Friday, October 18, 2019
Read Case 7.2 titled Poverty and Pollution, prior to starting this Essay
Read Case 7.2 titled Poverty and Pollution, prior to starting this assignment - Essay Example In many third world countries, large volumes of the population live in poverty conditions due to lack of quality infrastructure, lack of taxation revenues for government improvements, or even warring regimes attempting to seize power as a primary goal that depletes national resources. This is why businesses that conduct their operations in poor nations disregard pollution control standards: Because they can easily get away with these actions with little to no consequence. Thoroughly assessed the connections between economic progress and development, on the one hand, and pollution controls and environmental protection, on the other. Thoroughly suggested the reasons a business may conduct operations in a third world country and disregard any standards of pollution control. Many third world nations, since government is unable to stimulate economic growth internally, rely on foreign direct investment as a means of trying to stimulate the national economy. Many will provide taxation incen tives or even removal of tariffs as a means to foster foreign investment, which provides an ample incentive to move operations from developed nations to the third world country. For example, in Yemen, there are viable opportunities for water-based transport industry leaders to invest in the nation. The Yemen currency is substantially below that of major nations such as the United States, the United Kingdom and Saudi Arabia, therefore companies attempt to exploit these opportunities for substantial profitability when local investments require very little start-up or asset procurement capital. Between 2009 and 2011, transport and shipping projects were estimated to be valued at $9 billion, with much of this foreign investment being recruited by the countryââ¬â¢s Council of Ministers (United Nations, 2009). Using Yemen as the relevant example, companies will establish operations in this country due to the political problems currently plaguing the nation. Powerful militant groups in this country took over the majority of government oversight, forcing the nation to consider a complete rewrite of its constitution. Instability in this country politically defies opportunities for the business to devote resources to attempt to impose sanctions on businesses that pollute, therefore it becomes simplistic business practice to simply dump its unwanted waste in the country and in its waters without concern of local government backlash, fines, or complete dejection from the nation. Yemen is a member of the United Nations, however the UN only maintains jurisdiction in partnership with the legal systems abiding in the country. By the time nations such as Yemen with difficult political environments make legally-supported appeals to the UN to curb pollution by foreign companies, the ensuing process is so elongated that the business is able to exploit foreign nation resources and simply move to another, less developed third world country. Are the aforementioned practices of bu siness polluting in other nations due to lack of authority over government or UN-supported legalities ethical? Any reasonable individual that believes in corporate social responsibility and many global standards of human rights would absolutely indicate that this is highly unethical. However, at the same time, a person considering the ethical responsibility of foreign businesses must consider the theory of ethical relativism before making a determination. Those in global society that are strong supporters of ethical relati
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