REPUBLIKA NG PILIPINAS

Republic of the Philippines

PAMANTASANG NORMAL NG PILIPINAS VISAYAS
Philippine Normal University Visayas
ANG PAMBANSANG SENTRO SA EDUKASYONG PANGGURO
The National Center for Teacher Education
LUNGSOD NG CADIZ
City of Cadiz

ACTIVITY SHEET FOR LESSON IIB

(Market Integration)

Name: Reynan Omongayon Year & Section: OV 1-2 Score ____________

Answer the following questions comprehensively:

1. Differentiate market integration and economic integration.

Market integration occurs when prices among different locations or related goods follow similar
patterns over a long period of time. Groups of goods often move proportionally to each other and
when this relation is very clear among different markets it is said that the markets are integrated.
Thus, market integration is an indicator that explains how much different markets are related to each
other. A marketer plays the role of an integrator in the sense that he collects feedback or vital inputs
from other channel members and consumers and provides product solutions to customers by
coordinating multiple functions of organization. However, Economic integration is the unification of
economic policies between different states, through the partial or full abolition of tariff and non-tariff
restrictions on trade. The trade-stimulation effects intended by means of economic integration are
part of the contemporary economic Theory of the Second Best: where, in theory, the best option
is free trade, with free competition and no trade barriers whatsoever. Free trade is treated as an
idealistic option, and although realized within certain developed states, economic integration has
been thought of as the "second best" option for global trade where barriers to full free trade exist.
Economic integration is meant in turn to lead to lower prices for distributors and consumers with the
goal of increasing the level of welfare, while leading to an increase of economic productivity of the
states.

2. What is the importance of international financial institutions to countries of the world?

- International Financial Institutions has a vital role in the development of the economy
of the nations. It is an essential alternative in order to find exchange rates. Its
roleincludes advising on development projects, funding them and assisting in their
implementation.

3. What is the significance of a global corporation?

- Global Corporation tends to expand the revenue and opportunities in order to
achieve success in different type of economies. A global corporation is a business
that operates in two or more countries. It is important to have a global corporation
 because it helps increase customer base, reduce operating costs, boost the growth
rate of a company, and more importantly to create new jobs.
-
4. Reflection on Lesson llB:

4.1 Things I have learned (knowledge):

- I learned the difference between market and economic integration.
- I learned the history of global market in the 20th century.
- I learned the significance of global corporation.
4.2 Things I have realized and appreciated (attitudes):
- I realized what is the importance of international financial institutions and the
significance of global corporations.
- I realized that this lesson is very informative and gives me an idea about the market
integration.
4.3 Things I have discovered (skills):
- I discovered the benefits we can get from global corporation.
- I discovered that it is easy for me to understand the context by watching rather than
reading.

Project-based: Film Review (“The Corporation” directed by Mark Achbar and Jennifer Abbott)
Answer the Video Worksheet below.

A. “The Corporation” Video Worksheet

1. What is a Corporation according to the video? (It starts when there is big text saying “What is a
Corporation?”)
- A corporation is a group of individuals working together to serve a variety of objectives the
principal one of which is earning large, growing, sustained and legal returns for the people
who own the business.

2. What is paradoxical about corporations? What do they produce that’s good? What do they
produce that’s bad?
- The corporation as a paradox is an institution that creates great well but it causes enormous
and often hidden harms. It’s because of the CEO voices, whistleblowers, brokers, gurus and
 spies, insider and outsiders. The corporation helps the people to have an easier life but we
know that there are bad things affiliated within it.

3. What are some metaphors the documentary uses to describe corporations? [Keep this one in
mind over the whole film.]

A corporation is like…
______________________________________________________________________________
______________________________________________________________________________

- Metaphor that used in documentary is a corporation is like a jigsaw in the society, a sports
team, a family unit, a telephone system and an eagle.

