Unit 10
Business Strategies

In-Class Reading

Business Lessons from the Rain Forest
Takashi Kiuchi <1>

1 The environment and the emerging information economy are two issues most vital to the future of my business, and perhaps the world. To me, these topics seem intimately linked. Perhaps this is partly because I work for Mitsubishi Electric, an electronics company, and I see our impacts on the environment. But my most important lessons about the link among business, the environment, and the economy did not come from my company. I learned them in the forest.
2 On my trip to Asia, I visited the Malaysian rain forest. What I learned changed my life as a corporate executive.
3 I learned that saving the rain forests-in fact, saving the environment-is more than an environmental necessity. It is a business opportunity. In our case, it is an opportunity to pursue business opportunities that use creativity and technology to substitute for trees, for resources of any kind.
4 I learned something else in the rain forest, too, something more profound. I learned how we might operate our company not just to save the rain forest, but to be more like the rain forest.
5 To be agile and creative, we must structure our company so that we are a learning organization. Not top-down, but bottom-up <2>. Not centralized, but decentralized. Not limited by rules, but motivated by objectives. Not structured like a machine-which cannot learn - but like a living system, which can.
6 When I visited the rain forest, I realized that it was a model of the perfect learning organization, a place that excels by learning to adapt to what it doesn't have. A rain forest has almost no resources. The soil is thin. There are few nutrients. It consumes almost nothing. Wastes are food. Design is capital <3>. So my model for Mitsubishi Electric is an organization that is like a rain forest in those respects.
7 Rain forests have no productive assets, yet they are incredibly productive. They are home to millions of types of plants and animals-more than two-thirds of all biodiversity in the world. Those plants and animals are so perfectly mixed that the system is more efficient, and more creative, than any business in the world.
8 If we ran our companies like the rain forest, imagine how creative, how productive, how ecologically benign we could be <4>. We can begin by operating less like a machine and more like a living system <5>. At Mitsubishi Electric, we have begun to adopt an environmental management system founded on principles of industrial ecology. For us, this means two things: First, we must have our eyes wide open and see the environmental costs and benefits of our business. Second, based on what we see, we must take action:
.See costs-and reduce them.
.See benefits-and increase them.
.See needs-and fill them.
9 When I visited the rain forest, I realized that, as business people, we have been looking at the rain forest all wrong. What is valuable about the rain forest is not the trees, which we can take out. What is valuable is the design, the relationships, from which comes the real value of the forest. When we take trees from the forest, we can ruin its design. But when we take lessons from the forest, we further its purpose <6>. We can develop the human ecosystem into as intricate and creative a system as we find in the rain forest. We can do more with less; grow without shrinking.
10 While the rain forest has many design principles, let's discuss three:
11 Differentiate. Be yourself, be unique. In the rain forest, conformity leads to extinction. If two organisms have the same niche, only one survives. The other adapts or dies.
12 The same thing happens in today's economy. If two businesses have the same niche, making exactly the same product, only one survives. The other adapts or dies. Most companies today are trying to be the one that survives-by cutting costs, radically downsizing, desperately seeking the lowest cost.
13 It's smarter to differentiate. Create unique products, different from any others. Fill unique niches. Don't kill our competitors or be killed by them-sidestep them instead. Only then is it time to reduce costs and grow more efficient.
14 Cooperate. Today, many people think competitiveness is the key to business success, but such thinking is out of date. Today, as we grow different, we learn that none of us is whole. We need each other to fill in our gaps. For example, at my company, we no longer look to grow bigger simply by acquiring more and more companies as subsidiaries. Instead, we are engaging in cooperative joint ventures with many others. Each company retains its independence, its specialty, and its core competence. Together we benefit from our diversity.
15 Be a good fit <7>. We used to say only the fittest survives; only one can be the winner. But the rain forest has many winners.
16 The same can be true in our economy. In this new, diverse, rain-forest economy, it is not a question of who is most fit <8>. It is a question of where we best fit. If we fit-if we solve a social problem, fulfill a social need-we will survive and excel. If we only create problems, we will not.
17 I am often asked whether the needs of the corporation and the needs of the environment are in conflict. I do not believe they are. In the long run, they cannot be.
18 Conventional wisdom is that the highest mission of a corporation is to maximize profits and return to shareholders <9>. That is a myth. It has never been true. Profit is just money- a medium of exchange. You always trade it for something else. So profits are not an end; they are a means to an end <10>.
19 My philosophy is this: We don't run our business to earn profits. We earn profits to run our business. Our business has meaning and purpose-a reason to be here <11>.
20 People talk today about business needing to be socially responsible, as if this is something new we need to do, on top of everything else we do <12>. But social responsibility is not something that one should do as an extra benefit of the business. The whole essence of the business should be social responsibility. It must live for a purpose. Otherwise, why should it live at all?
21 What I learned from the rain forest is easy to understand. We can use less and have more. It is the only way, for the interests of business and the interests of the environment are not incompatible. (1102 words)
Time taken: _______ minutes


