The FMG Megatrend System

For your future-proof company

What do you have to do with trends and trends with you? You, your company and your profession must be prepared for the changes ahead! What for?

To protect what you have already achieved.
To ensure a bright future for your business.
To reap success, security,and joy in the here and now.

Wouldn’t it be practical if you had an overview of all megatrends? In a sensibly structured trend system? So that you can get your bearings, so that you are on safe ground?

And all this free of charge?

The FutureManagementGroup AG develops future strategies for renowned companies and provides you with all megatrends in a trend system that has been used successfully many times. This will make your job and your business model future-proof and your decisions more future-intelligent!

We visualize the megatrends like a periodic table of elements. Because the megatrends are the elements that will make up the future of your business, your profession and your life.

You will find a description of all trends here. Download the trend system free of charge as a PDF so that you can align your company with the relevant megatrends!

What megatrends are there?

Many people are aware that focusing on megatrends at an early stage increases entrepreneurial opportunities in future markets immensely. Many entrepreneurs mistakenly believe that megatrends are not relevant in their industry. This is wrong: every megatrend offers huge opportunities in every industry!

Here you can find out which trends and technologies are relevant or will become relevant in the coming years.

We structure the megatrends into areas. So biosphere, technology, society, politics, economy. Upstream of these are the so-called factors, i.e. the drivers that trigger the megatrends in the first place. For example, human nature and its motives, the increase in basic human knowledge and advances in key technologies.

The FMG Trend System

Factors

Biosphere

Technology

L

Society

L

Politics

Economy

L

Future factors

Changes of the biosphere

The biosphere comprises the entire space (land, water, air) of planet Earth in which living organisms occur. Depending on the respective environmental conditions, the diversity of species in the different zones and regions of the biosphere varies.
The biosphere is not only subject to exogenous influences, such as those caused by humans (keyword: climate change), but also to endogenous changes that arise from within the biosphere itself.
This makes it an independent factor that is beyond the control of humans, but has a significant influence on their lives and the lives of all organisms.
Throughout Earth’s history, conditions within the biosphere have changed repeatedly, with significant influence on evolution and biodiversity.
Through the interaction of feedback processes, even initially small changes can have large effects. Dynamic processes affecting the complex biosphere system include, for example, Earth’s rotation, Earth’s magnetic field, continental drift, volcanism, ocean currents, jet streams, etc.

Humans

The basic motives of human beings drive them to develop ideas, technologies and tools, to do business and to organize themselves in communities and societies.
Human needs as such do not change essentially, except in their social and individual prioritization. The actual expression of needs is determined by the culture in which people live and by their opportunities, both financial and otherwise. Accordingly, the demand for products and services that address these needs can shift.
The existence of the basic human motives and their genetically rooted pursuit in everyday life qualifies them as driving forces of future change.
There are different models and classification systems of human needs. Basically, they can be divided into physical, psychological and social needs.

Increase of basic knowledge

Knowledge is the only resource that grows while it is being used. Globally available knowledge thus doubles in ever shorter time spans. Over ninety percent of scientists who have ever researched and thought in human history live in the present age.
The causes of the ‘knowledge explosion’ are the ever-increasing degree of specialization in all professional disciplines, the global networking of different knowledge institutions, digitization and internetization as well as the easier access to information and educational content.
Progress in science is increasingly taking place at the intersections between disciplines, i.e., interdisciplinary.
While the volume of knowledge explodes, much of its content becomes obsolete faster and faster.
Increasingly, knowledge acquisition can no longer keep pace with this development. Lifelong learning and the knowledge of the right knowledge at the right time will become even more critical competitive factors.

Progress of key technologies

Key technologies make it possible to open up new technological areas. They are enablers for other technologies and for future products, solutions and applications in a wide range of disciplines and industries.
In contrast to basic technologies, their growth and change potential has not yet been exhausted, i.e., they promise a potentially high market volume for many sectors of the economy and are drivers for numerous innovations.
Key technologies include biotechnology, nanotechnology and optical technologies.
The division of biotechnology into ‘red’, ‘green’ and ‘white’, for example, illustrates the wide range of applications that characterize key technologies.
Key technologies give companies the opportunity to position themselves as technology leaders. Countries and regions can increase their competitiveness by promoting key technologies.

