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

( 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


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


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


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



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


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...

References: Accountability (w. United Nations Professional Development Enterprise (UNIDO)). 2006. SME Groupings and Accountable Competitiveness in

Developing Countries

Altenburg Capital t. 2006. Governance patterns in value organizations and their developing impact. Western european Journal of Development Exploration 18(4):


Association of Stimulating Know-How (ASK). 3 years ago. Report of Mapping of Enterprise Interpersonal Responsibility (ESR) Practices of Brass Metalware

Industry – Moradabad

Auret D, Barrientos S. 2005. Participatory Sociable Auditing: an affordable Guide to Having a Gender Sensitive Approach, IDS Working Conventional paper 237.

Bair J, Gereffi G. 2001. Local clusters in global chains: the causes and consequences of foreign trade dynamism in Torreon's green jeans industry.

Barrientos S i9000. 2008. Agreement labour: the ‘Achilles heel' of corporate and business codes in commercial benefit chains. Creation and Change 39(6): 977–


Barrientos S, Smith S. 2007. Carry out workers benefit from honest trade? Examining codes of labour practice in global production devices. Third

World Quarterly 28(4): 713–729.

Bhattacharya D. 2000. Emergence and growth of the RMG sector in Bangladesh. In Approaches for Industrialisation: The case of Bangladesh, Huq

M, Love J (eds)

Crow M, Batz MB. 2006. Clean and competitive? Small-scale bleachers and dyers in Tirupur, India. In Small Companies and the Environment in

Growing Countries: Collective Impacts, Group Action, Blackman A (ed. )

Dolan CS, Humphrey J. 2004. Changing governance patterns in the trade in fresh vegetables among Africa plus the United Kingdom. Environment and Planning for a 36(3): 491–509.

Dolan CS, Opondo Meters. 2005. In search of common surface – multi-stakeholder processes in Kenya's lower flower sector. Journal of Corporate

Nationality 18: 87–98.

Doner RF, Schnieder BAYERISCHER RUNDFUNK. 2000. Business associations and economic expansion: why several associations contribute more than other folks. Business and Politics 2(3): 261–288.

Ethical Trading Initiative (ETI). 2006. ETI Code of Labor Practice – Do Workers Really Benefit? Institute of Development Studies: Brighton.

Gereffi G, Humphrey J, Sturgeon T. 2005. The governance of global benefit chains. Review of International Political Economy 12(1): 78–104.

Goyal P. 2005. Child work in the sporting activities goods sector: findings via a survey in picked bastis of Jalandhar. Social Change 34(1): 66–74.

Goyal P. 2006. Little Hands That Work – Child Work in Punjab. PBG Guides: Ludhiana.

Henkle D. 2006. Gap Incorporation. sees dealer ownership of compliance with workplace requirements as a vital element of socially responsible


Hughes A. 2005. Corporate and business strategy plus the management of ethical control: the case of the UK food and garments retailers. Environment and

Planning for a 37: 1145–1163.

Humphrey T. 2008. Private Standards, Little Farmers and Donor Plan: EUREPGAP in Kenya, Company of Development Studies (IDS) Working

Conventional paper 308

Humphrey J, Schmitz H. 2004. Governance in global worth chains. In Local Companies in the Global Economy: Problems of Governance and Changing, Schmitz L (ed. ). Elgar: Cheltenham; 95–109.

Husselbee D. 2k. NGOs as development companions to the corporates: child football stitchers in Pakistan. Advancement in Practice 10(3/4):


Foreign Labour Company (ILO), UNICEF. 2004. Addressing Child Time in the Bangladesh Garment Sector 1995–2001 – a Synthesis

of UNICEF and ILO Evaluation Research of Bangladesh Garment Sector Projects

ILO International Plan on Elimination of Child Work (ILO-IPEC). 2007a. Rooting Out Child Time from Cocoa Farms – Paper No . 3:

Posting Experiences

ILO International Plan on Elimination of Child Labour (ILO-IPEC). 2007b. Rooting Out Child Time from Cocoa Farms – Paper Number 4:

Child Labour Monitoring – a Partnership of Communities and Government

Jenkins R, Pearson R, Seyfang G. 2002. Introduction. In Corporate Responsibility and Labour Rights – Codes of Conduct inside the Global Economic system,

Jenkins L, Pearson Ur, Seyfang G (eds. )

Kennedy M. 1999. Co-operating for endurance: tannery polluting of the environment and joint action in the Palar Valley. World Expansion 27(9): 1673–1691.

Kennedy M. 2006. Increasing environmental performance of little п¬Ѓrms through joint actions: Indian tannery clusters. In Small Companies and the

Environment in Producing Countries – Collective Action and Ordinaire Impacts, Blackman A (ed. )

Khan A. 2007. Power, Coverage and the Talk on Kid Labour inside the Football Production Industry of Sialkot. Oxford University Press:


Knorringa P. 1999. Agra: a well used cluster facing the new competition. World Creation 27(9): 1587–1604.

Krishnadas K et ing. 2007. Mapping of Interpersonal Enterprise Responsibility (ESR) Procedures in Kalady Rice Generator Cluster. Un Industrial

Advancement Organisation (UNIDO): New Delhi.

Locke RM, Romis M. 2007. Increasing work conditions in global supply string. MIT Sloan Management Assessment 48(2): 54–62.

Locke RM, Qin Farrenheit, Brause A. 2007. Does monitoring improve labor requirements? Lessons from Nike. Industrial and Labor Relations Assessment 61(1):


Lund-Thomsen P. 2008. The global sourcing and codes of conduct debate: п¬Ѓve misguided beliefs and п¬Ѓve recommendations. Development and Change

39(6): 1005–1018.

Lund-Thomsen P, Nadvi K. 2009. Global Value Chains, Local Clusters, and company Social Responsibility: a Comparison Assessment from the Sports

Items Clusters in Sialkot, Pakistan and Jalandhar, India, Specialized Paper 17

Mostafa They would. 2008. Recognizing complexity, taking on diversity: working children in Bangladesh. Southern Asia Research 28(1): 49–72.

Nadvi E. 1999a. Facing the New Competition: Business Organizations in Expanding Country Professional Clusters, Doing work Paper 103. International

Company for Time Studies (ILO): Geneva.

Nadvi K. 1999b. Collective efficiency and group failure. Globe Development 27(9): 1605–1626.

Nadvi K. 2004. The effect of worldwide standards upon local suppliers: a Pakistaner case study. In Local Enterprises in the Global Economy: Concerns of

Governance and Improving, Schmitz They would (ed. )

Nadvi T. 2008. Global standards, global governance as well as the organisation of global value chains. Journal of Economic Geography 8(3): 323–


Nielsen ME. 2005. The politics of company responsibility and child time in the Bangladeshi garment industry. International Affairs 81(3):


O'Rourke D. 2006. Multi-stakeholder regulation: privatizing or socializing global labor standards? World Development 34(5): 899–918.

Polaski S. 2005. Cambodia Blazes a New Path to Economic Growth and Job Creation, Carnegie Paper 51. Carnegie Diathesis for Intercontinental

Peace: Washington, DC.

Ponte S. 2007. Governance inside the Value Sequence for Southern region African Wine. TRALAC Doing work Paper number 9, Trade and Regulation Centre to get Southern

The african continent

alexander the fantastic Research Conventional paper