Testing the Economic Strength of a Sustainable Base of the Pyramid

Abstract

The mining industry has abundant leverage points as well as the potential to contribute to all the 17 United Nations Sustainable Development Goals (SDGs). To date, significant efforts have been made to mitigate the negative impacts of mining and enhance its positive contributions, especially by large scale mining (LSM) houses. Nonetheless, a lot remains to be done in mining areas where people at the base of the pyramid operate. These areas are exploited by Artisanal and Small-Scale Mining (ASM) actors who constitute 80% of the global mining workforce. The ASM industry is responsible for widespread negative environmental, social, and economic impacts. A lot of research has been done in ASM, but sustainable development remains far from being realized. In this study, we apply the institutional complexity lens to investigate forces impeding sustainability in this sector. Furthermore, we avoid applying any existing method of analysis and rather try synthesis as a methodological path in search for the missing knowledge. The results include identification of leverage points for sustainable development in fields where no large-scale mining houses exist; development of suitable business models; and a methodological contribution of holism to cases of institutional complexity.