Biospheric megatrends

Climate change

Each of the last three decades has been warmer at the Earth’s surface than any other decade since 1850.
Experts attribute global warming mainly to the emission of carbon dioxide from the burning of fossil fuels. They are confronted with a few skeptics who deny a human impact on climate change.
Whether caused by human activity or by natural factors: Global climate change is one of the major challenges of the 21st century. The main factor is the warming of the planet’s atmosphere (global warming).
Higher temperatures, rising sea levels, the heating of the oceans and the increase in weather extremes and natural disasters could trigger unprecedented humanitarian crises.
The consequences of climate change could severely impact economic growth and prosperity for decades. Climate protection and climate policy will continue to gain in importance.

Burden on the environment

Environmental pollution is one of the biggest problems of mankind. Coping with it is one of the main challenges of the 21st century.
The main drivers of a higher burden on the environment are the growing world population, urbanization, increasing energy demand, agriculture, ever-increasing traffic volumes and industrial production.
The increasing pollution caused by waste and harmful substances has catastrophic effects on the entire ecosystem and entails enormous economic loss.
Health hazards, political risks and legal disputes connected with environmental issues that are caused by the struggle for more and more scarce resources will increase.
Stricter state and supranational environmental legislation is expected.

Scarcity of natural resources

Consumption of natural resources is increasing alongside the growth of world population and living standards.
At the same time, vital animal and plant habitats are being destroyed. Biological diversity, which provides a potentially endless reservoir of resources, is shrinking.
The growing demand for food, energy and consumer goods, faced with unavailability and the finite nature of resources could cause bottlenecks and price jumps in, for example, oil or high-tech metals.
In some regions, the scarcity of drinking water will increase the risk of conflict over land and water.
Efficient alternative ways of consuming natural resources will become increasingly important.

Technological megatrends

Digitalization

The number of Internet users worldwide is growing rapidly. Meanwhile, the Internet and digital media are shaping the way we communicate and get information decisively.
Stronger, faster devices and data transmission systems remain important drivers of economic performance.
In future, more and more objects will be equipped with new forms of ‘intelligence’. The Internet of Things won’t just shape our private lives and our working environments, it will also start the fourth industrial revolution.
Digitization forms the basis for numerous disruptive technologies and innovative business models.
Confirming Moore’s Law, which states that the number of circuit components doubles every 18 months, scientists are already working on new technologies for the post-silicon era.

Intelligentization

Technological innovations are making devices, machines and systems ever more intelligent. Everything is becoming smart – from the factory to the car to the home.
The prerequisite for this is progress in the fields of artificial intelligence and sensor technology. While AI represents the brain of intelligent systems, sensors take over machine sensory functions.
Corresponding systems are able to recognize patterns or discover correlations, to draw conclusions independently, to act autonomously and to learn continuously.
Increasingly, they are also able to recognize, interpret, and process human emotions and respond to them appropriately in a ‘digitally empathic’ manner.
Truth technologies use artificial intelligence to verify the authenticity of information and detect manipulations or deepfakes.
Artificially intelligent machines can already do everything better than humans, or soon will. This leads to greater efficiency as well as more safety and comfort.
For companies in almost all industries, this holds numerous opportunities. The world of work, however, is facing major challenges.

Robotization

The use of robotics is increasing. Industrial robots accomplish repetitive work procedures much quicker and much more accurately than human labor and substitute the latter in more and more areas. The production becomes cheaper.
Thanks to technological progress, robots are also increasingly able to handle complex tasks.
Cobots open up completely new forms of cooperation. Unlike classic industrial robots, they are designed to work with people in teams and learn independently, for example through imitation.
The market for service robots, by contrast, is only emerging. In the future, household robots will help us lead our daily lives in an easier way. They will increasingly resemble human beings and will be able to interact more intelligently.
Further important applications of robotic technologies include the use in outer space, in medicine and healthcare, and for military purposes.

Spatial Internet

The Spatial Internet refers to a computer atmosphere that exists in a 3D space, i.e., a combination of real and digital or virtual realities.
The basis for the Spatial Internet is formed by billions of devices and sensors connected to a high-performance Internet and networked with each other, thus making it possible to digitally capture or extend reality in real time.
This means that on the one hand a digital twin of physical reality can be built in a virtual space, on the other hand the digital world can be brought into the real one.
AI, IoT, blockchain, sensors, data glasses, edge computing, robotics and 5G are essential technologies that are driving the fusion of the Internet with reality.
Objects get an additional dimension. Products can thus be linked to new types of services.
The Spatial Internet will become the operating system of everyday life.

