• essayintl.com >
  • Coursework >
  • Are Corporations Too Powerful and Presenting as a Threat to Global Economies, Civil Societies and the Environment

Essays on Are Corporations Too Powerful and Presenting as a Threat to Global Economies, Civil Societies and the Environment Coursework

Download full paperFile format: .doc, available for editing

The paper "Are Corporations Too Powerful and Presenting as a Threat to Global Economies, Civil Societies and the Environment" is an outstanding example of business coursework.   Corporations have become very powerful and influential in society. Presently, big multinational companies have acquired a lot of power that they use to influence the economic, social and environmental aspects of the society. However, there has been a growing concern that, as the transnational businesses become more powerful, this threatens the global economies, civil societies and the environment. The report has demonstrated the extent to which corporations have been using their power to cause harm to the global economies, civil societies and the environment under the watch of government agencies.

It emerged from the analysis that these corporations are well-connected to the powerful political elites whom they bankroll that they use as protection against any move made against them by the civil societies and the public. However, the government needs to rain on the corporations to ensure that they do not use their powers to cause harm to the global economies, civil societies and the environment for the betterment of the future generation. Introduction Companies play a critical role in the development of a country is it politically, socially and economically.

Most countries that have developed have been able to achieve such developments largely because of the growth of businesses. However, Sciulli (2001, p. 7) notes that the global economies, civil societies and the environment have become under increased threats from corporations. The activities of some powerful corporations have adversely affected the global economies by triggering a global financial crisis that the world has experienced in the past and are still exposed to even today (Grant 1998, p.

37). In many countries, civil societies have become under increased target by unscrupulous powerful corporations whenever they are criticized by civil societies. At the same time, the environment has also become under increased threat from unscrupulous businesses that pollute the environment, thus causing serious environmental degradation. Unfortunately, Campbell (2015) argues that these corporations are presenting a threat to the global economies, civil societies and the environment under the watch of governments and law enforcement agencies that are expected to provide protection.

The aim of this paper is to explore the extent to which corporations have become too powerful and presented as a threat to global economies, civil societies and the environment using case studies. Corporations as a Threat to Global Economies The economies of most countries have experienced remarkable growth in the past few decades. Quite a number of countries that were once classified as poor countries have moved up the ladder and are currently ranked as middle-income, industrialized or developed economies. The growth of the economies has been fueled by corporations that have a huge influence on the global economies (Grant 1998, p.

37). The growth of these businesses results in the growth of local economies that in turn results in the growth of the global economies. Nevertheless, corporations have become a threat to global economies. World economies have been under an increased threat of experiencing economic downturn because of the activities of corporations. The concept of corporate social responsibility requires that a company promotes not just the interest of its stakeholders by maximizing wealth, but also the economic, social and environmental wellbeing (Mohr et al.

2001, p. 45). Friedman states that the corporate social responsibility of a company is to maximize wealth for the shareholders to promoting even the economic, social and environmental sustainability (Friedman 1990, p. 14). Unfortunately, the actions of some corporations in the recent past show that companies are too powerful and present a threat to the global economies. Many corporations have engaged in corporate frauds in the recent past that have had adverse effects on the global economies. In the 2000s, quite a number of American companies engaged in corporate scandals that aimed at defrauding the companies and their investors.

Among the companies that engaged in corporate scandals included Adelphia, WorldCom and Enron just to name but a few. These scandals badly affected the United States economy and the economies of those countries that depended on the products and services provided by these companies whose operations seized as a result of the fraudulent acts. Evidence has also linked the Great Depression that occurred in the United States in the 1930s to the conflicts of interest and corporate fraud.

Dunbar and Donald (2009) study found that many powerful companies engaged in corporate frauds and conflicts of interests that resulted in the loss of billions of dollars but triggering a credit crunch that later resulted in the Great Depression.

References

Anderson, S., & Cavanagh, J 2000, Top 200: The rise of corporate global power. Institute for Policy Studies, Washington, D.C.

Campbell, B 2015, Corporate power, deregulation and the threat to public safety, viewed 4 October 2016 https://www.policyalternatives.ca/publications/monitor/corporate-power-deregulation-and-threat-public-safety

Dunbar, J., & Donald, D 2009, The roots of the financial crisis: Who is to blame? viewed 4 October 2016 https://www.publicintegrity.org/2009/05/06/5449/roots-financial-crisis-who-blame

Estes, Ralph. 1996. Tyranny of the bottom line: why corporations make good people do bad things. Berrett-Koehler Publishers, San Francisco.

