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Whether Corporations Have More Power than Nation States - Coursework Example

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From the paper "Whether Corporations Have More Power than Nation States" it is clear that the global class transforms the association between labour and capital and has minimised the role played by local industries by cementing the belief that local practices are inferior. …
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Whether Corporations Have More Power than Nation States
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Download file to see previous pages A global capitalist class is now arising that dictates the nature of economic practices which occur in those countries; the class consists of transnational corporations working with local elements like senior politicians, state functionaries and members of the academic arena. Its influence is so pervasive that it has undermined national identities; evidence now illustrates that these international bodies are more powerful than nation-states.
In an attempt to answer the above question, a number of scholars have looked at the effects of globalization on developed and developing nations. Obeng-Odoom (2012a) did this for a Ghanaian city known as Sekondi-Takoradi; it is a relatively new urban centre that has experienced rapid changes owing to the discovery of oil in 2007. This resource has altered the economic, social and political landscape in the city by creating an international environment of transnational corporations. Transactions have been dollarized and new courses have been introduced in national universities to study these phenomenal transformations; additionally, the political scene has not been left out of the wave. Currently, the government has instated several oil laws designed to ensure the continual success of the oil industry and a series of authorities or committees usually meet to discuss oil-related matters. Buildings and other infrastructure have also been created in order to accommodate the new breed of international residents that can be found in Sekondi-Takoradi.
The above facts illustrate just how influential international best practices corporations are in developing nations, especially those that have attractive mineral resources like oil. From the time oil was discovered in the city, 41 global corporations have mushroomed in the areas with many of them coming from Russia, the UK, US, China, Australia and Norway; some of them include Tallow Oil, KOSMOS Energy as well as EO group. Some of the international oil giants have entered into seemingly unfavourable contracts for Ghana, such as the deal between Norwegian-based Aker ASA and the government.  ...Download file to see next pagesRead More
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