This is a controversial article by Professor Nancy Folbre, writing in the Economix column in the NYT. Check it out!
The timing of the article is interesting, with the US presidential elections looming. The Republicans argue that President Obama is anti-business, whereas the Democrats argue that big business is not doing enough for growth, especially in jobs and investment.
However, it is true that many big corporations are sitting on mountains of cash, rather than taking risks, with senior executives still taking home enormous compensation packages.
The next ten years will see the emergence of Chinese multi-nationals who are likely to give the Western multinationals a serious run for their money.
For me, it’s not good enough for multinationals to turn to the developing World for growth and neglect their home or mature markets which gave them growth for many decades. We have seen that the OECD has cited Unilever giving Europe a third World marketing strategy.
What do you think?