Poverty is a complicated system created by mankind. Although the world still hasn’t been ridden of poverty, significant progress has been made due to several interlocking factors. Some argue that this is due to the presence of international business. However, international businesses do not significantly contribute to the alleviation of poverty. Globalization of international businesses and the implementation of trade reform do not help impoverished people. Businesses globalize themselves to benefit off of cheap labor in developing countries. While benefiting off of cheap labor, the same businesses also pay their employees extremely low wages. To better understand how poverty is reduced, one must look at the causes for poverty. Poverty does
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Many argue that due to the presence of multinational business, developing countries are making economical progress. However, there is little evidence to support this theory. A counter-explanation would be that developing countries are instead becoming dependent upon multinational business. If this is true, the already weak economies of developing countries will crumble. That may not happen anytime soon, however, because most corporations will not easily give up on sweatshop labor. Most multinational businesses find the poorest countries, such as Bangladesh, and countries where child labor is legal. This would be because children can be paid less than adults. According to Suhasini, from One World South Asia, “...more than 70.000 children are working for Indian seed companies under similar circumstances. The children work long hours, do not go to school and are often bonded to the employers by loans” (Suhasini). If this is so, then developing countries may not be progressing as quickly as over-enthusiastic sources claim they …show more content…
As of right now, international businesses cannot significantly reduce poverty levels around the world. Despite claims of helping those in developing countries, globalization is about benefitting the business and not the employees. International businesses are merely trying to use the cheap labor in developing countries. This is proven because of the significantly low wages and inhumane working conditions enforced upon employees. If these corporations are not forced to change their ways, then poverty will not be significantly reduced in the coming
Many argue that due to the presence of multinational business, developing countries are making economical progress. However, there is little evidence to support this theory. A counter-explanation would be that developing countries are instead becoming dependent upon multinational business. If this is true, the already weak economies of developing countries will crumble. That may not happen anytime soon, however, because most corporations will not easily give up on sweatshop labor. Most multinational businesses find the poorest countries, such as Bangladesh, and countries where child labor is legal. This would be because children can be paid less than adults. According to Suhasini, from One World South Asia, “...more than 70.000 children are working for Indian seed companies under similar circumstances. The children work long hours, do not go to school and are often bonded to the employers by loans” (Suhasini). If this is so, then developing countries may not be progressing as quickly as over-enthusiastic sources claim they …show more content…
As of right now, international businesses cannot significantly reduce poverty levels around the world. Despite claims of helping those in developing countries, globalization is about benefitting the business and not the employees. International businesses are merely trying to use the cheap labor in developing countries. This is proven because of the significantly low wages and inhumane working conditions enforced upon employees. If these corporations are not forced to change their ways, then poverty will not be significantly reduced in the coming