4. The next question is that of how corporations came to be. According to Ray Anderson, CEO of
the Interface Corporation (one of our case studies, incidentally), it started with the invention of
what?
- it started in when Thomas Newcumen invented a steam driven pump water.

5. How did the Corporation go from being a gift from the people to Capital to becoming legally
equivalent to a person? (It starts when it says that corporate lawyers realized that they needed
more power.)
- The corporation was a subordinate entity that was a gift from people in order to serve the
public better. However, corporate lawyers realized that they needed more power to
operate and wanted to remove some of the constraints. During the end of the Civil War, the
14th amendment was passed to give equal rights to the black people. It was stated that no
state can deprive any person of life liberty or property without due process of law. It was
intended to prevent the states from taking away life, liberty and property from black people.

6. After the Civil War, which amendment to the U.S. Constitution wound up allowing corporations
to be legal persons?
- The 14th amendment were used to allow corporations to be legal persons. The 14 th
amendment was passed to protect newly freed slaves. In between 1890 and 1910, there
were 307 cases brought before the court under the 14 th amendment and 288 of these
brought by corporations and there were only 19 cases brought by African American people.
There were 600,000 of people were killed to get rights for people. However, over the next
30 years, judges applied those rights to capital and property while stripping them from
people.

7. What kind of “person” is a Corporation? (It starts when Noam Chomsky, a famous academic,
starts to speak.)
- According to Noam Chomsky, "Corporations were given the rights, of immortal persons. But
then special kinds of persons. Persons who had no moral conscience. These are a special
kind of persons which are designed by law, to be concerned only for their stockholders. And
 not, say, what are sometimes called their stakeholders, like the community or the work
force or whatever".

8. That same amendment was originally made in order to ensure equal rights for ____________
- Black people

9. Corporations are legally bound to put the interests of ___________________ above all else,
even the public good.
- Profit

10. Why are externalities so important to corporate profitability? (It starts when Milton Friedman, a
famous Economist, starts to speak.)
- According to Monks, "A corporation is an externalizing machine in the same way that a
shark is a killing machine. Each one is designed in a very efficient way, to accomplish
particular objectives. In the achievement of those objectives, there isn't any question of
malevolence or of will, the enterprise has within it, and the shark has within it, those
characteristics that enable it to do that for which it was designed".

11. Why is the Corporation is best defined as an “externalizing machine”?

- According to Monks, "The corporation is an externalizing machine, in the same way that a
shark is a killing machine." Corporations aren't "bad" and neither are sharks. But both can
be extremely dangerous by their very nature. There's a discouraging amount of cognitive
dissonance surrounding the goals of a corporation.

12. One segment discusses how much the women who make Liz Claiborne jackets in El Salvador
make. The jackets retail for $178 each, it is claimed. Yet the El Salvadoran women workers who
made it get paid US$0.74?
- The segment is entitled “Harm to Workers: Sweatshops” this segment shows how the
workers were being underpaid.

13. What happens in the factories in which they work?

- The factory gives each workers a small amount of payment for their job and send some
spies in the meeting. Their condition in the factory was horrible. Young women who work in
the factory was paid at a low cost.

14. What was the typical age of the factory workers in Ecuador making Cathy Lee Gifford clothing?
- The typical age of the factory workers is 13 years old.

15. Why do you think that Nike specify the time for each step in making their products down to one
thousandth of a second per step?
- I think the reason why Nike specify the time for each step in making their products down to
one thousandth of a second per step is that they want to have a fast making of products and
many production as possible, so they can take advantage of their workers in order to
accomplish their quota.
16. How would you feel having your life dictated to you to such a degree?
- It is still relevant even today, many people in the remote areas worked so hard in the farm
but received a low payment for a long period of time me and my parents experienced this
treatment, I didn’t complain until I realized that it was too much. But although it’s not fair
we can’t do anything about it because we might loss our job.