Virtualization

Virtualization enables the creation of artificial, immaterial environments.
Although these are not physical in nature, their impact and functionality is substantial.
Consumer spending on entertainment and media content will continue to shift from physical to digital.
Virtual cooperation will grow in importance.
Main drivers of this development are growing processing power of computers, internetization and more and more powerful data transfer systems.
In a few years, augmented and virtual reality applications could be as natural in the private, industrial and commercial sectors as the Internet is today.
In the future, the Metaverse could develop into a central living and working space.

Automatization

Automation technologies are changing working and living environments with far-reaching consequences for the organization of firms, employment levels in industry and daily life. More and more critical or repetitive processes can be automated.
In conjunction with computerization, sensors and actuators (adaptive systems) make it possible to control and manage almost all processes in a more and more effective way. Machine-to-machine communication allows different technical devices to automatically exchange data with each other.
The proportion of jobs requiring a medium to high skill level is increasing.
Automation solutions are also becoming increasingly important in the service sector.
More and more people worry about the future of work. There is a lack of clarity regarding the number of jobs that disappear through automation and the resulting new ones.

Additive manufacturing

In additive manufacturing processes, an object is created by adding material, usually based on a 3D CAD file. Additive manufacturing (or generative manufacturing) is becoming increasingly important. Additive manufacturing includes not only 3D printing (material extrusion), but also, for example, laser beam melting, in which a powdered material is melted layer by layer to form a specific shape.
Corresponding manufacturing processes are used today primarily in areas where small quantities, a complicated geometry and a high degree of individualization are required. Areas of application include the automotive industry, toolmaking, medical technology and aerospace.
Material and process innovations as well as falling costs will lead to additive manufacturing becoming more and more a standard also in series production.
In the long term, intelligent software and 3D printers suitable for mass production will make it possible for everyone to design and manufacture products themselves at home.
4D printing will take time into account as a fourth dimension, meaning that printed objects can still change shape after completion by a trigger.

Life and health technologies

Life and health technologies are among the largest and most important research fields of our time. Technological innovations not only make it possible to detect diseases ever earlier and treat them more effectively, but also to prevent them from occurring in the first place through prevention. The ergonomic design of living and working environments is becoming increasingly important.
The enormous potential of neurosciences, biotechnology and gene technology will pave the way for a better and personalized medicine. Quality improvements are also made possible by information and communication technologies (e-health).
Advances in medicine will not only help us live much healthier lives in the future, even in old age, but could, assuming significant breakthroughs, dramatically increase our life expectancy.
At the same time, people in the future will increasingly want to preserve or optimize their own performance with the aid of technology, over and above what is medically necessary.

Human enhancement

Using machinery, computers and technical devices has become an everyday activity. Generations X, Y and Z in particular are familiar with the operation and possible applications of new technologies.
The requirements for the devices are constantly changing. Decisive market advantages are achieved by those devices that offer a high level of usability. Intuitive operation and the minimization of error sources at the human-machine interface increase user acceptance.
In the medium to long term, humans and machines could merge. New insights are being provided, for example, by computer science, neuroscience, cognitive research and psychology.
But it is not only machines and interfaces that will help people to continually overcome performance limits and redefine what is possible. Numerous technologies have the potential to enhance and improve people’s physical and mental capabilities.
More and more powerful intervention options are available: In the 21st century, the human being could make the greatest evolutionary leap in his history – and ‘program’ the corresponding upgrade by himself.

Mobility technologies

In the coming decades, global mobility will continue to increase sharply.
Globalization, increased flexibility, and sustained economic growth in emerging markets, along with changing leisure and travel preferences, are the main drivers of this development.
As freight and passenger traffic grows, logistics and traffic infrastructures will face enormous challenges.
Intelligent, alternative and ecologically sustainable transport systems and vehicle technologies are gaining in importance. For example, electromobility will grow strongly in the next one to two decades. New and more powerful batteries and falling prices are making e-vehicles increasingly attractive. Already today, innovative driver assistance systems are paving the way for automated driving.
In big cities in particular, a shift is taking place away from owning a vehicle and toward using a variety of mobility services.

