The McWorld raiding the Culture

Today’s global economy has a tendency to insulate consumers from the various negative impacts of their purchases by stretching the distance between different phases of a product’s lifecycle—from raw material extraction to processing, use, and disposal. Yet at the same time, social challenges accompanying economic globalization call for innovative forms of political mobilization across international borders. Shifting to more sustainable patterns of consumption and production worldwide will require pursuing new ground rules in order to forge a global economy based on protecting cultural values.

What we see is the onrush of the economic, technological, and ecological forces mesmerizing peoples everywhere with fast music, fast computers, and fast food—one McWorld tied together by communications, information, entertainment, commerce and especially the culture.

Today, the global spread of McWorld is rapidly bringing the consumer society of USA to the rest of the planet. The globalization of the consumer economy is closely linked with the general economic boom and growth in the movement of goods, services, and money across international borders, which accelerated during the 1990s.

McDonald’s operates 30,000 restaurants in 119 countries and serves 46 million customers each day. Its total revenue was $15.4 billion in 2002. On opening day in Kuwait City, the line for the McDonald’s drive-through was over 10 kilometers long. McDonald's has also spread expeditiously across Pakistan in almost 5 years with 18 restaurants in major cities. Strangely, there is no McDonald’s outlet in Peshawar and Quetta. McDonald’s costs the same in Pakistan as in the US, and given the per capita GDP disparity between the two countries, it is the cheapest food in one country, while being one of the most expensive in the other.

Pizza Hut also operates a chain of outlets in Pakistan and planning further to invest approximately 1 billion rupees in expansion. The money is being used to open 20 new outlets.

Coca-Cola sells more than 300 drink brands in over 200 countries. More than 70 percent of the corporation’s income originates outside of the United States, and its net revenues reached $19.6 billion in 2002.

Meanwhile, corporate strategies focused on boosting consumer demand in Pakistan have lead to increases in purchases of all manner of goods, from cars and televisions to paper and fast food. While it is ethically problematic to suggest that developing countries are not entitled to have the same options for material consumption that have long been taken for granted by western consumers, the global adoption of industrial country–style consumption patterns would place unbearable strains on local cultures.

The 1990s saw the emergence of many important international agreements and commitments embracing the need to transform unsustainable patterns of consumption and production. Agenda 21, the action plan that emerged from the 1992 Earth Summit in Rio de Janeiro, called on international institutions and national governments to promote greater energy and resource efficiency, minimize waste generation, encourage environmentally sound purchasing, and shift toward pricing systems that incorporate hidden environmental costs.

The UN Commission on Sustainable Development has provided a useful annual venue for governments and others to discuss consumption and production issues. The deliberations have produced little concrete action though. There is no voice raised for conservation of social values.

At the 2002 World Summit on Sustainable Development in Johannesburg, South Africa, governments agreed to develop a 10-year framework of programs to accelerate the shift toward sustainable consumption and production. These include offering a better range of products and services to consumers, providing more information about the health and safety of various products, and establishing programs of capacity building and technology transfer to help share these gains with developing countries. The World Summit also generated more than 230 partnership agreements among diverse stakeholders.

The Organization for Economic Co-operation and Development has sponsored a series of meetings and papers aimed at encouraging governments to implement innovative sustainable consumption and production policies.

In all these forums, apart from consumption and production, no emphasis is laid on the issue of social influence. Unfortunately, the limited gains made since 1992 in shifting toward more-sustainable patterns of consumption and production have been largely overwhelmed by the continued global growth of the consumer society. The controversial lifestyle issues continue to haunt.

The breakdown of WTO negotiations in Cancún in September 2003 provided reform-minded governments and activists with an opportunity to push for bringing future trade negotiations into better balance with sustainable development concerns. The way forward, nevertheless, is not yet clear.

Several new initiatives have emerged in the corporate and financial sectors, including the United Nations’ Global Compact, which calls on participating companies to integrate nine core values related to human rights, labor standards, and environmental protection into their operations, and the Equator Principles, which call on leading banks to manage environmental and social risks in their lending operations.

The international trade negotiations can provide opportunities to push for policy reforms needed to promote more-sustainable consumption and production. All the same, WTO rules and negotiations can also be used to protect cultures and social taboos of the host countries of MNCs.

Brands like McDonald’s, Pizza Hut, Pepsi and Coca-Cola are not just cultural aggression but also an expression of power; once America lost its power these will go. It is nonetheless impossible to filter culture. In the past we hated the British raj but gradually adopted its symbols. Today we hate America and don’t want to adopt what we think is its culture. Pakistan must save its own culture to counter the onslaught. There is a need for reform in our culture, but this should not be obfuscated through this hatred or that. The only answer to the American cultural onslaught is the protection of Pakistan’s own culture. www.asifjmir.com

Consumption

Compulsive worship at the altar of consumption has brought humanity to the edge of an environmental abyss—depleting resources, spreading dangerous pollutants, undermining ecosystems, and threatening to unhinge the planet’s climate balance.

