Companies grow and when they dominate the market they can crush any small company opposition
Consumers seem to be the evil guys. They can go to a butchery, bakery, fish market, fruit market or go to a shop that offers all of that. The majority seems to want to spare time and money and crush the small shops, unless they specialize and get really good in a certain niche and sell it online.
give someone a loan with the knowledge that they could never pay you back
Find a guy with that knowledge and you can close the banks and insurance companies the next day. Because every consumer with some savings would know where to invest and what companies will go bankrupt. Finance use models that measure risk of default. The reason for the Great Recession is that the banks underestimated that risk by a big margin. The original problem is assymetry of information. Credit taker never tells everything the bank, so the bank can't perfectly estimate the probability of getting the credit repayed. The knowledge is assymetrical. In the times of transparency, the assymetry isn't big, but when the years of fat cows come and everything looks rosy, high growth can fuel even less perspective projects. The problem is when the unexpected recession strikes and they bankrupt.
So do you think that solution for hunger in Africa is giving people fish, rather then teaching them how to fish?
There was a cleaning action in my town every year when I was in high school and my class had to clean the school backyard. I swept all of the cigarette butts in front of the old army barracks. The next day freshmen came as usually and threw the butts on the floor again. So next year the schoolmaster said there will be no more cleaning actions, because we're only giving excuse to the polluters. It's always like this, either somebody cares too little, either too much. The point is that we're too old to be romantic and expect that we'll stop the bad guys by setting an example. The least thing we could have done was letting them watch the dirty floor, if not telling them to clean or putting a warning sign. Being a bastard is about effectively solving the problem in the long run, not about not caring.
First of all it is easier to say than to do
Still you haven't answered me. Will the company benefit more from the ambitious guy in the short-term or the family guy in the long term? What kind of message to the other young workers is when the company brags that their ex employee has found a successful work abroad? Will they attract more talented guys or more less talented, that care more about having some secure job and prioritizing free time?
a dishonest person might shop them so they can get their job or promotion
So it's not about honesty. An ambitious guy will risk more than his current position, if he turns a blind eye.
But if everyone gets high salaries then the prices of everything will explode.
Sounds like Switzerland or Norway, yet their purchasing power is skyrocketing vs Africa.