17. Another segment discusses harms to consumers and the public, in relation to the production of
synthetic chemicals like the insecticide DDT. What effects do they have on us in terms of:

The percentage of men who will contract cancer: 1 in _____________________

- Every 2 men
The percentage of women men who will contract cancer: 1 in ______________
- Every 3 women

18. What is “Posilac” made by Monsanto? Why is it injected into dairy cows?
Posilac is a Bovine somatotropin or bovine somatotrophin (abbreviated bST and BST),
or bovine growth hormone (BGH), is a peptide hormone produced by cows' pituitary glands.
Like other hormones, it is produced in small quantities and is used in regulating metabolic
processes.
Recombinant bovine somatotropin (usually "rBST"), is a synthetic version of the bovine growth
hormone given to dairy cattle by injection to increase milk production.

19. What effects does it have on dairy cows and the humans who drink the milk?
- The effects leads to chronic inflammation to heart, lungs, kidneys, and reproductive effects.
The use of artificial hormones caused all kinds of problems to the cows like the mastitis
chich is a very painful infection to the udders. When the milk of the cow that had bad
mastitis the pus from the infection of the udders ends up in the milk and the bacteria count
inside the milk goes up.

20. What else have Monsanto done?

- Masanto’s Agent Orange also caused the large product of Vietnam were divorced by the US
military. The toxic herbicide reportedly caused over 50,000 birth defects as well as hundreds
of thousands of cancers in Vietnamese civilians and soldiers.

21. What are the top corporate criminals and what fines have they paid over the past one hundred
years? (It starts with Exxon). Write as many as you can.
- Exxon pled guilty in connection to federal government (Paid $12.5M)
- General Electric was guilty of defrauding the federal government (Paid $9.5M)
- Mitsubishi was guilty of antitrust violations (Paid $1.5M)
- Chevron was guilty of environmental violations (Paid $6.5M)
- IBM was guilty of illegal exports (Paid $ 8.5M)
- Kodak was guilty of criminal environmental violations (Paid $1M)
- Odwalla was guilty of food and drug regulatory violations (Paid $1.5 M)
- Sears was guilty of financial fraud (Paid $6M)
- Pfizer was guilty of antitrust violations (Paid $20M)
 - Blue Cross and Blue Shield (Paid $ 4M)
- Hyundai (Paid $6M)
- Tyson (Paid $ 4M)
22. Why is our civilization completely doomed if we keep using the same Business Model as we have
for the past three hundred years? (He uses a metaphor of a falling aircraft that doesn’t know it
can’t fly because it is still too high up.)
- According to Anderson, the very high cliff represents that virtually unlimited resources we
seem to have when we began this journey the craft isn’t flying because it’s not built
according to the laws of aerodynamics. Our civilizations is not flying because of it’s not built
according the law of aerodynamics. The ground is still a long way, but some people have
seen that ground rushing up sooner than the rest of us have.

23. In the “Pathology of Commerce” section, the following question is posed: Who bears the moral
responsibility for a corporation’s actions? According to Milton Friedman, who is it? [circle the
right answer]
A. consumers of that corporation’s products
B. nobody
C. the corporation itself
D. the government

E. the people involved in that corporation

24. In the same section, why is the Corporation legally designed to be a psychopath according to the
standard psychiatric diagnosis?
- According to the standard psychiatric diagnosis, corporation has many characteristics, in
many respects, corporation is a sort of the prototypical psychopath. If the dominant
institutions of our time has been created an image of psychopath who would bears the
mora responsibility of its actions. The people who are engaging in the corporation has the
moral responsibilities.

25. How is it that a person can be kindly and decent as individuals yet be psychopathic monsters
when part of a corporation?
- When you look at the corporation, you want distinguish between the institutions and
individuals. But the world is unforgiving just like in an institution, their role is to be monsters
because the institutions is monstrous.

26. Why do you think the protestors which invaded the house of the CEO of Royal Dutch Shell were
so surprised that he and his wife gave them tea and sat down and talked to them?
- I think that it surprised them because no one would expect the people you are confronting
would be nice to you and even offer you tea, coffee and lunch. I also think that they
wouldn’t expect the member of a corporation would willingly talk to them.

