Born between 1997 and 2012, Gen Z has a unique perspective on the challenges facing society, particularly regarding environmental sustainability and social innovation, the study found.
“Generation Z identifies the top global challenges as the consumerism-driven issues, climate crisis, and the depletion of natural resources,” emphasized Krisztián Steigervald, the research lead for the SteiGen Consultancy. He is a nationally recognized expert in the generational research field, author of the book “Generations Fight: How do We Understand Each Other?” and the bestseller “Generations Struggle for Attention.”
He told the Innovator’s Day the concerns identified by Gen Z are not abstract to them. On the contrary, they are willing to adjust their lifestyle choices to contribute to environmental protection and sustainable future practices.
The research highlights that young people prioritize sustainability when it comes to innovative companies. They expect these companies to not only focus on technological advancements but also place significant emphasis on social innovation. According to the study, 53% of respondents “believe companies could play a key role in addressing major global issues like climate change and resource depletion.”
When asked about their vision of the future, members of Gen Z are most optimistic about breakthroughs in healthcare and transportation.
“They see these sectors as areas where innovation can deliver the most practical impact,” noted the research report. For these young respondents, it is essential that educational institutions support talent development through international projects and professional internships in real corporate environments.
While “innovation” is a commonly used word today, often associated with cutting-edge companies and products, Gen Z wants more than just technological advances; its members crave solutions that address the root causes of societal challenges.
According to the study, “Seventy-eight percent of respondents understand the term ‘innovation’” and express a clear desire for businesses to focus on sustainability innovations. This is reflected in the 45% of respondents who cite consumer society’s challenges and 44% who mention the climate crisis as the most pressing global issue.
“Over 53% believe that companies could play a significant role in resolving these issues,” the report found. Another 41% expect companies to protect environmental values, and 32% want to see the development of sustainable-focused innovations.
This demand for responsibility from companies extends beyond environmental concerns, with “36% of respondents expecting firms to focus on social innovation,” while 34% prioritize individual growth and development as a critical company responsibility. It seems that Gen Z is prepared to make personal sacrifices for a sustainable future.
“Thirty-nine percent of respondents indicated that they would purchase products with a low environmental footprint,” while 29% plan to adopt electric or hybrid vehicles, such as scooters, bicycles, or cars. An additional 22% are interested in transitioning to alternative energy sources like hydrogen.
The Bosch×Richter study also reveals that sustainability concerns are increasingly influencing employment decisions.
“More than a quarter (27%) of respondents stated they would prefer to work for companies with strong environmental initiatives, such as achieving zero carbon emissions,” or those with exemplary social responsibility programs (23%).
Gen Z envisions a future where medical breakthroughs, improved transportation infrastructure, and robotics redefine the world.
“Nearly half (47%) of the respondents expect treatments to emerge for diseases previously deemed untreatable,” while 44% foresee advancements in the transportation sector. Autonomous vehicles are no longer considered far-fetched, with 31% predicting they will become commonplace.
“The use of robots in the workplace is also on the horizon,” with 32% expecting their integration into daily work environments for increased efficiency.
This vision of the future aligns with the growing expectations of Gen Z for more hands-on mentorship and personal development. Young professionals are not merely looking for traditional education but seeking opportunities for real-world experience in international projects and research settings.
Flexibility and work-life balance are also paramount for Gen Z when considering future employers.
“The study shows that more than two-thirds (70%) of respondents aim to work at innovative companies,” with a particular focus on flexible work arrangements and home office opportunities. Companies offering the latest technology, modern and ergonomic office spaces, and an environment conducive to collaboration and relaxation are highly valued.
Interestingly, Gen Z’s approach to innovation is distinctly human-centered, focusing on personal connections and relationships. This prioritization of human factors even surpasses the importance of adopting artificial intelligence (24%) or robotics (14%) in their workplace preferences.
While the generation is aware of global challenges, the cohort also sees a bright future for Hungary in the world of innovation.
“Nearly half (46%) of the respondents believe that the country can benefit from global innovations,” while 35% believe that local implementation of these innovations is critical. Only 15% see a Hungarian inventor’s direct involvement as crucial to an innovation’s success.
The survey also identifies three key areas where Hungary is perceived as a leader in innovation: software development (34%), pharmaceutical research (33%), and the automotive industry (31%).
“Three-quarters of the respondents (75%) believe that Hungarian companies and experts should play a critical role in global innovation efforts,” noted the report. Notably, Bosch and Richter were named by the vast majority of respondents as leading innovators, with 88% and 89%, respectively, acknowledging their contributions to international innovation.
The detailed study, conducted by SteiGen Consultancy in July 2024, involved 5,090 respondents, of which 513 were from Generation Z, representing a significant insight into the expectations and vision of this influential demographic group.
This article was first published in the Budapest Business Journal print issue of October 4, 2024.
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