"Trends from the 2019 Davos Conference" ~ Exploring Business Insights

This year, from January 22nd to 25th, approximately 3,000 political and business leaders from 100 countries gathered in the small mountain towns of Davos and Klosters in eastern Switzerland for the World Economic Forum Annual Meeting, commonly known as the "Davos Conference."

This year's theme was "Globalization 4.0: Creating a Global Architecture in the Age of the Fourth Industrial Revolution." It explored how to shape globalization within a society where the Fourth Industrial Revolution has interconnected everything via the internet. Over four days, discussions unfolded across approximately 300 sessions.

A panoramic view of the conference venue

My work frequently involves shaping vision and mid-term management plans, addressing SDGs, leadership communication, PR strategy, and PA (Public Affairs) strategy development. The trends emerging from the annual Davos meeting are an indispensable perspective for these efforts. This time, I present a glimpse of those trends as a follow-up to last March's article , "Essential Information and Trends of the 'Davos Meeting' Shaping the World."

This Year's Theme: "Globalization 4.0" ~ Aiming for a Society Where No One Is Left Behind

Recent conferences have centered themes around the Fourth Industrial Revolution. This year followed suit, with corporate attention focused on AI and fintech within the context of an internet-connected world. Cybersecurity remains a major theme as well.

At a press conference held at the Geneva headquarters just before the Annual Meeting, WEF Founder and Chairman Klaus Schwab stated, "Globalization has substantially benefited people, but we need to care for those left behind, the vulnerable, and the losers." He further emphasized, "We need to define a new approach to globalization."

Amid this new era of digitalized globalization, participating leaders sought solutions. They attended numerous sessions and held discussions to learn from past failures, explore how to build a society that leaves no one behind, and determine how to steer their own businesses forward.

Japan stood out at the 2019 Annual Meeting with the Prime Minister's speech and ministerial appearances

In stark contrast to the unusually upbeat mood of the 2018 Annual Meeting, this year's conference saw a succession of pessimistic statements about the global economic outlook. This shift can be attributed in part to the absence of many leaders, including U.S. President Trump and French President Macron, due to domestic political considerations. Concerns about U.S.-China trade friction and the Chinese economy also spread among attendees.

Amidst this absence of major leaders, Japan saw Prime Minister Abe participate in the Davos meeting for the first time in five years, delivering a keynote speech. In his address, he pointed out that "digital data is what brings growth," emphasizing the necessity of cross-border data flow. He also touched upon the framework of international trade and, as the chair country for the upcoming June G20 Summit in Osaka, mentioned measures against marine pollution caused by plastic waste.

Additionally, Minister of Economy, Trade and Industry Seko participated in a session on Society 5.0, Foreign Minister Kono spoke at a session on geopolitics, and Minister of Land, Infrastructure, Transport and Tourism Ishii attended a meeting on autonomous driving. The participation of Japanese ministers was notably higher than in previous years.

When leaders communicate their vision not only domestically but globally, they must choose media-conscious language, clearly define their position according to the situation, and captivate their audience.

The "Japan Night" event, organized by the Executive Committee comprising 29 domestic companies and universities participating in the Annual Meeting, was held again this year. For the first time, the Prime Minister joined the ministers in attending. The Prime Minister introduced Japanese sushi, wagyu beef, and sake, which drew keen interest from global media and dignitaries. Many seemed to resonate with the presentations by Japan's leaders.

Sushi served at "Japan Night"

Outside the venue this year, public booths decreased while invitation-only events increased. Companies setting up individual negotiation rooms also grew.

The state of each company's booth

Stepping outside the highly secure main conference hall, company booths line the area. Alongside regulars like Facebook, Google, and Accenture, this year saw prominent exhibits from Chinese companies such as e-commerce giant JD.com and Huawei. However, the glamour of previous years was absent; many booth entrances prominently displayed "Invitation Only" signs.

A noticeable trend this year was fewer booths open to all visitors. Even when hosting their own sessions or events, companies tended to restrict participation. The aim might be to set up their own meeting rooms – hard to secure in the main conference hall – enabling more business discussions in a more closed, company-specific space. Consequently, the decorations often seemed deliberately designed to be less visible from outside.

Furthermore, while previous years featured apps compiling off-site events, the implementation of the GDPR (EU General Data Protection Regulation) in May 2018 made collecting personal information more difficult. Consequently, these apps disappeared, seemingly impacting attendance at side events and corporate booths.

"SDGs" and "Plastic Reduction" Remain Essential Issues

Since the 2017 annual meeting, SDGs have remained a central theme. Each year, more corporate leaders attending the conference wear SDG badges on their left lapels.

Sessions and exhibits at the venue increasingly featured concrete discussions on how to use technologies like VR and AI to help people understand and empathize with the SDGs, ultimately driving action. Outside the conference halls, the UN had set up an SDGs tent with a media zone conducting live interviews and streaming videos.

Additionally, at the "Sustainable Impact Hub" booth, established by international organizations and private sector funds, themed sessions were held.

Reducing plastic use is a globally critical issue. Water dispensers were provided at the conference venue, and both beverage containers and served snacks saw a significant reduction in PET resin products, with most switched to bottles or glassware. This demonstrated the conference's commitment to reducing waste and reusing items wherever possible.

Recycling guidelines signage at this year's Annual General Meeting

This year, many young people were selected as co-chairs to run the conference, including Ms. Akira Sakano, President of the Japanese NPO "Zero Waste Academy," which tackles issues like waste problems. During the conference, she also appealed to world political and business leaders for cooperation in transitioning to a circular economy.

In Davos, too, active discussions on the "circular economy" have been taking place over the past few years. While in Japan, the focus tends to be on "recycling," I sensed that the world is being compelled to seriously tackle the need to build a circular society that goes beyond mere "recycling."

Key Takeaways from This Year's Davos

Finally, here are the key takeaways from this year's Davos.

* Pessimism about trade is growing in the business world.
* The sole bright spot is technology, with AI being a major topic of discussion.
* We are entering a phase where technology can help gain understanding and empathy to drive action toward solving social issues.
* Solving social issues through approaches like the circular economy is also becoming crucial for global business.

Living in this internet-connected society of the Fourth Industrial Revolution, we are called upon to collaborate not only domestically but with stakeholders worldwide within the new world order of Globalization 4.0, building a society that leaves no one behind.