Material innovations

The development of new materials drives innovation in almost all branches of industry.
Its development is based on biotechnological and nanotechnological procedures. Bionics have great relevance here, too.
Artificial intelligence accelerates the development process of new materials and enables precise predictions of their properties.
Innovative materials are in high demand. So, for example, the automotive industry uses increasingly lightweight components, whereas the building industry needs new insulation materials to improve the energy efficiency of buildings.
New materials will be harder, more durable and flexible, bio-compatible, biodegradable, intelligent, self-cleaning and self-repairing. In short: They will contain any desirable characteristic you can think of.
Due to the increasing demand for material resources, the circulation of materials (closed loop) is becoming more and more important. Innovations in materials science form the basis here.

Energy technologies

Growing global consumption of the decreasing supplies of fossil fuels and the associated ecological and geopolitical problems – 65 percent of the world’s oil reserves are in the Middle East – make it increasingly necessary to find alternative energy sources.
The most important alternatives include solar energy, bio energy, wind power, water energy and geothermic energy. Countries that are conveniently located will specialize on renewables.
New potentials are being created by energy harvesting systems, which generate energy from everyday sources such as temperature and pressure differences, air currents, mechanical movements or vibrations.
The strategic use of energy-saving technologies is becoming an increasingly important tool for conserving resources and the environment.
Smart Grids enable greater efficiency, sustainability and grid stability.

Environmental technologies

Environmental protection has long since established itself as an important economic factor. Environmental technologies have a great future ahead of them. The sector is characterized by high R&D intensity.
Environmental protection aspects are increasingly being incorporated into the development of products and processes. Over the entire product life cycle, natural resources are used efficiently, and harmful environmental impacts are minimized. The aim is to decouple economic growth and the use of natural resources.
While numerous industries are gradually becoming greener through technology innovations, environmental technologies in the narrower sense refer to processes that directly solve an environmentally related problem.
Examples are water-saving and water-treatment technologies, innovative disposal concepts and recycling processes (circular economy), and emissions technologies that pave the way to a lower-carbon or even zero-carbon economy (decarbonization).
Environmental technology innovations open up numerous opportunities for companies. The ‘Green Economy’ is a rapidly growing market of the future. In the eco-relevant markets, the number of jobs will continue to rise.

Agricultural and food technologies

Agricultural and food technology is focused on developing new methods for the production, processing and distribution of foods and makes use of scientific, technical, economic, ecological and social research.
A major challenge of the 21st century is to supply the growing world population with sufficient food.
Valuable farmland is being lost as a result of progressive urbanization. In the future, however, it will be cities that offer the potential for agricultural innovation.
At the same time, climate change, water scarcity and energy problems pose new challenges for the agricultural and food industries that demand innovative solutions, such as in the fields of biotechnology and genetic engineering or through digitization and automation of agriculture.
In the industrialized countries, food preservation and quality assurance will play an increasingly important role in the future.
New technologies and changing consumer demands are continuously leading to food innovations.

Social megatrends

Growth of global population

Demographics as a scientific discipline statistically records birth rates, mortality rates and migrant flows. All these parameters affect the growth of the population.
Because of different cultural, political and economic influences regional, national and international population structures are subject to ongoing changes. Target groups have to be redefined and market volumes have to be recalculated.
Whereas the developed countries face falling birth rates and an ageing population, developing countries envisage a modest or rapid population growth.
Growth also varies within countries or regions; for example, the trend toward urbanization can lead to regional population loss in rural areas.
Overall, the continued growth of the population poses major challenges for the global community, for example in ensuring secure access to water, food, energy, etc. in the future.

Ageing

Life expectancy is rising continuously in most regions of the world. The proportion of older people in the population is growing accordingly.
This applies in particular to the industrialized countries, which are facing historically unprecedented ageing. The population pyramid turns upside down and becomes a spindle.
In Asia, Latin America, the Caribbean, as well as in the Middle East and North Africa, the share of older people will also increase sharply.
The old-age dependency ratio (the ratio of working people to pensioners) will fall worldwide from 6:1 today to 4:1 in 2050, a development that poses major challenges for many societies. Working life will become longer and retirement ages will rise.
Images of old age in society are changing. The needs of senior citizens are becoming an increasingly important market for the future – and are also gaining significance in politics.

