MANDATING SOCIAL-CHANGE - THE BUSINESS STRUGGLE OVER NATIONAL-HEALTH REFORM

This article explores the conditions tinder which business managers en dorse human resource investment policy drawing from the recent nationa l health reform episode. In order to generate corporate support, a bus iness community must develop corporate policy capacity, or the ability to grasp complicated social issues and to act in support of this soci al agenda. Corporate support is also influenced by the business-relate d strategies of government leaders who can encourage businesses to org anize around legislative issues. The bid for national health reform me t neither condition. Corporate policy capacity was inadequate to susta ining business support for health reform at the point of translating g eneral corporate anxiety into specific legislation. Because U.S. busin ess groups are weak, fragmented, and compete for members, they tend to cater to strong, vocal minorities and are often unable to act on majo rity positions. In health reform although a majority of business group s' members wanted reform, minority objections prevailed. In addition, where the Clinton administration's business mobilization efforts were complicated by its campaign for mass support, the Republicans organize d a formidable corporate lobby against the bill.