New energy is good for Shell
A company that hopes to exist in the long term has to focus on the future, instead of just the next quarter’s results. It will have to adapt to a rapidly changing world.
The future of energy supply is clear: it’s a sustainable one. This is why Shell’s future is also clear: become a sustainable energy company or go under. When Shell has shareholders who look toward the coming 15 years instead of just the next quarter, it will be able to look at the long term and concentrate on sustainability. Follow This provides Shell with long-term shareholders.
We’re not asking Shell to stop with fossil fuel right away. We’re advising Shell to use its existing oil and gas sources to make as much profit as possible, while it still can. We’re only advising to invest its profits in sustainable energy instead of more fossil energy. This way, Shell can make the switch. To put it in business terms, take the revenue from the cash cows and invest it in new sources of income instead of the same old cash cows.
Companies that don’t look toward the future are bound for failure. If Kodak had made the switch to digital photography in time, if Nokia or Blackberry had developed a smartphone, if the electrical giants had built wind turbines instead of coal-fired power stations, they may have never fallen on rough times.