Change of generations

Baby boomers are retiring, Generation X and Y are dominating the labor market, and Generation Z is just entering the workforce.
Each (successor) generation was raised and socialized differently, grew up with different media (analog and/or digital), and brings with them their own values, world views, and desires, which manifest themselves in different lifestyles as well as expectations of society, politics, companies, and employers.
Whereas the older generations focused on the desire to improve their own lives materially, the younger ones want above all to optimize themselves and make the world a better place. Environmental, peace and human rights activism are experiencing an upsurge.
The change of generations also harbors potential for conflict, since the concerns of younger people in aging societies often do not command a majority. Areas of conflict here include the reform of the pension system, the climate crisis and the energy transition, as well as cultural diversity and sexual identity.

Migration pressure

Migration is determined by economic, political, demographic and other factors.
Over the past two decades, the number of international migrants has increased in all regions of the world. About one in ten migrants is a refugee.
One factor that is likely to further increase migration pressure in the coming years and decades is climate change. Droughts, floods and other consequences of global warming could cause the proportion of climate refugees to skyrocket.
For wealthier countries in particular, refugees and migration are becoming a growing challenge – politically and socially. Two-thirds of all migrants live in just 20 countries. The frontrunners are the United States and Germany, which account for nearly a quarter of migrants.
For the EU, migrant streams are becoming a stress test, as the willingness to accept them varies greatly between member states. Thus, growing migration also leads to tensions between states and polarization within societies: ‘Welcoming In’ vs. Walling Off’.

Individualization

Since enlightenment, an individualistic understanding of humanity is a firm part of normative self-conception in Western societies.
Over the last decades, individualization has further gained strength. The meaning of social obligations and inclusion in general has decreased while at the same time the importance of self-fulfillment has increased.
Expressions of individualization are the unabated trend towards single households in cities and high divorce rates.
Individualistic forms of life will continue to differentiate. Freedom and self-fulfillment remain important personal and social leitmotifs in the future.
In the ‘I-society’, the individual has the need to be able to buy and use tailor-made, individual products and services. Digital self-presentation and posturing, especially in social media, increasingly complements individual lifestyle design in real life.
But despite always looking for the extraordinary, the individual does not want to lose touch with the mainstream in certain areas.

Pluralization

In the second half of the 20th century, a process of social differentiation began in the Western democracies that continues today.
Various experiments in free development and the co-existence of different interests and lifestyles are typical characteristics of pluralistic societies.
Besides the modern small family having replaced the traditional great family, various forms of family life exist, such as patchwork families, intercultural families and homosexual partnerships.
As a result of female emancipation, the classic division of roles between men and women has lost its relevance. This development will go on to manifest itself in the increasing social and professional participation of women.
Interculturalization is an important influence on the pluralization of society. Globalization and (work) migration will foster this trend.

Polarization of societies

In the last 25 years, the number of people living in extreme poverty worldwide has been reduced by about one billion. Although around 700 million people still live in extreme poverty today, a portion of them is expected to rise into the global middle class in the coming decades.
While poverty decreases around the world and some emerging countries catch up to the wealthier industrialized nations, the gap between rich and poor increases in most countries.
The wealth of the rich is growing and wages of higher earners are rising above average. At the same time, the incomes of many workers at the bottom of the middle class are declining and low skilled workers are increasingly threatened by unemployment.
Political culture is also increasingly characterized by polarization. Ideological camps – ranging from radical ‘political correctness’ on the one hand to positions outside democratic values on the other – are increasingly narrowing the horizons of questions and harboring the potential for social conflict.

Urbanization

While in 1950 less than one third of the world’s population lived in cities, it’s more than a half today and the share is growing continuously up to two thirds by 2050.
Consumers in large cities will account for the greatest share of global consumption growth.
Megacities are also growing rapidly – in number, size and density. They are the hotly contested arenas of globalization.
In order to cope with the large population density and increasing traffic volumes, high investments are necessary. Otherwise, many cities are likely to collapse.
Ongoing urbanization will further intensify many environmental and social problems. Urban development based on ecological and social sustainability criteria is becoming increasingly important.
Cities will be exposed to a greater diversity of risks than ever before, including natural hazards, terrorism and rapidly emerging cyber threats as they transform into ‘smart cities’.

Increasing complexity

The combined interaction of several factors and trends creates complexity that in itself has become a powerful future factor.
Complexity is the result of the interaction of dynamic and open sociological and ecological systems.
Assessing issues without expert knowledge is becoming more difficult. In such areas, there is an increasing demand for professional consulting.
Over the next few years, artificial intelligence will more often support people in decision-making and solving complex problems.
Due to increasing complexity, there is a higher desire for simplicity, stability and overview. Consequently, slow living, mindfulness and spiritualization are gaining in importance as counter-trends.
Quick and easy-to-understand products and services can often provide a competitive advantage.

