“The Corporation” (http://informationclearinghouse.info/article12998.htm), is a documentary-style film about the ethical behavior of companies. It mainly focuses on American based multinational corporations. While the film has a clear and pervasive bias against corporate culture and behavior, it does raise many disturbing questions. As the views presented in the film are not necessarily outside of the mainstream, corporate entities should endeavor to understand the basis for the accusations, determine if there is any truth to them, formulate ways to change business behavior (if appropriate), and communicate the truth about intentions and actions in a clear and compelling way in the public forum.

Section I: Five Principle Ethical Arguments

The film argues that multinational corporations continue to act unethically in the following capacities:

Human Rights Violations

Corporations systemically use child labor. Conditions in depressed geographic areas constitute unsafe work conditions. Wages are intentionally kept at “poverty level” to increase investment and decrease cost. Corrupt authoritarian regimes are backed by multinationals to maintain control of the population for pure profit with wanton disregard to the acts of that regime. Human capital is regarded is expendable, and once the area is used up or wages rise too high, the corporation simply moves on to a cheaper locale.

Intentional Environmental Harm

Companies intentionally pollute the environment, as it is more cost effective than to engage in clean up efforts.

Unlawful Activities

If the choice is between profit and abiding the law, companies will always choose profit. The law is expendable in the search for increased profit. Laws can be changed or created to align with corporate interests.

Excessive Corporate Dominance

Multinational corporations have greater control