institute EADA Careers Entrepreneurship & startups Events Exchange programme From our faculty Innovation International business trips International MBA Leadership Master in Accounting & Financial Management Master in Finance Master in Management Master in Marketing Master in Pharma & Biotech Management Master in Sustainable Business & Innovation Master in Tourism & Hospitality Management Negotiation Rankings

Instagram

  •     With my current experience in the field of business and technology solutions at Capgemini  I wish to expand my knowledge in the area of business consulting and turn my focus towards strategic business development and management  as my overall career goal is to pursue a profession as a consultant in an international environment    With EADA  I see the opportunity to stand out in today   s fiercely competitive marketplace through practical methodologies  applied case studies and the adhering leadership development programme  but certainly also through the name of the educational institution          Maximilian is a world citizen  from Germany  he had studied in the Netherlands and Hungary   and has spent a year living and working in South East Asia  Australia and New Zeland  With a strong focus in technology  innovation and consulting  he has experience in Capgemini as well as smaller companies   We can t wait to see him around campus this week
  •               A warm welcome to the International Master class of 2020-21 with participants from more than 50 nationalities  The 5 kick-off presentations -1 for each programme- took place yesterday in the Barcelona City Centre Campus        EADA Dean Jordi Diaz praised the students for challenging themselves to undertake their master s in today s uncertain times   Strategy is not what you say  but what you do         Jaume Bonet  Master in Finance Director  quoted Jamie Dimon  CEO of J  P  Morgan   There is a book being written on each of you   As Bonet told new participants   this year is not about education  it is about transformation  It is in your hands to write a successful chapter         Welcome to the EADA Community       EADAInternationalMasters  EADAImmersiveLearning  wherebusinesspeoplegrow   WeAreEADA  WeCareEADA  EADABarcelona  MuchBetterWithEADA  KickcoffMasters  EADACommunity
  •        I am excited for my master   s programme in the city centre of Barcelona and can   t wait to immerse myself not only in the Spanish culture  but in cultures from all around the world in class  I am looking forward to getting to know my fellow classmates and learning more about marketing          Vladislava is from Russia and holds a Bachelor   s in Finance  Her dream is to become an expert in Marketing able to complete complex  non-standard tasks in a creative way  Doing her master   s in Barcelona will be her second international academic experience  as she previously studied abroad in the U S    We can t wait to welcome her on campus next week     eadamasters  WhereBusinessPeopleGrow
  •               EADA s International MBA kicked off today in a hybrid format with participants both in class and connected online  Participants from 23 nationalities started this unique experience that will not only transform them in a professional way but also on a professional level        There were mixed emotions from participants on their first day feeling excited  happy and nervous at the same time  They had the opportunity to get to know each other on a Walking Tour around Barcelona a few days ago       Welcome to the EADA Community     EADAInternationalMBA  eadaimmersivelearning  wherebusinesspeoplegrow  EADABarcelona  WeAreEADA  EADAmasters  WeCareEADA
  •     I would like to make an impact in everything I do  Our world has seen inventions enough for three generations but not found a proper way to use them in day to day life  I would also like to make industries in my community green eco-friendly industries  The concept of recycling has been in my mind for a long time  We only focus on creating a product and sometimes on its impact on the environment but we do not consider the resources that are used to make them       Rokesh is an Aerospace Engineer from India  Keen Yoga enthusiast  he has won various prizes at state level for back bending and balancing  He is looking forward to meeting fellow EADA students who share his passion for sustainability    We can t wait to welcome him on campus in the fall      eadamasters  wherebusinesspeoplegrow
  • Some Masters and MBA students came on campus today for the last Welcome activity before the programmes kick off in a few days   Our relocation partner  studentfybcn came on campus to give plenty of useful tips to settle in Barcelona  housing  transportation  phone services  trips and networking activities  Everything to make the most of Barcelona experience  We then followed with a tour of the campus    We are happy to meet you guys in person and see how the campus is filled up with students from all around the world  Looking forward to meeting all the 2020 21 Masters and MBA students about to arrive   The countdown for the beginning of the year starts    Get ready for an exciting journey of personal and professional development    WeAreEada  WhereBusinessPeopleGrow
  • Our International Master in Management at EADA has moved up 9 places to  32 in the world by the Financial Times Ranking 2020     In addition  EADA has also achieved 98  in Employability  Career Service and Aims Achieved and  1 in  Marketing teaching   4 in  CorporateStrategy  10 in  GeneralManagement  We would like to congratulate the whole team and in particular James Haigh  Jordi Diaz and Nigel Hyges  who have been the directors of the Master in Management during different stages from the beginning of the programme   Many thanks to our great team of admissions  faculty  careers and alumni     weareeada  financialtimesranking
  •     Sustainability and social consciousness are two of the most relevant topics today  and I am more than excited to discuss the challenges and opportunities at hand with like-minded  innovative thinking classmates at EADA   Kristina is from Germany and will start the International Master in Sustainable Business   Innovation at EADA this fall  Complementing her studies at EADA  Kristina holds the position of Community Director at 180 Degrees Consulting Barcelona  the world   s largest consultancy for non-profits   social enterprises         See link in bio  We can t wait to welcome her on campus in the fall     weareeada  eadamasters
  •     Pursuing the International Master in Tourism   Hospitality Management at EADA relates to my goals in many ways - it will allow me to develop the skills I need to succeed and to meet inspiring people I can share my passions and my ideas with              Emma is from Canada and holds an undergraduate degree in Business Administration   with a specialisation in Management   International Affairs  As a teenager  she visited an ecolodge in the middle of the Costa Rican jungle and fell in love with this creative  resourceful and well-managed business  That day  it became clear to her that she  too  would one day have her own eco-responsible hotel somewhere in the world   We can t wait to welcome her on campus in the fall      eadamasters  weareeada
  • The EADA Experience
  • Alumni Stories
  • Life in Barcelona
  • Admissions & Financing

© 2019 EADA Business School.

No Result
View All Result
  • The EADA Experience
  • Alumni Stories
  • Life in Barcelona
  • Admissions & Financing

© 2019 EADA Business School.

Login to your account below

Forgotten Password?

Fill the forms bellow to register

All fields are required. Log In

Retrieve your password

Please enter your username or email address to reset your password.

Log In