Global Benefit Chains, Regional Collective Actions and Corporate Sociable Responsibility Article

Business Approach and the Environment

Bus. Strat. Env. 19, 1–13 (2010)

Published on-line in Wiley InterScience

(www.interscience.wiley.com) DOI: 12. 1002/bse. 670

Global Value Chains, Community Collective Action and

Corporate Social Responsibility: a Review of

Scientific Evidence

Philip Lund-Thomsen1* and Khalid Nadvi2

1

Centre for Business and Development Studies, Centre pertaining to Corporate Social Responsibility, Copenhagen Business College, Denmark

2

Institute pertaining to Development Coverage and Supervision, School of Environment and Development, University or college of Stansted, Manchester, UK

ABSTRACT

A vital debate inside the corporate sociable responsibility (CSR) literature is a tension among global challenges and local answers. Developing region suppliers often grumble that CSR conformity adds costs. Yet, regional collective actions, articulated through industry interactions, can potentially keep costs down and enhance local embeddedness of CSR initiatives. Through case study research, this daily news considers just how demands for CSR compliance prompted ordinaire action reactions in picked developing region export industrial sectors. We argue that differences in ordinaire responses can be partially explained by how local export sectors are inserted into global value organizations. We separate ‘highly visible' value organizations, led by simply internationally well known brands as lead firms, and relatively ‘less visible' chains, where external CSR pressures come from many different sources, which include less major lead firms, international/national regulating frameworks and national multimedia. This differentiation suggests a possible trade-off between the independence plus the embeddedness of collective CSR initiatives. Copyright laws © 2010 John Wiley & Sons, Ltd and ERP Environment.

Received six February 2009; revised six July 2009; accepted 18 November 2009 Keywords: global value organizations; collective actions; industrial groups; industrial clusters; corporate interpersonal responsibility; growing countries

Introduction

A

And IMPORTANT TREND IN THE LITERARY WORKS ON COMPANY SOCIAL RESPONSIBILITY (CSR) AND INTERNATIONAL creation is the give attention to how small and medium-sized companies (SMEs) inside the developing globe are increasingly confronted with demands to adhere to international work standards and CSR rules as a pre-condition to access created world marketplaces. Proponents of CSR codes emphasize that compliance can easily improve business processes, enhance transparency in global source chain operations and ratchet up social * Communication to: Peter Lund-Thomsen, Connect Professor, Center for Business and Development Studies, Centre intended for Corporate Sociable Responsibility, Copenhagen Business University, PorcelГ¦nshaven 18A, 2000 N, Denmark. E-mail: plt. [email protected] dk Copyright laws В© 2010 John Wiley & Kids, Ltd and ERP Environment

2

P. Lund-Thomsen and K. Nadvi

and environmental standards in the developing world (Jenkins ainsi que al., 2002). Yet, these kinds of codes, which are usually dependant on internationally arranged labour criteria, are also criticized for being created in business headquarters in Europe or North America without the significant insight from the planned beneficiaries, suppliers and staff, in the Global South (De Neve, 2009). Individual global brands insist that their suppliers adhere to their particular unique codes of carry out. This often results in community producers facing multiple, high priced, and at instances contradictory, CSR requirements and audits (Lund-Thomsen, 2008). Consequently, there have been movements towards increased convergence in CSR requirements within and across industrial sectors (Nadvi, 2008). However , it really is unsurprising that numerous developing nation producers truly feel little title for the CSR criteria that their Northern customers press after them. This kind of raises uncertainties about the long-term durability of sociable compliance, specially when sustained pressure from international buyers is usually absent (Barrientos, 2008). Inside the context of the debate about global pressures and local answers around...

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