Increasing health orientation

The pressure on individuals to adapt and change is high today. The growing variety of options, the explosion of information and knowledge, increasing complexity and the trend toward acceleration in working and everyday life are challenging and overwhelming more and more people.
This often leads to dissatisfaction, stress and burnout. Subjectively perceived lack of time leads to malnutrition, overeating and lack of exercise. Diseases of civilization such as diabetes or cardiovascular diseases are on the rise, as are mental illnesses.
Accordingly, the interest in health-promoting lifestyles and behavior is growing. People shape their living environment, diet, attitudes and habits more and more in a healthy way, thus trying to implement the knowledge of health.
Salutogenesis provides the knowledge that explains how to be and stay in good health. The approach is the opposite of traditional disease-oriented medicine, pathogenesis, and deals with the causes for good health.

Political megatrends

Globalization and fragmentation

The liberalization of global trade and technological advancements have led to a significant increase and acceleration in the movement of goods, international mobility, and communication across the globe.
More and more emerging economies are being integrated into the global economy. Societies are becoming more open and multicultural, even though some regions are experiencing a resurgence of national identities and migration-critical movements.
In all parts of the world, there is a growing integration of national economies into overarching structures.
Globalization and integration processes are interdependent, though they often exhibit paradoxical interactions. Integration processes can act both as drivers of globalization and as responses to it, sometimes even opposing it.
The division of the global economy into regional or national blocs, often along geopolitical lines, results in a fragmentation of globalization.
Protectionism, regionalization, friendshoring, and the development of new and alternative supply chains are the consequences.

Multipolar world

The term ‘multipolar world’ refers to a new world order that is no longer characterized by one or two superpowers, but by several centers of power.
While the US is losing power and influence in relative terms, the economic and political importance of other states has grown and continues to do so in the course of globalization.
China is not only establishing itself as the leading economic nation of the 21st century, it is also gaining increasing (geo)political influence.
System competition between the US and China is becoming increasingly apparent. Europe and Russia are losing importance in comparison, but remain influential forces.
India, one of the fastest-growing economies in the world, is increasingly gaining global influence. Other future heavyweights are Brazil, Mexico and Indonesia.
As a process of upheaval, the balancing of powers towards a new world order entails opportunities and risks. Strengthening international law and international institutions is becoming increasingly important.

Democratization and crisis of democracy

While the 20th century was characterized by a strong process of democratization, which received another significant boost, especially with the end of the Cold War, this process gradually slowed down at the beginning of the 21st century.
In the meantime, a reversal of this process can even be observed, i. e., the tendency toward autocratic systems is increasing. These are ruled by individual potentates or elites who are not legitimized by free elections and endow themselves with power and justice.
Less than half of the countries worldwide are democratic. The majority consists of autocratic systems or hybrid forms..
Democracy is in crisis. While in some autocratic systems citizens demand democratic rights and even go out to demonstrate for them, more and more people in Western countries no longer see themselves as sufficiently represented by the existing democratic structures and rate them as deficient or at least in need of reform.
Right-wing and left-wing populism are experiencing a renaissance.

Crisis of welfare systems

Most countries have been living beyond their means for decades.
The last economic crisis and the COVID-19 pandemic led to an enormous increase in government debts. Approximately one-third of countries now have a national debt exceeding 60 percent of their GDP.
In order to function, many states have started privatizing government property and public contracts.
Stabilizing their social security systems will be a major challenge, particularly for those developed countries suffering from an aging, shrinking population.

Economic megatrends

Global increase of wealth

Capitalism has established itself globally as the dominant economic and social order, and has led to an enormous growth in economic power and productivity.
This development has played a decisive role in ensuring the expansion of wealth and life quality worldwide, despite population growth.
More and more formerly impoverished states have been integrated into the world economy. Globalization and liberalization are important drivers for growth.
Despite having been predicted several times already, the limits to growth have not yet been reached. However, the strong increase in mobility worldwide and the further rise in energy demand require new solutions for more sustainable growth.
Thanks to the innovative power of the human mind, challenges are constantly addressed, problems solved, and limits redefined.

