Culture is shown to be a factor in the lack of any real reforms to take advantage. Capitalism presumes that human nature is constant; given the proper incentives of hard work and risk taking a person will be successful. Yet this is not true because of traditional cultural and religious differences. Corruption and Ethics: What is good corporate management? Multinationals are out of sight of their home governments. Pressure is growing to improve their ethical standards.
Battle lines are drawn between Governments and Companies like those in the US which want to keep codes and standards voluntary and those of Europe who insist they are mandatory.
Developing countries are caught in the middle: they don’t want to scare away investment by adopting strict regulations but neither do they want to be exploited.
Corporations should not be expected to bring about democratic reforms nor reduce poverty, deprivation and misery. However, multinationals in seeking new resources, often exploit eco-systems. One half of all jobs in the world are in forestry, fishing, and agriculture. The consequences of poverty and environmental destruction are felt more wide-spread.
Other problems are related to small arms exports and genetically modified foods.
