Without an agreed and enforced international value system, Capitalism will encourage an ethical "race to the bottom" to gain competitive advantage. Look to tax free zones and the human rights in manufacturing for evidence of this.
Whilst Prof. Leaonard suggests we need simply "trust", I cannot see how based on precedent this will ensure a desirable solution. Acid test: would we accept all of the elements occurring in multi-national supply chains to occur domestically? I think not.
@HouseofVespucci: you still don't answer my question. What would be the incentive for large corporations to do Good, when unethical decisions are just an opportunity cost to them? Free market? Pleaaase. Where exactly do you see free markets?
@etiennedouaze EXTERNALITIES remove this incentive; Corporations REFUSE to assess them because it would make their business design seem less profitable than they originally told their investors. If a company risks Earnings & Profit margins, they will fail outright because their competitors do not, and to investors it seems much "safer" to jump ship.
BUT even so, the U.S. isn't even close to a Free-Market; Capitalists are not pushing for a freer market over say govt bailouts, subsidies, etc.
Capitalism is a better solution than sweat shops. Let's not romanticize other countries. Globalism caused many of the global issues over making money. Other countries are natural competitors. Human beings are tribal. Human nature 101.
Can business be part of the solution? I doubt it. Business has certainly been a significant part of the problem so far. What is the incentive for greedy and short-sighted corporations to start thinking long-term for the common Good? I don't see any.
But the risks developed in this book are real, all-right!
@etiennedouaze Businesses can provide solutions if they they prioritize finding solutions for the current global issues over making money! making money is indeed important but it should not be the solely purpose of businesses.
@momoz88 You need to re-assess the goals of businesses, especially multi-national corporations. CEO's don't "run" businesses, they facilitate their investors goals. Good luck finding ONLY "ethical" investors.
@etiennedouaze ??? if it is not capitalism then it is 100% government owned(communism/socialism). if it is neither then you have a free market in which private corporations participate. If it is not that then you would be suggesting cooperatives which are either privately owned or non-for-profits. Are you suggesting dismantling the concept of a free market...that is living in a world with no supply or demand like the Venus Project?
Without an agreed and enforced international value system, Capitalism will encourage an ethical "race to the bottom" to gain competitive advantage. Look to tax free zones and the human rights in manufacturing for evidence of this.
Whilst Prof. Leaonard suggests we need simply "trust", I cannot see how based on precedent this will ensure a desirable solution. Acid test: would we accept all of the elements occurring in multi-national supply chains to occur domestically? I think not.
beZalas 1 month ago
@HouseofVespucci: you still don't answer my question. What would be the incentive for large corporations to do Good, when unethical decisions are just an opportunity cost to them? Free market? Pleaaase. Where exactly do you see free markets?
etiennedouaze 4 months ago
@etiennedouaze EXTERNALITIES remove this incentive; Corporations REFUSE to assess them because it would make their business design seem less profitable than they originally told their investors. If a company risks Earnings & Profit margins, they will fail outright because their competitors do not, and to investors it seems much "safer" to jump ship.
BUT even so, the U.S. isn't even close to a Free-Market; Capitalists are not pushing for a freer market over say govt bailouts, subsidies, etc.
S1lv3rblad3 4 months ago
@S1lv3rblad3 Agreed!
etiennedouaze 4 months ago
Capitalism is a better solution than sweat shops. Let's not romanticize other countries. Globalism caused many of the global issues over making money. Other countries are natural competitors. Human beings are tribal. Human nature 101.
riverlioness 4 months ago 2
Can business be part of the solution? I doubt it. Business has certainly been a significant part of the problem so far. What is the incentive for greedy and short-sighted corporations to start thinking long-term for the common Good? I don't see any.
But the risks developed in this book are real, all-right!
etiennedouaze 5 months ago
@etiennedouaze Businesses can provide solutions if they they prioritize finding solutions for the current global issues over making money! making money is indeed important but it should not be the solely purpose of businesses.
momoz88 5 months ago 4
@momoz88 You need to re-assess the goals of businesses, especially multi-national corporations. CEO's don't "run" businesses, they facilitate their investors goals. Good luck finding ONLY "ethical" investors.
S1lv3rblad3 4 months ago
@etiennedouaze ??? if it is not capitalism then it is 100% government owned(communism/socialism). if it is neither then you have a free market in which private corporations participate. If it is not that then you would be suggesting cooperatives which are either privately owned or non-for-profits. Are you suggesting dismantling the concept of a free market...that is living in a world with no supply or demand like the Venus Project?
HouseofVespucci 4 months ago