27. Why did Royal Dutch Shell have Nigerian protestors put to death through hanging?
- The protestors were put to death through hanging because they opposed in shells
environmental practices.
28. Why do corporations routinely employ professional spies to infiltrate their competitors?
- Corporation had to be aggressive and they think that they are predators, it is about
competition for them and about the stakeholder value. They want the money and for that
they need to know more about their competitors to know their strengths and weaknesses.
It’s a strategy that the corporation do so that they will stay on top.

29. Why did Interface Carpets start to look into their environmental impact?
- It starts when the interface hear the question of their customer “what’s your company
doing in the environment?” and because of that the research department of Interface
decided to convene a taskforce to assess their worldwide environmental plan.

30. Why did its CEO Jack Welsh decide he better ought to stop “plundering”?
- He later realized that the day will come for plundering to become illegal and someday he
would end up in jail.

31. Why did the September 11 th attacks on the Twin Towers in New York instantly double the price
of gold?
- The attack in the twin towers serve as blessing in disguise because the clients were into gold
and the prices of the gold were doubled.

32. Why did the bombing of Iraq immediately double the price of oil? Why did financial brokers
want the war to go as badly as possible?
- The price of the oil doubled because of the bombing in IRAQ, the prices from $13 went up to
$40 it almost in three times a barrel. Financial brokers was sanding because they want to
know increase the price of oil.

33. In the section “Boundary Issues”, why were the common fields and land “enclosed” i.e. put into
private ownership? Why was this privatization and ownership extended over the oceans and
then into airspace?
- In Boundary Issues the common fields and land enclosed and put into private ownership
because the land did not belong to people. In European world people farmed the land in a
collective way. Commons by parliamentary acts in England, they take the great land masses
of the world to reduce in private property. They also went after the ocean the great oceanic
commons by creating laws and regulations.

34. Why does the academic think that the only solution to the problem of pollution is the
privatization of everything?
- They believe that privatization will help to avoid the polluting the environment.

35. In the section “Basic Training”, why does it cost US$10,000 for a movie to depict the song
“Happy Birthday” being sung?
- The AOL/ Time Warner Subsidiary holds the copyright. They own the song HAPPY BIRTHDAY
and it cost $10,000 to hear the song.

36. How did corporations get children to nag their parents to buy products which make up 20% to
40% of their parents’ discretionary spending?
 - The corporation asked parents to keep diary for three weeks and to record every time you
imagine, every time child nagged them for a product they asked when, where and why.
Children are not little adults, their human minds aren’t developed. Market play to their
development vulnerabilities.

37. The marketing strategy of getting kids to beg their parents for everything from fast food to trips
to amusement parks is called The __________________ Factor.
- The Nag Factor

38. The corporate-sponsored college students are sponsored by _________________.

- First USA

39. What is the term for a marketing practice where “product placement” occurs in our lives?
_____________________ marketing
- Embedded Marketing

40. For what purpose do corporations try to instill a “philosophy of futility” into society? Why is this
important to maximizing profits and market share?
- The goal of the corporation is to maximize their profit and market share. They have to be
turned into completely mindless consumer of goods that they do not want. You have to
impose on people what’s called a philosophy of futility. The ideal is to have individuals who
are totally disassociated from one another.

B. Briefly write your own opinion of the film.

- As I watched the film, I realized that the corporation has a positive and negative impact in
our society. The film is not only focusing on how individual companies pollute the
environment, hurt animals, exploit workers, commit accounting fraud but such outrages the
result of the essential personality traits of corporate life form. The film also provides helpful
information in understanding the corporation and how it works. It is also interesting
because of the different conversations of different people like the CEO’s and that is very
informative. Moreover, the film is highly recommended if you want to understand the
corporation deeply and it made me realize that money is power and multinational for every
member of corporation.