The reality is that the selection pressure for companies is to make profit. Providing a good service tends to be more expensive than using shady business practices, hence why we see companies use shady business practices. And once a company gets large enough to become an effective monopoly then it doesn’t even have to provide a semblance of a good service because there are no viable alternatives customers can use. Telecom industry in North America is a perfect example of that.
The leadership of a communist country caring about people not revolting is a much more direct incentive to provide better lives for people than the indirect incentive of a profit motive.