New work

The acceleration and increasing complexity of working life pose new challenges for the individual. At the same time, new technological innovations offer possibilities to address changing demands.
Whereas the Internet generation already has a high affinity for modern technology, older employees can find it difficult to adapt to new tools and technical devices.
The growing culture of permanent availability via cell phones and the Internet increasingly blurs the borders between living and working hours. At the same time new working time arrangements offer a higher degree of personal flexibility and a better work-life-balance.
Work organization is also subject to ongoing change. Increasingly, employees take on entrepreneurial risks and act as entrepreneurs within companies.
Characteristics of today’s knowledge society are a high degree of specialization with a simultaneous tendency toward interdisciplinarity. More and more companies are cooperating in order to meet the increasingly complex requirements of their customers. The network economy forms the basis for this.

Crisis of work

Skills shortages, automation and the increasing threat of unemployment for the low-qualified will shape the labor market in the coming years.
While the fourth industrial revolution provides manufacturing companies with the next automation push and numerous jobs are being replaced by robots, at the same time there is a threat of a shortage of qualified workers, especially in STEM occupational fields.
In the automotive industry, a not inconsiderable number of jobs will have to be cut as a result of the structural shift toward electromobility and autonomous driving.
Automation and virtualization, i.e., humanless processes, are also experiencing a forward momentum in services and retail, most recently additionally promoted by Covid-19.
The use of algorithms and artificial intelligence will also automate more and more tasks in the field of knowledge work.
Technical knowledge (especially in the area of future technologies), social skills and emotional intelligence are gaining in importance.

New learning

Collecting, using and exchanging knowledge and competence is an essential guarantee of economic growth, particularly for developed countries.
As demand for education grows, states have to face the challenge of mobilizing more resources which opens up new avenues for private companies.
Digitization will foster this development. The integration of the Internet in all areas of education will change and improve the education process.
E-learning solutions will increasingly be used. At the same time, the amount of available, as well as outdated knowledge will rise dramatically through the use of modern information and communication technologies.
Semantic technologies and knowledge systems that help with creating, analyzing, filtering, processing, structuring and memorizing knowledge will gain more importance.
Artificial intelligence will play a pivotal role in revolutionizing these processes by enabling personalized learning experiences, automating knowledge management, and fostering innovation in education.

Crisis of the financial and currency system

After the global financial crisis of 2007/08, countries set themselves the goal of making the financial and monetary system more crisis-proof and ensuring its stability. Various reform measures were initiated and also implemented.
However, there is no reason to give the all-clear. The mountain of debt is growing, among private households, companies and governments. The Corona pandemic in particular has accelerated this development.
The euro crisis is still ongoing, presenting the European Union not only with monetary, financial and fiscal challenges, but also putting the idea of Europe as a community of values to the test.
The flood of money that central banks and governments have pumped into the economy to cushion the impact of the Corona pandemic could worsen the crisis of fiat money in general. The nightmare scenario is a long and deep economic crisis.
It is uncertain whether the hegemony of the U.S. dollar will continue or whether a multipolar world order will see the formation of competing currency blocs. An alternative global currency system, possibly even based on a cryptocurrency, is also conceivable.

New market structures

ln recent decades, the Western industrialized countries have structurally reorganized towards being service and knowledge societies. Value creation doesn’t just rely on the production of goods, but more and more on immaterial products.
The main characteristic of modern knowledge societies is their high degree of specialization, and their strong tendency towards interdisciplinarity. More companies are prepared to cooperate in order to be able to satisfy the increasingly complex demands of their customers.
At the same time, tertiarization and quartarization have led to a pluralization of lifestyles and perspectives, to which the markets respond by further specialization. The Internet opens up new niche markets that can satisfy even the most individualistic demands.
In highly competitive markets, companies find it increasingly difficult to succeed. Market saturation and strong price competition mean that only the most efficient providers can survive.
Knowledge and knowhow ensure competitive advantages and will remain guarantees for success. Service innovation will become increasingly important.

Digital economy

The influence of digitalization on the economy and economic growth is steadily increasing.
Over the past two decades, the Internet economy has spawned numerous companies and innovative business models. E-business and online commerce are booming. Platforms and social networks have gained significant importance..
With the increasing spread of the Internet of Things, the economy is experiencing a new digitalization push. The networking of billions of devices, machines, vehicles, etc. will open up new opportunities for companies.
The digital economy promotes cooperation and strategic alliances, even across industries. Digital platforms and data-based business models are emerging in more and more areas.
Services are increasingly being offered digitally. Connectivity, data analysis and monitoring are supporting the economic paradigm shift away from the sale of products to ‘as-a-service’ models. Disruptive technologies are even leading to the partial or complete displacement of products and services.

