The Social and Economic Impact of Fastest-Growing Corporations
Today, large corporations are the most dynamic and influential economic entities in the world, providing jobs, products, and services to people around the globe. In many ways, they are the engine of World Economic growth, at least in the developed nations. However, this is also creating a large class of people, especially in emerging countries, which have no share in the benefits of this growth. A better understanding of the dynamics of this growth, its implications, and the impact of the largest, fastest-growing corporations can help us better manage their influence.
The largest and fastest growing corporations, such as Amazon, Microsoft, and Apple, have become the economic forces to be reckoned with. With their revenue numbers outstripping even that of small countries, these corporations are now the economic powerhouses that shape much of the economic landscape. This is not necessarily a bad thing, as widespread benefits for citizens, such as job creation and consumer products and services, are generated by their presence. Most of these corporations prioritize innovation and sustainability, so the impacts of their growth are generally considered beneficial.
However, this type of growth also has its fair share of consequences. Most notably, this kind of growth leads to the concentrating of wealth in the hands of a few, thus creating a new class of individuals who are unable to benefit from the growing economy. Inequality tends to increase as wages remain relatively stagnant while the wealthiest corporations expand exponentially. This can be particularly damaging in emerging markets, where the gap between the wealthy and the poverty-stricken becomes even more apparent.
Another area of concern is the potential of these corporations to monopolize markets and abuse their market power. For instance, large corporations
like Amazon can strain the resources of middle and small enterprises, leading them to close down and contribute to job losses. While some governments offer subsidies and other measures to small companies, this is not sufficient to offset the economic power of these corporate giants.
The large, fastest-growing corporations also have significant impacts on the environment. Most of these corporations rely heavily on long-distance shipping and distribution, which generate massive amounts of air pollution. There is also the issue of over-consumption of natural resources and energy sources, as these corporations tend to use more than their share of resources to sustain their businesses. Finally, these corporations tend to be highly resistant to social responsibility, with their excessive advertising, celebrity endorsements, and dominating presence in the media supplanting more responsible, sustainable practices.
In short, the growth of large, fastest-growing corporations have both immediate and long-term consequences that require attention. Their power and influence should be managed carefully, to ensure that all people benefit from their impact. Governments, thought-leaders and other stakeholders need to be aware of the implications of this growth and work to develop a system that protects both the environment and citizens alike.
