ABSTRACT

Corporate behaviour is shaped not only by the underlying human condition, but also by the very nature and purpose of incorporation. A corporation is a legal fiction, given substance by the regulatory framework of the society in which it operates. Incorporation provides an excellent foundation for the agglomeration of capital, the hiring of staff and the execution of activities. An integral element of the legal fiction of incorporation is the doctrine of the corporate veil. Employees are rarely prosecuted for the criminal behaviour of the corporation. Corporations have the characteristics of societies. They have members, who are grouped in one or many tribes. Each tribe has a leader and followers. Each member of the tribe has a primal drive to survive which is aided by belonging to the tribe. The structure of corporations necessitates layers of leadership, where the corporate alpha leader relies on subordinate levels of obedient leaders to implement instructions and reinforce communications.