From poverty to power - Oxfam-Québec

FROM POVERTY TO POWERPRIVATE SECTOR, PUBLIC INTERESTAs poor men and women seek to feed their families and build betterlives,they grapple with a range of risks and opportunities,their strategiesconstantly evolving to cope with change. In this effort, the market isthe sea in which they swim, and the main denizens of that sea areprivate sector companies.The private sector spans all private, for-profit businesses, fromgiant transnational corporations to backstreet workshops and marketstalls. In the formal economy, private firms enjoy both rights (forexample, limited liability in the case of financial collapse) and responsibilities(to obey laws, for example on working conditions and taxation).How companies balance their rights and responsibilities – that is,whether they have long-term or short-term mindsets, respect labourrights, consider their impact on local communities, or manage theirenvironmental footprint – is determined by the actions of states andcitizens, and the will of their owners, managers, and staff.Private firms directly influence the lives of poor people in six mainways: they provide products and services; generate income and investment;create jobs; develop skills through training and experience;transfer and develop technology; and establish physical and institutionalinfrastructure. Firms also exert indirect influence, for examplethrough their impact on the environment, or in lobbying for changesto government rules and practices.168