Mnc's Exploitation

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Exploitation can define as the capitalist institution to appropriate the surplus value generated by labor. These activities are really the reason why MNCs were having the negative perception from the locals. According to Marxist theory, the ability of capitalist can be categorized in three conditions, which is first, the ownership of productive assets has to be rendered limited, next, the worker has nothing to sell other than their labor power and lastly, the system is maintained by other establishments. Nations have developed at an uneven rate because wealthy nations have exploited poor countries in the past and continue to make out so today through foreign debt and foreign craft. Modern Dependency theorists believe large economic aid is …show more content…

Nevertheless, it is not ensured that developing nations will achieve catch-up growth without ‘social capabilities’ such as an ability to suck up new technology, attract capital and participate in global marketplaces. And to answer the doubt whether this exploitation is an endemic, my response is yes. Because this is why, for me, it is an endemic spread by the MNCs throughout the solid universe. There are several reasons of why is this endemic happens, and for most crucial factor is the lack of ethics. Basically, MNCs should show about sound object lessons as they were regarded as successful. So ethical issues should probably be stressed by MNCs in order to avert the negative event such as the exploitation. Other than that, the issues of lackness of rules and regulation of MNCs itself would lead to this endemic. Sometimes, the unstrict and irrelevant rules and regulation from both sides (home country and MNCs) also could bring problems and would get the development among the …show more content…

All of the issues regarding the government also been asked, among them were, are national governments losing the power to regulate MNCs? In my opinion, the power is still there for the government to control the MNCs, but the point is what will be the effect then. That is the main problem, because MNCs’ hold such a good image for the countries and also one of the attractions to investors. So it is not easy for the national government itself to regulate as MNCs influencing images and many other things that involve the economic of that particular nations. MNCs can further pressure the governments of such countries by threatening to take back their operations, which Increased Unemployment And Economic Woes. Local governments are frequently ineffective or unwilling to invest in social and economic rights, which are the basis of stability. The revealing spotlight of a developed civil society, which should accompany MNCs’ operations in the developing world, can force changes in the developing host

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