“Democracy needs commitment” – Markus Scholz in Harvard Business Manager

In Harvard Business manager, Prof. Dr. Markus Scholz, holder of the Chair of Responsible Management at TU Dresden, discusses the growing importance of political engagement by companies and executives. In his recently published book “Wirtschaft mit Werten” (Economy with Values), he shows why economic actors should no longer rely on political neutrality in times of political polarization. He presents an excerpt from his book in the Harvard Business manager.

Prof. Scholz argues that companies and their executives have a special responsibility as part of civil society. Liberal democracies and the social market economy form the institutional framework that makes entrepreneurial activity possible in the first place – and which is currently under threat. Protecting these framework conditions is not only an ethical imperative, but also a strategic necessity for sustainable business.

He outlines key proposals on how executives can assume political responsibility. He is not concerned with party political statements, but with taking a clear stance against populist and anti-democratic tendencies and in favor of the values of an open society.

Recommendations for practitioners

• actively promoting liberal democratic principles in corporate decision-making processes;
• encouraging internal discourse on the importance of democracy and the rule of law;
• developing corporate strategies that take into account not only economic but also social goals.

Prof. Scholz emphasizes that political engagement by companies should not be a casual CSR tool, but rather an integral component of responsible leadership. This perspective combines ethical reflection with practical guidance for managers in the German-speaking economic area.

The article from Harvard Business manager can be found here.

The book “Wirtschaft mit Werten” (Economy with Values) can be found at this link.