Ecologically sustainable business

Environmental protection has developed from a marginal issue into a mainstream topic.
Due to national and international regulations, ecological sustainability is increasingly standardized and mandatory. Companies, investors and financial markets in general increasingly consider ‘ecological’ criteria in their decisions.
Ecologically sustainable management aims to shape the impact of a company on the environment so that the next generations will not be burdened and, ideally, even live better than previous ones. The focus is on securing and improving the global livelihoods.
Governments and international organizations promote and demand, for example, alternative energies, energy savings, environmental protection and resource conservation.
The move away from the use of carbon-based energy sources and the establishment of a circular economy will fundamentally change industries and business models in the coming years and decades.
For companies it is increasingly important to have an impeccable reputation with regard to ecological questions and to offer ecologically sustainable products and services.

Socially sustainable business

The growing awareness of social issues prompts corporations to make sustainability a standard element in their code of conduct.
Social sustainability means that a company directs its impact on society in a way that avoids or solves social tension.
Important aspects of social sustainability are, for instance, to guarantee basic needs, to fight against poverty through equal access to education and opportunities as well as just distribution of resources.
Social sustainability is to considered both from an inland perspective and globally.
More than 90 percent of the world’s largest 250 global companies now report on their sustainable management.
Socially responsible conduct and social commitment are developing into more and more important factors for successful recruitment (war for talents) as many young professionals take this into account.

Changes of consumption

Purchasing behaviour, and thus also trade, is undergoing enormous change.
As a result of advancing digitalization, more and more products are being bought online. Consumers are more informed, more demanding and less loyal than before due to the comparability of prices and product reviews from other customers.
In an increasingly complex and fast-moving world, the demand for convenience products is growing. At the same time, people are looking for the consistent and the familiar and specifically buy products from their region.
More and more customers are aligning their consumption behavior with the principles of social and ecological sustainability. Organic and fair-trade products are booming. The boycott of certain goods and companies, the use of products and services of the sharing economy as well as conscious non-consumption are also an expression of this change in values.
The importance of a health-promoting lifestyle is increasing. Products and services around the topic of health and well-being are a growth market.

New market horizons

New technologies enable man to extend the boundaries of his actions. Areas previously only known and considered relevant by scientists are now being considered as potential areas of economic activity.
Exploration of oceans and of space will open up new markets, offering enormous economic potential, for example in exploiting new sources of energy or raw materials.
In the future, manganese nodules from the deep sea containing important metals for industry could be exploited, while giant photovoltaic satellites in space using intense solar radiation could produce energy to be ‘beamed’ to the earth.
Climate change also offers new opportunities. The melting of polar ice and the thawing of permafrost soils will lead to competition for valuable natural resources within the region.

Asianization

The economic, political and also cultural center of gravity of the world is shifting towards Asia. The 21st century will be the Asian century.
Asia is showing high population and economic growth. China and India alone will account for almost 30 percent of the global GDP by 2030. Poverty is dwindling. Education levels and per capita income are rising. A new middle class with purchasing power is emerging with one to two billion potential customers.
Most university graduates come from Asian countries, especially in STEM fields of study, i.e., mathematics, computer science, natural sciences and technology, which are important for economic advantages.
Innovative capability is increasing rapidly, driven by a consistent development strategy and enormous investment in key technologies and infrastructure.
Above all, China’s consistently and aggressively driven development from the world’s workbench to the leading high-tech player, but also the entire ASEAN economic bloc, present the Western countries with growing challenges.

Rise of Africa

Although still by far the world’s least developed region, Africa is considered a continent of growth.
Between 2020 and 2040, the population in Africa will grow by more than 700 million to more than two billion people.
Economic output is growing even faster than the population. High growth rates are the rule, especially in the countries south of the Sahara. By 2050, Africa could achieve a significantly higher share of global economic output. New and broader consumer markets are emerging as a result of the growing middle class.
The African Continental Free Trade Area (AfCFTA) is intended to promote intra-African trade, expand Africa’s regional and continental integration, and further develop the industrial, manufacturing sector of the African economy.
Agriculture, the financial sector, infrastructure projects and the mining and processing of raw materials promise high growth potential.
More and more African governments are promoting entrepreneurship. A vibrant start-up scene is developing, especially in the megacities, both online and offline.

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