Critical remarks on the governance of sustainability: On the institutional framework of standards

Abstract

Sustainability assessment is on the rise: both the number and the importance of tools and labels are increasing quickly. This paper begins with the notion that today's organization of sustainability assessment is tribal, with small groups competing against each other. Using standards for social sustainability as a case in point, the vast heterogeneity in scale and scope of standards is demonstrated. The prevailing differences cause high transaction costs for consumers who are interested in purchasing sustainably. Using both historical evidence from the organic sector and the debate on information asymmetries as a rationale for the state to intervene, the paper concludes that the involvement of national governments in sustainability assessment would constitute progress, but that international coordination would be even better. It suggests engaging the International Organization for Standardization.

Exploring the role of transaction costs in the intensity of organic food consumption in Brazil

“…For consumers, obtaining price information depends on the extent to which there is readily available information on the market prices (Hobbs, 1997). Consumers may also incur higher information search costs if the market offers different labels and certification seals, as they must devote time and effort to understand which standards are guaranteed (Mann, 2018), regarding, for instance, nutritional value. In organic food consumption, standards refer to extrinsic quality, i.e.…”

“…Greater environmental and social awareness coupled with health concerns create groups of consumers who want to make more conscientious choices (Pascucci et al , 2016; Mann, 2018), and these new groups of consumers compose differentiated market segments, such as organic food consumers. More importantly, it has been shown that organic food consumers do not form a homogeneous group (Batalha et al , 2005; Jensen et al , 2011; Dalcin et al , 2014).…”

Analyzing the implications of organic standardization and certification in alternative food networks: The capability approach

“…Consumers' requirements for quality and safety are linked to food scares (e.g., mad cow disease) and fears of consuming food with pesticides, hormones, or genetically modified organisms (Raynolds, 2004). Within this context, consumers have also reacted to sustainability concerns inherent in industrialized and globalized food systems (Gliessman, 2014) and therefore have desired to “make more conscious choices, considering their responsibility for the planet's fate as a whole” (Mann, 2018, p. 511). These trends have contributed to the significant growth of organic food production and consumption (Ishaq et al, 2021), fostering the demand for organic standards and certification schemes globally (Willer et al, 2022).…”

Rethinking the Role of Organizational Reflex in Maintaining a Company’s Sustainability

“…The review of organizations' sustainability literature [1][2][3][4][5][6][7][8][9][10][11][12][13][14][15] explored that sustainable development is important for organizations. The studies confirm the need for the economic, social, and ecological growth of organizations.…”

“…Sustainability discourse analysis [1][2][3][4][5][6][7][8][9] and the review of the role of the organizational reflex [16,17] allowed the theoretical modeling of a system that examines the basics of information received from the global environment in the company. This finding led to the development of a concept describing the ability of a company to maintain its competitiveness in the long term and to secure its longevity.…”