While free trade aims at attracting more consumers to increase sales turnover and generate more profits, fair trade aims at educating the consumers about the benefits of producing goods without the exploitation of labour or the environment. Thus, fair trade mainly thrives on the demand created by the consumers for such products. Free trade can benefit everyone, the developed and developing world. (Hufbauer, 2008) Free traders believe the best way to lessen poverty in the long run is to permit free trade while fair traders think that opening trade will even further make rich nations becoming richer and poor nations becoming poorer. But there are many ideas on having a managed fair trade which will generally result in sustainable long-term prosperity and equality between
Capitalism is an economic-political system where the individual and economic freedom is considered primary compulsion for the country 's development. Unlike other economic systems which eclipses the freedom of the market, it creates an environment for self-regulating market system. The ensuing essay focuses on capitalism as the best economic system. It gives a general idea about other economic systems like socialism, communism and fascism in brief and compares and points out the advantages of capitalism over these systems. The essay casts light upon both the pros and cons of the capitalism but takes a positive position and defends the notion of capitalism as the best economic system with arguments which are supported by suitable facts and figures.
Despite some criticisms towards capitalism, it is seen as the most successful economic strategy for a country compared to others such as socialism and communism, these successes can be highlighted by the economic development of Western countries and in which is soon becoming a global phenomenon. Capitalism has a negative geographical dimension, this is inequality. David Harvey writes in Spaces of Hope, 2000, that capitalism is “one national struggle between the classes” This highlighting that although capitalism aims to make individuals proposer, it is not a balanced concept at all (Harvey, 2000). This inequality is spatially manifested and therefore gives it a capitalism a geography. Capitalism’s economic inequality has led to a clear divide between urban and rural, this is evident in China.
The Oprah Ideology spiritualizes economic and political issues because it focuses on the positive side of the situation, rather than the negative. Instead of dwelling on our failures, the Oprah Ideology states that we need to take action and responsibility to ensure a better future for ourselves. The Oprah Ideology makes the American Dream seem attainable. Individualism of capitalism is when individual good choices can positively change the negative consequences of capitalism. Capitalism remains unchanged when these tactics are combined because people who work hard for their goals and adapt to the changing world will succeed, whereas those who don’t will likely not
Liberals have argued, “Individuals in pursuit of self-interest will maximise benefit of economic exchange for society,” (O’Brien and Williams, 2013, p14). Core to the liberal argument is that human beings are able to take full advantage of their own utility; in other words, they posses the ability to calculate the potential costs and benefits of any individual decision or action. There are clear links here to liberal political theory, which is committed to liberty and individual equality. According to Jackson and Sorensen (2003), companies and firms are important as they are seen
Therefore, Marx concluded that the greater effort the workers put into their job, the lesser they benefit. The third, is alienation from other people. Marx said that through work people will be able to develop connection with other people. However, industrial capitalism causes people to compete against each other than working together. Which causes people to drift apart from each other and the possibility for comradeship is lessened.
Through this competitive advantage Tesco has led to profit growth. The company can reduce costs and also reduce price because price ad service most important things to company which is they are extremely slick logistic organization. Many companies strive to holds the cost leadership. Like Tesco have advantage in holds the cost leadership. To maintain cost leadership, Tesco can strive to have the lowest costs in the industry and offer its products and services to a broad market at the lowest prices.
Monopolistic behaviour by the rich endangers the integrity of a free trade system just as much as punitive import tariffs. Intellectually, free trade has undoubtedly won the argument. In this topic, free trade has a lot of benefits rather than dangerous thing. It all depends on how the government can overcome free trade well, and minimize possible things that could harm a state party. The policies of each country that are in possession must be set well without any fraud.
Neoliberal enthusiasts feel that the most efficient way to allocate resources is by releasing private enterprise from Government imposed regulation and distributing them through mechanisms of the market. Deregulation is championed as the most appropriate solution, the reason being that economic growth benefits everyone. (Thorsen & Lie, ; Martinez & Garcia, ) While privatisation is promoted in the name of greater efficiency, practice has shown that the most common outcome is the further concentration of wealth and resources in the elite. Combine this with the dismantling of welfare programmes and the notion that individuals should be responsible for their own health/social security and the general public is left in a very vulnerable
THE THEORY OF GIFT EXCHANGE : THEORY DERIVATIVES AND POLICY IMPLICATIONS Though a major Sociological theory used in explaining the behaviour of the workers, George A. Akerlof’s main motive to incorporate the Norm-Gift Exchange Theory in economics lies in his confidence in the theory as it relates empirically and emotionally to everyone’s life. Due to this confidence,he extrapolates this traditional theory primarily based on ‘Cash Posters’ to find explanations for wage bargains and conditions. This can be found in the 1982’s popular paper by him called ‘Labour Contracts as Partial Gift Exchange’. Before dwelling into Akerlof’s theory,it is imperative to brush through the Norm-Gift Exchange Theory,initially written by George Homans.