Already a Multi-Trillion-Dollar Market 2025

Develop a sharp unique selling proposition around real and latent demand Drive strong business/uni00A0cases (incl. finding price premium opportunities) De-risk with (early) offtake agreements Build a robust, sustainable supply chain Create a focused culture with a lean, yet scalable, team Leverage tech (incl. AI) and existing assetsSet a bold, quantified ambition with a clear vision Position with a robust right to win Embed performance metrics and green standards (incl. proofing/certifying green value) Shape and navigate ecosystems and regulation (incl. via partnerships) Unlock smart capital and diversified financingEnable a route to tech maturity and cost efficiencyCEO priorities for green growthPurpose and strategy Growth acceleratorsValue proposition Operating modelThe green economy is growing. Companies operating in it on average manage to grow faster, get access to cheaper capital, build competitiveness for the future and can (accordingly) be valued at a premium on capital markets. However, winning in this market is not always easy. This chapter explores success factors to build businesses in this space – and what can be learned from past winners. 4.1 CEO guide to growing in the green economy Green growth is not fundamentally different from other growth endeavours. However, green markets can be more difficult to navigate as they are often more nascent and rely on technologies that are still at the beginning of their maturity curve. Companies that succeed demonstrate a strong purpose and strategy, a compelling value proposition and an agile operating model. Importantly, they leverage three “growth accelerators”, which include the ability to reach tech maturity while rigorously pushing cost efficiency, shaping and navigating regulation and ecosystems, and accessing smart capital. Based on industry experience and insights from interviews with a dozen members of the Alliance of CEO Climate Leaders, this chapter presents four critical priorities for CEOs (see Figure 17), alongside select case studies that bring these priorities to life: –Purpose and strategy –Value proposition –Operating model –Growth accelerators Remember: this isn’t about virtue signalling. It’s about building a business that wins in a volatile world. Or as I like to say, there is no trade-off – sustainability is good business. Katie McGinty, Vice President; Chief Sustainability & External Officer, Johnson Controls Four CEO priorities for green growth FIGURE 17 Sources: Expert calls, CEO interviews, BCG analysis. Already a Multi-Trillion-Dollar Market: CEO Guide to Growth in the Green Economy 30