Farrell, S., & McDonald, H 2016, Apple ordered to pay €13bn after EU rules Ireland broke state aid laws. The Guardian 30 August, viewed 8 October 2016 https://www.theguardian.com/business/2016/aug/30/apple-pay-back-taxes-eu-ruling-ireland-state-aid

Ferrero, I., Hoffman, W. M., & McNulty, R. E 2014, Must Milton Friedman embrace stakeholder theory? Business and Society Review, Vol. 119, Issue 1, pp. 37-59.

Freeman, R. E 1984, A stakeholder theory of the modern corporation. Cambridge University Press, Cambridge.

Freidman, Milton. 1990. “The social responsibility of business is to increase its profits.” In The Essentials of Business Ethics (Peter Madsen and Jay M. Shafritz, ed.), Meridian, New York.

Goel, A 2015, “Volkswagen: The protagonist in diesel emission scandal,” South Asian Journal of Marketing & Management Research, Vol. 5, Issue 11, pp. 1-9.

Griffin, Jennifer J., and John F. Mahon. 1997. “The corporate social performance and corporate financial performance debate,” Business & Society, vol. 36(1):5-31.

Grant, Randy R. 1998. “Measuring Corporate Power: Assessing the Options,” in Corporate Power in the United States (Joseph Sora, ed.), H.W. Wilson Company, New York.

Henkel, J. R., Sigel, B. J., & Taylor, C. M 2012, “Large-scale impacts of the Deepwater Horizon oil spill: Can local disturbance affect distant ecosystems through migratory shorebirds?” BioScience vol. 62, no. 7, pp. 676-685. doi: 10.1525/bio.2012.62.7.10

Khadem, N., & Butt, C 2015, Which of Australia's biggest companies are not paying tax. The Sydney Morning Herald 17 Dec., viewed 8 October 2016 http://www.smh.com.au/business/the-economy/which-of-australias-biggest-companies-are-not-paying-tax-20151216-glpl3a.html

London Mining Network 2010, Rio Tinto: A shameful history of human and labour rights abuses and environmental degradation around the globe, viewed 4 October 2016 http://londonminingnetwork.org/2010/04/rio-tinto-a-shameful-history-of-human-and-labour-rights-abuses-and-environmental-degradation-around-the-globe/

Mohr, L.A., Webb, D.J., & Harris, K. E 2001, “DO consumers expect companies to be socially responsible? The impact of corporate social responsibility on buying behavior”, Journal of Consumers Affairs, p-45.

Peaceful Uprising 2012, Rio Tinto: The dirty secret in our own backyard, viewed 4 October 2016 http://www.peacefuluprising.org/rio-tinto-the-dirty-secret-in-our-own-backyard-20121114

Roach, B 2007, Corporate power in a global economy. Tufts University Global Development And Environment Institute, Medford, MA.

Rhodes, C 2016, “Democratic business ethics: Volkswagen’s emissions scandal and the disruption of corporate sovereignty,” Organization Studies, p. 1. 0170840616641984

Sciulli, D 2001, Corporate Power in Civil Society: An Application of Societal Constitutionalism. NYU Press, New York.

Tiwana, M. S 2014, Opinion: Why are threats to civil society growing around the world? viewed 4 October 2016 http://www.ipsnews.net/2015/06/opinion-why-are-threats-to-civil-society-growing-around-the-world/

Tiwana, M 2013, Neoliberalism and public unrest: Time to make the connection. Aljazeera 11 July, viewed 4 October 2016 http://www.aljazeera.com/indepth/opinion/2013/07/201374123247912933.html

Tiwana, M 2015, Challenging threats to civil society from powerful business entities, viewed 4 October 2016 http://www.rightingfinance.org/?p=1321

Uddin, M. B, Hassan, R., & Tarique, K. M 2008, “Three dimensional aspects of corporate social responsibility,” Daffodil International University Journal of Business and Economics, Vol. 3, No. 1, pp. 199-212.

Download full paperFile format: .doc, available for editing
Contact Us