Transnational Capitalist Class

The transnational capitalist class may also be referred to by a number of other different terms such as superclass or global ruling class. The transnational capital class is described as a segment of the international bourgeoisie that stands for transnational capital—the owners of transnational corporations, which in turn own the means of production globally, and the organizations, institutions and individuals who support this structure.

Many sources acknowledge that since the 1970s the global capitalist system or “world capitalism” has undergone a period of restructuring toward a more internationally oriented model in a process that has come to be known as “globalization.” Some would argue that the roots of globalization are much older and that international trade has always [Page 406]formed a key component of the economic system; however, it can be seen that this process of international trade has been radically accelerated by the growth and availability of information and communication technologies made possible by the electronics revolution, as well as by the explosion in international travel that has been enabled by the rapid growth of the aviation industry and development of the jet airliner. This has quickened the pace of internationalization.

The transnational capitalist class is likely to be seen as increasingly important actors in the sustainability debate, as the discourse of globalization posits that increasing power is being transferred from the state to private corporations. This “hollowing out of the state” means that old state-centrist views of governance are replaced with global notions of power that transcend nation-state boundaries and in which the transnational capitalist class play an increasingly important role.

“Global System Theory” is an attempt to understand capitalist globalization. Protagonists of Global System Theory advance that it possesses three main components:

• the transnational capitalist class,
• the discourse of globalization embodied in transnational corporations, and
• the “culture-ideology” of consumerism and consumption.

Leslie Sklair, a sociologist at the London School of Economics, characterizes the transnational capitalist class as consisting of four “fractions,” or subsets of people.

• The owners and controllers of transnational corporations (this could also include agents acting on their behalf locally as affiliates, representatives, or franchisees)
• The bureaucrats and politicians who advance the discourse of globalization
• Professionals and business people who advance the discourse of globalization through their work
• The elites who advance the “culture-ideology” of consumerism, whether this be the traders of goods and owners of brands or the media and advertising professionals

He states that there is a temporal and a spatial dimension to the distribution of these four fractions and the institutions that give them their agency within the system. Sklair highlights that there are differences and tensions between the worldviews of these four fractions and that they are “not always entirely united on every issue.”

The transnational capitalist class exhibits the following identifying characteristics:

• Members of the transnational capitalist class have economic interests with global linkages rather than being exclusively embedded within their local and national business communities.
• Members of the transnational capitalist class may have a portfolio of property, assets, and shares that are global in their scope. This is aided by the fact that enabling communications technologies and international political economy allow money and assets to change hands with ease across nation-state boundaries in an increasingly globalized economy.
• Members of the transnational capitalist class advance the notion that unless local workers are prepared to accept inferior pay and benefit packages to compete with the international labor force, jobs and competitiveness will be lost as foreign competition can surpass local efforts. This is characterized as “the race to the bottom.”
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• Members of the transnational capitalist class tend to have expansive outward global orientations toward problems of economy, politics, culture, and ideology, rather than introspective, local-looking views.
• Members of the transnational capitalist class tend to share similar lifestyles whose patterns of consumption transcend national boundaries: partaking of luxury goods and services; patronizing brands and chains that transcend what is locally available; and sharing similar patterns of higher education, often involving “business school” or “International MBA” experience.
• Members of the transnational capitalist class seek to advance the notion that they are “citizens of the world,” in addition to identifying with their own historical connections with places of birth or residence. They may change their nationality or take a second passport to advance their business interests, and they are likely to seek residence in a country that advances their economic interests, rather than choosing their country of birth.

The transnational capitalist class is opposed by those who reject capitalism as a way of life or as an economic system that they wish to embrace. However, it should also be noted that there is a portion of capitalists who reject the discourse of globalization and the effects it entails. Most local businesses cannot prosper when faced with competition from transnational corporations, and so here we can see an example of where the proprietors of such businesses would consider themselves broadly “capitalists” and yet would be opposed to the transnational capitalist class in ideology.

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