Unregulated capitalism will externalize all of its costs onto society. Too much regulation will strangle the system. Like with most things, there needs to be a balance. Similarly, capital will exploit labor without regulations or unions to prevent it from doing so.

Now yes, of course capital is going to seek the locality with the cheapest costs of production, so there is a tension between competitiveness and ensuring a minimum standard of living. Cities, states, countries, ultimately have to work together to balance these demands.

If your solution to all of this is a laissez faire system that relies on the fact that "most people care"... it is I that has to question your naïveté.