This essay has been submitted by a student. This is not an example of the work written by our professional essay writers.
1. Does this film have a polarizing effect?
Our judgment is that this documentary has a polarizing effect because it has described the pessimistic aspects of corporations not as they are, but they have exposed in such a manner that whoever watches the documentary will judge the corporations as evil. We agree that corporations exploit some of their stakeholder's rights but if we pick out all the corporations from this world we will go back a semi century. We can't ignore the significance of the corporations, as the whole economy of the world depends upon these big giants, so as these big giants have started exploiting their stake holders, so in this case we need corporate governance to show its role for saving the stake holders rights.
2. Write a Synopsis (plot summary) of the film?
It's a very inclusive documentary which leads us to an enhanced perceptive on corporation. It tells us about the priorities of the corporation and how they do work, are they really good or bad, and how they come across our daily lives.
In this documentary we have told that the corporations are evil, but we don't think so, all the corporations are not evil or bad but some of them are i.e. TYCO, WORLDCOM, ENRON, K-MART, XEROX, ANDERSEDN corporation's and a few more.
“...Corporation is like a family unit. People in corporation work together for a common end...”
“...Like the telephone system it reaches almost everywhere. Its extraordinarily powerful, it's pretty hard to avoid and it transforms the lives of the people, I think on balance, for the better...”
On the other hand the corporations are called as monsters because they exercise everything for their profit maximization and for the betterment of stakeholders and they do it at any cost. They even put in danger the environment to meet up their common goals.
“... corporations are artificial creations, you might say monsters trying to develop profit as much as possible as anyone expect so...” One of the unkind facets of the corporation is that they make the most of their profits by lowering their costs and for that so they use illegal and immoral ways even. Example of such corporation is NIKE who for minimizing their costs does foreign direct investments and pays the labor their few cents for a product. This aspect of the corporations which has shown in a negative manner in the documentary can also be taken in a positive manner if we look it from another angle. These corporations like NIKE focuses such areas where people desperately fight for their lives, these people like to work for just few cents. They are stricken by hunger and in need of shelter. NIKE provides work opportunities to these people and they happily agree to work for just few cents, in such a way NIKE makes their economic conditions better.
Corporations have played a vital role in destructing the health sector and also earth environment. Many toxic chemicals are discharged in the natural environment which affects the air we breathe and the water we drink. The animals are dozed heavily with harmful drugs leading to future malfunctioning in the human body system. Corporations at all times effort tough to acquire more and more profits and benefits for the stake holders, and despite the fact that they have inducted people on low salaries and also are concerned in causing harm to the lives of all human beings and other living creatures but they have contributed a bunch to the modern world with all the services in which we are living in. They take part in charity, donations, and social causes and want to look that they care for their customers and the society in which they are making operations.
3. How do you explain capitalism & consumerism?
“... An economic system in which the means of production and distribution are privately or corporately owned and development as proportionate to the accumulation and reinvestment of profits gained in a free market ...”
Capitalism is a social system based on the principals of individual rights
“...consumerism can be defined as a social movement seeking to augment the right of buyers in relation to seller...”
There are four main rights in consumerism
- Right to safety
- Right to choose
- Right to be in formed
- Right to heard
4. What are the benefits of the corporate form? Could an alternative model offer these as well?
BENEFITS OF CORPORATE FORM
Corporate form provides a wide variety of jobs to the people. So in this way the unemployment reduces to a greater extent and this is one of the most beneficial point of corporate form
It helps in growing the economy of the county and provides support to it. In such a way the economy of a country boost up and hence the economic boom can be seen in a country.
SHAREHOLDERS WEALTH MAXIMIZATION AND COST REDUCTION
Those who r the share holders of the corporate firm have a greater opportunity to gain much profit then using their investment elsewhere. There is a greater opportunity that the wealth of share holders can be maximized and the cost to shareholders reduces
Rising capital for corporation is much easier than the other form of business. Lenders are eager to pay loans to the business easily because in corporate form of business the sources of capital rising are many which can easily support them
STAKE HOLDER RIGHTS
Stakeholder rights are easily protected in corporate firm. Corporate firm always works in such a way that the rights of their stakeholder can be protected
No, there is no other alternative model which can substitute the corporate form, and yes if the corporate firm is amended which will provide these benefits better and capably.
5. Do you think corporations are the root cause of the problem, or is it consumerism, capitalism, or all three?
The main objective of the corporation is “to maximize the share holder's wealth at any cost”. Here we can easily see the word at any cost, and this is the main root cause of the problem and we can see the statement also in capitalism whose objective is to earn profit at any cost.