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Thursday, October 13, 2011

Politics for Business versus The Business of Politics



Are Divisive Politics a Form of Corruption?

The United Nations Global Compact Principle Ten states:

Principle 10: Businesses should work against corruption in all its forms, including extortion and bribery

Corruption is recognized to be one of the world's greatest challenges. It is a major hindrance to sustainable development, with a disproportionate impact on poor communities and is corrosive on the very fabric of society. The impact on the private sector is also considerable - it impedes economic growth, distorts competition and represents serious legal and reputational risks. (Emph added)


Business Dictionary.com defines corruption as:

Wrongdoing on the part of an authority or powerful party through means that are illegitimate, immoral, or incompatible with ethical standards. Corruption often results from patronage and is associated with bribery. (Emph added)

Bright line examples of corruption are easy to identify and have been well reported by media in U.S. and India viz Wall Street and 2G-scam, respectively. These instances require no further analysis. However, what about the effect on development and SR as it relates to the seeming permanence of ‘divisive’ politics of parties the world over? The conventional political model is to break the electorate into definable ‘banks’ across perceivable lines of race, caste, creed and economic differences. Can divisive political platforms be considered a form of corruption for their ability to focus the electorate on differences that hinder progress and sustainable economics? Is it possible for businesses to cross-cut their political support to dissuade party politics –as-usual?

The news today from the U.S. includes the protests and ‘occupations’ by frustrated Americans in Boston and Wall Street. Meanwhile, on Capitol Hill party division has prevented a much needed job stimulus package. The vitriolic rhetoric of those more interested in party political gain than the common good is glaring. Half a world away, the same scenario plays out in the city elections at Madras, Tamil Nadu, India. The local news reports daily the critical issues of 1000’s of MW electricity production deficit, hyper inflation of food and goods that has all but stalled India Inc.’s manufacturing might and an urban natural resource crisis that threatens short and long term food and water security. Meanwhile, politics as usual has taken to the streets driving platforms based on the distinctions of caste, creed and class rather than pressing 3BL issues.

In India and U.S., the competition for the powerful Government posts leads to complete preoccupation with maintaining and fueling the electorates’ prejudices and in turn results in poor strategic management of the resources the population rely upon for security and sustainability. The increasing scarcity of resources economic, social and environmental-unlike political parties- apply their pressures equally among all.

The U.S. can learn much from the relatively short political history of post-partition India and it’s chronic failure to heed the economists who for decades have warned of the coming day when India’s need for adequate infrastructure and human development security would reach tipping point. There is no other reason for the current 3BL crisis than lack of political SR and obsessive divisive political ambitions. The U.S. can also learn from India business sector whose ambition and sustainable planning has succeeded despite broken political machinery.

India can learn much from the U.S. political stand-off that has stalemated economic growth stimulus in favor of maintaining the flames of dis-satisfaction over the course of the current administration. The U.S. stands best equipped of any country in the world to revive the global economies through strong promotion of evergreen and 3BL recalibration of business. What the stand-off demonstrates is that deciding to do nothing is a decision non-the-less; and is contrary to the ethic for which representative members are voted to protect. As such, it can be considered corruptive.

For businesses, who are by-and-large the largest financial supporters of political parties, is it ethical to fund a party or campaign that finds its strength in non-sustainable policies, action and platform? How should businesses decide their political allegiance? The depth and sincerity of a company’s CSR and 3BL should include this analysis.


 -Peerless Green Initiative Sustainable Business and CSR Planning and Facilitation. info@peerlessgreen.net



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1 comment:

  1. For a hungry man or a hungry woman, Truth has little meaning. He wants food. For a hungry man, God has no meaning . . . We have to find for them food, clothing, housing, education, health and so on—all absolute necessities of life that every man should possess.When we have done all that we can philosophize and think of God. -Jawaharlal Nehru

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