What is Davos?
Business leaders, politicians, journalists, and investors are descending on the small ski town of Davos, Switzerland, in the Alps to participate in the annual meeting of the World Economic Forum. The five-day conference is intended for leaders to debate the major global issues of the day and discuss potential solutions.
The birth of the World Economic Forum
German-born engineer and economist Klaus Schwab, who was a business professor at the University of Geneva, founded the Davos gathering in 1971. It was originally called the European Management Forum and founded as a non-profit foundation. Schwab gathered executives from European businesses to introduce them to U.S. management practices. He also developed and promoted the stakeholder management approach. Approximately 450 participants from 31 countries joined 50 faculty members and media representatives for the meetings. George Pierce Baker, who was the dean of Harvard University Business School from 1962 to 1969, was invited to chair the first European Management Symposium.
Expanding beyond business
Two years after its founding, the meeting expanded to focus on political and social issues. The broader approach was prompted by the 1973 Arab-Israeli war and the collapse of the Bretton-Woods system of monetary management. Political leaders were first invited to Davos in January 1974.
Davos goes global
In 1975, attendance at the European Management Symposium increased to 860 people. CEOs and chairmen from Royal Dutch Shell, Unilever, and Philips were among the attendees. This was also the year that the Forum welcomed the first official delegation from a non-European country, Mexico.
Introducing a membership system
In 1977, participants from over 50 countries attended the Forum, including American and Japanese business and political figures. To reinforce the sense of exclusivity and importance, the Forum introduced a membership system for firms that participated regularly in its activities. By July 1977, this group included 71 members and the organization for Economic Cooperation and Development (OECD) signed on as an official sponsor.
Renaming the Forum
The European Management Forum became the World Economic Forum in 1987 to reflect its global membership.
International milestones
Several rival countries have come together over the years at Davos and successfully reached agreements. The Davos Declaration, which was signed in 1988 by Greece and Turkey, normalized relations between the two countries, who were on the brink of war. In 1989, North Korea and South Korea held their first ministerial-level meetings in Davos. Also that year, East German Prime Minister Hans Modrow and German Chancellor Helmut Kohl met to discuss German reunification. In 2015, the Forum was formally recognized as an international organization by the Swiss Federal Council.
Davos' star-studded cast
It’s not just business and economic leaders attending Davos. The Forum is also known to attract celebrities from outside the world of finance. Many Hollywood A-listers have been honored in recent years, including actor Matt Damon for his work to make clean water accessible worldwide and actress Charlize Theron for her work fighting H.I.V. in South Africa. This year’s big Hollywood guests include actor Leonardo DiCaprio, who will be receiving an award for his work on climate change, and singer will.i.am, who will be recognized for his work to support science and technology education.
Davos in 2016
This year, more than 2,500 leaders from business, government, international organizations, academia and media will participate in the 46th Annual Meeting of the World Economic Forum from January 20-23. The theme of the meeting is “Mastering the Fourth Industrial Revolution” and there will be more than 250 sessions. The co-chairs of this year’s meeting are:
Mary Barra, Chief Executive Officer, General Motors, USA
Sharan Burrow, Secretary-General, International Trade Union Confederation, Belgium
Satya Nadella, Chief Executive, Microsoft, USA
Hiroaki Nakanishi, Chairman and Chief Executive Officer, Hitachi, Japan
Tidjane Thiam, Chief Executive Officer, Credit Suisse, Switzerland
Amira Yahyaoui, Founder and Chair, Al Bawsala and Global Shaper of the Tunis Hub
The Forum is headquartered in Geneva, Switzerland, with offices in Beijing, Tokyo and New York.
