When presidential candidate Mitt Romney answered a question from a county fair goer when he said “Corporations are human my friend” little did we know how true that statement was, only that it shows the power of multi international corporations. Fortune 500 corporations have funnel hundreds of million of dollars to both our political parties which has given them favorable access to policies that enhance their bottom line.
Corporate capitalism is a fierce competitive lightning rod that have to answer to board members and shareholders. The chief executive officers (CEO) have to answer to these people and responsible to have the right employees in place. The presser is extremely great if they want to keep their ten, twenty million dollars or more salary. The goal for these large corporations is minimize cost, increase product or service, and keeping that name brand in front of the nation and even the world.
One of the ways these C.E.O. that has increase their value besides marketing their products or service around the world is purchase other companies and create a conglomerate. A conglomerate is the combination two or more corporations engaged in entirely different businesses that fall under one corporate group usually involving a parent company and many subsidiaries. Often these conglomerate is a multi industry company and they are large conglomerate and multinationals.
There are so many of these companies I will only discuss one. We’ve all heard of General Electric (G.E.) They are literally all over the world with hundreds of companies two of their founders were Thomas Edison and J.P. Morgan in April 1892. This year 2017 G.E. received a government contract from the Department of Defense (DoD) for over 400 million. It is my estimated quest they have received over a half trillion in government contracts if not more the past thirty years. A list of G.E. products and services are aircraft engine, electric distribution, electric motors, energy, finance, gas, healthcare, lighting, locomotives, oil, software, water, weapons, and wind turbines. Here is one example how this works, I will use one product healthcare. GE Healthcare was incorporated in 1994 and operates in more than 100 countries GE Healthcare operates as a subsidiary of General Electric. General Electric has over 300,000 employee over 150,000 work in other countries.
There are thousands of multi international conglomerate corporation that is base of capitalism. Most of these companies are doing the things that capitalist do create profits for their company and shareholders. But, their not pure capitalist according to Ayn Rand, yes they are cutting cost by hiring cheap labor, avoiding paying the less possible taxes, marketing their products and services around the world. So if as Mitt Romney said corporations are people too. That mean these conglomerate are not the perfect human. They need government to sustain, they need market manipulation, cheap labor and pay as little taxes as possible.
Next article: “You don’t know what you don’t know”.
Mr. Ted Harvey Sr., The Money Connection.Com
“Following The Money People”