Proper Names

Malaysian
adj. 马来西亚的

Mitsubishi Electric
日本三菱电气公司

Takashi Kiuchi
(日本男子名)木内孝

New Words

agile
adj. active, lively, think quickly 灵活的，（才思）敏捷的
e.g. The agile monkey swung from branch to branch.

biodiversity
n. biological diversity in an environment as indicated by numbers of different species of plants and animals 生物品种

competence
n. the ability and skill to do what is needed 能力，技能
e.g. I'm only worried about his attitude to the job: his competence is not in question.

conformity *
n. agreement with established rules, customs, etc. 一致，顺从
e.g. Excessive conformity is usually caused by fear of disapproval .

conventional
adj. following what is traditional or considered to be normal 传统的，符合习俗的
e.g. The house was built with conventional materials but in a totally new style.

cooperate
v. work with somebody else to achieve something 合作，协作，配合
e.g. I ) Our company is cooperating with a Danish firm on this project.
II) The art department cooperated with the editorial department to produce the book.

core
n.
1) the central or most important part of something 核心，要点
e.g. The basic lack of government funding is at the core of the problem.
2) the hard center of certain fruits, containing seeds 果心，核
e.g. She finished her apple and threw the core away.

differentiate
v.
1) make or become different in the process of growth or development （使）变异
e.g. The cells differentiate into a wide variety of cell types.
2) to see or express a difference (between) 区分，区别
e.g. A child may not differentiate between his imagination and the real world.

diversity *
n. the condition of being different or having differences 差异，多样性
e.g. Newspapers were obliged to allow a diversity of views to be printed.

downsize *
v. to make a business or industry smaller 缩减，削减
e.g. I ) The company will have to downsize to cut costs.
II) American manufacturing organizations have been downsizing their factories.

ecologically *
adv. from the point of view of ecology 从生态学的观点看
e.g. Ecologically, the new dam (大坝) has been a disaster.

ecology
n. the pattern and balance of relationships between plants, animals, people, and the environment in that place 生态
e.g. The oil spill caused terrible damage to the fragile （脆弱的） ecology of the coastline.

ecosystem *
n. all the plants and animals that live in a particular area together with the complex relationship that exists between them and their environment 生态系统

electronics
n.
1) electronic devices and equipment 电子器件
e.g. All the electronics are housed in a waterproof box.
2) a branch of physics that deals with the emission, behavior and effects of electrons and with electronic devices 电子学，电子技术
e.g. The field of modern electronics has grown rapidly.

extinction *
n. a situation in which a particular kind of animal, plant, etc. no longer exists 消灭；灭绝
e.g. There are many animals in danger of extinction.

incompatible *
adj. unable to exist together in harmony 不相容的，不协调的，不相配的
e.g. I ) I don't think either of them was to blame: they were just incompatible.
II) His behavior has been incompatible with his role as head of the state.

objective
n. an aim that you are trying to achieve 目的，目标
e.g. The main objective of this policy is to reduce unemployment,
adj. not influenced by one's own personal feelings, based only on facts 客观的，不带偏见的
e.g. I ) Please try to give an objective report of what happened.
II) It's hard to be objective about your own strengths and weaknesses.

organism
n.
1) any individual life form considered as an entity 生物，有机体
e.g. The scientist examined the organism under then microscope.
2) any complex, organized body or system similar to a living being （如生物的）机体、有机组织
e.g. Factories and cities are more complex organisms than self-sufficient villages.

radically *
adv. in a radical or an extreme manner 根本地，本质地
e.g. The industry has changed radically as a result of the increased use of electronic systems.

resource
n.
1) something such as land, minerals, or natural energy that exists in a country and can be used to increase its wealth 资源，财富
e.g. The coast is a finite resource and we must use it wisely.
2) an available means afforded by the mind or one's personal capabilities 应变能力，谋略
e.g. Sometimes anger is the only resource left in a situation like this.

sidestep *
v. step sideways to avoid something or someone that is coming or going to hit, avoid discussing or dealing with something 向旁侧避让，回避
e.g. I ) He made a grab for her but she sidestepped him and kicked him.
II) He was trying to sidestep responsibility.

subsidiary
n. a company or organization that is owned or controlled by another 子公司，附属机构
e.g. I work for a small subsidiary of a large corporation.
adj. serving to assist or supplement, subordinate or secondary 辅助的，次要的，附设的
e.g. Can I ask a subsidiary question?


Phrases and Expressions
in the long run
finally, after everything has been considered, on the whole 最终，终究，从长远看
e.g. We ought to buy a new car-it'll be cheaper in the long run.