Endless economic growth driven by unbridled consumption has been elevated to the status of a modern philosophy. Contemporary economies are capable of producing huge quantities of goods at very low cost. This leads both producers and consumers to regard more and more products as little more than commodities that can be discarded relatively quickly rather than items that embody valuable energy and materials and that should be well maintained and designed for long life spans.

From the standpoint of global justice and equality, the solution cannot be a system of consumer apartheid that upholds western binge habits but denies the poor a decent standard of living. Instead, the rich need to curb their outsized material appetites.

To support the move toward a less consumptive economy, consumers and producers need to pay close attention to the full lifecycle of products. This means they need to concern themselves not just with the characteristics of the product itself, such as how much energy its use may require, but also with the materials and production methods used to manufacture the product and the kinds and types of wastes generated in the process. In addition, both consumers and producers need to consider how effectively goods actually deliver wanted services and comforts, how long products last, and what happens to them once they reach the end of their useful life.

A range of tools is at the disposal of governments, companies, and individual consumers to make progress toward the overall goal of a less consumptive economy. To make a difference, however, these efforts need to be scaled up considerably, and political and structural barriers to change must be struck down.

Most material flows in industrial economies—including waste materials from industry, carbon dioxide and other emissions, and soil loss from farmlands—serve no useful purpose whatsoever and never actually pass through the hands of any consumer. Dealing with these hidden flows will require downsimaterial, zing some of the most destructive activities, such as mining, smelting, and logging. Improving energy and materials efficiency, boosting recycling and reuse, and lengthening the lifetime of products can accomplish this, so that there is far less needs to extract virgin raw materials. But there is also ample space for reducing the environmental impact of the goods and services delivered to consumers—including through dematerialization, clean production, and zero-waste closed-loop systems.

It is much more likely that resource consumption will be minimized and the generation of wastes and emissions avoided if manufacturers factor environmental considerations in from the very beginning when they design products, develop production technologies, and select materials.

Around the world, a growing number of governments are adopting extended producer responsibility (EPR) laws that require companies to take back products at the end of their useful life. These typically ban the landfilling and incineration of most products, establish minimum reuse and recycling requirements, specify whether producers are to be individually or collectively responsible for returned products, and stipulate whether producers may charge a fee when they take back products.

The goal of EPR is to induce manufacturers to assess the full lifecycle impacts of their products. Ideally, they will then eliminate unnecessary parts, forgo unneeded packaging, and design products that can easily be disassembled, recycled, remanufactured, or reused. The EPR approach has spread beyond packaging to encompass a growing range of products and industries, including consumer electronics and electric appliances, office machinery, cars, tires, furniture, paper goods, batteries, and construction materials.

Durability, repairability, and upgradability are essential to lessen the environmental impact of consumption. For easy refurbishing and upgrading, a “modular” approach permits access to individual parts and components, which allows them to be replaced easily. By working to extend and deepen useful product life, companies can squeeze vastly better performance out of the resources embodied in products rather than selling the largest possible quantity. Although fewer goods will be produced, there will be greater opportunity and incentive for companies to maintain, repair, upgrade, recycle, reuse, and remanufacture products, and thus greater business and job potential throughout the life of a product.

Governments and communities can strike a better balance between private and public forms of consumption by expanding organized sharing of facilities and amenities. Government action is also indispensable in overcoming the immense structural impediments to lower consumption levels and to more public forms of consumption. Nowhere is this more pronounced than in transportation: low-density, sprawling settlement patterns translate into large distances separating homes, workplaces, schools, and stores—rendering public transit, biking, and walking difficult or impossible. Improved land use planning, environment-oriented norms and standards, and the creation of a reinvigorated public infrastructure that allows for greater social provision of certain goods and services will help ensure that consumers are not overly compelled to make consumption-intensive “choices.”

Another key area where government action is needed is consumer credit. The savings rate in most countries is falling, while household debt is on the rise. Credit card spending is also expanding rapidly among emerging middle-class consumers. Governments could help consumers by offering advantageous credit terms for certain efficient, high-quality, durable, and environment-friendly purchases. Governments can also design policies that offer tax rebates for the best-performing products, while taxing those that fall short of standards.

An important tool that governments can wield is procurement. By buying environmentally preferable products, government authorities can exert a powerful influence on how products are designed, how efficiently they function, how long they last, and whether they are handled responsibly at the end of their useful lives. Well-designed purchasing rules can drive technological innovation and help establish green markets.

Prominent among the measures governments can take are recalibrating tax and subsidy policies that encourage greater consumption, pursuing pro-environment procurement rules, and establishing appropriate product standards and labeling programs. (www.asifjmir.com)