“This is a Montreal Issue”: Negotiating responsibility in global production and investment networks

Quastel, Noah

doi:10.1016/j.geoforum.2011.03.012

Cited by 7 publications

(9 citation statements)

References 75 publications

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“…We found that within this complex interacting of multiple pressures non-state actors are equipped with means to confront institutional uncertainty with its consequences on companies' compliance leeway (Jain et al 2017;Simpson et al 2012;Hafner-Burton and Tsutsui 2005). Hence, this study suggests that the investigated actors (stakeholders) are not powerless in the EMDE country, which contrasts the literature on (mineral) SCs (Huq and Stevenson 2018;Sauer and Seuring 2017;Quastel 2011). As the ultimate suppliers, mining companies in SA appear to be exposed to similar institutional pressures as focal companies at the downstream part, namely non-state actors, GOs and customers.…”

Section: Discussionmentioning

confidence: 56%

The Role of Institutional Uncertainty for Social Sustainability of Companies and Supply Chains

et al. 2020

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Global sourcing largely occurs from so-called emerging markets and developing economies (EMDEs). In these contexts, substantial leverage effects for sustainability in supply chains (SCs) can be expected by reducing adverse impacts on society and minimising related risks. For this ethical end, an adequate understanding of the respective sourcing contexts is fundamental. This case study of South Africa's (SA) mining sector uses institutional theory and the notion of institutional uncertainty to empirically analyse the challenges associated with establishing social sustainability. The case study research is informed by 39 semi-structured interviews with top management representatives and various state and non-state decision makers in SA. Our findings suggest that (social) sustainability in the institutional field is mainly shaped by the Social and Labour Plan institution, induced by state actors and mining companies' practices. However, four weakening factors were identified that adversely affect this regulative institution, drive institutional uncertainty and allow for mining companies' gradual decoupling. Contrastingly, complementing pressures of non-state actors limit institutional uncertainty and push toward mainstreaming the stipulations of the institution. This study contributes to the business ethics literature by providing an in-depth exploration of institutional uncertainty's drivers and barriers within an upstream SC setting and shedding light on multiple actors' interplay and relevance in sector-wide sustainability. The findings are condensed into three main propositions as well as an analytical framework as a basis for follow-up research. This case study helps practitioners understand and manage complexity that results from actor plurality and institutional uncertainty in EMDEs.

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Section: Discussionmentioning

confidence: 56%

The Role of Institutional Uncertainty for Social Sustainability of Companies and Supply Chains

et al. 2020

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“…One can read this as an inversion of the SLO, with the corporation threatening to withdraw its support for the community if the SLO and associated local support were not forthcoming. It also affirms the limits of informal regulation such as the SLO: if community relationships and expectations are too onerous for the firm to bear, or if the community fails to behave in a way that complies with the corporation's expectations, the result could be a withdrawal of investment rather than changes in corporate behaviour and expectations (see Quastel 2011).…”

Section: So Spoke Of Howmentioning

confidence: 70%

A social licence to operate: corporate social responsibility, local communities and the constitution of global production networks

Mayes

2015

Global Networks

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This article contributes to the theorization of the role of informal regulation (undertaken by leading firms) in the ongoing organization of global production networks. It does so through a qualitative case study of BHP Billiton's Ravensthorpe Nickel Operation (RNO) in the rural Shire of Ravensthorpe in Western Australia. This less tangible, and to date under-researched, dimension of global production networks is foregrounded through a focus on the corporate social responsibility strategy implemented by RNO in the service of achieving and/or demonstrating a broader 'social licence to operate'. This 'licence' functions -beyond the corporation -as a legitimated and legitimating multi-scalar mechanism through which to gain and maintain access to mineral resources and thus to establish viable and ongoing global production networks. Further, this informal regulation is shown to shape social relations and qualities of place conducive to competitive global mineral extraction and to facilitate the positioning of local communities and places in mineral global production networks.

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“…In the contemporary context of capital withdrawal (Quastel, ), what then does this mean for Fairtrade? There remains “intense competition on ethical performance” (Food Ethics Council, , p. 1), with risk management necessitating an engagement with “responsible sourcing,” so are we seeing a new phase in the Fairtrade market?…”

Section: Resultsmentioning

confidence: 99%

“…As Barrientos () notes, power can be contested through means other than the control of resources, and in Fairtrade power is dispersed and contested through multiple sites and across the scales (Quastel, ). Nevertheless, retailers retain a degree of power over certified producers with market, social and political inequalities continuing to be reproduced in Fairtrade's ethical complex.…”

Section: The Global Fairtrade Production Networkmentioning

confidence: 99%

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Asymmetries and opportunities: Power and inequality in Fairtrade wine global production networks

Herman

2018

Area

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Fairtrade is changing. The hegemonic certified system, governed by Fairtrade International, has seen some high-profile withdrawals by major processors and retailers in recent months, which is leading to both proponents and critics questioning who, and what, the system is for. While the certified system has seen increasing conventionalisation, there remains at its core a mission to make trade fair, empower those marginalised in global trade and foster sustainable livelihoods. Taking a global production network (GPN) framework supports a critical exploration of the market, social and political asymmetries of this international system of production and distribution. Drawing on empirical evidence from the wine industry, this paper uses a production-space perspective to critically reflect on some of the key relations within Fairtrade GPNs. While there are many positive impacts, particularly in social development, producers have experienced a conventionalisation of supply chains, a lack of contextual responsiveness and limited engagement with the global system. These indicate a continuation of power asymmetries that are intersecting, multiscalar and evolving. Although these are from wine industry case studies, anecdotal evidence suggests that they are not uncommon experiences and even a hint of unfair, disempowering and unsustainable trading practices negatively impacts both these producers' livelihoods and the reputation of the Fairtrade system as a whole. Nonetheless, there remains significant producer buy-in indicating that the ideals of Fairtrade retain currency. This therefore presents a critical opportunity for Fairtrade to actively address the market, social and political inequalities that persist in its GPNs and re-establish itself as a leader in the ethical marketplace.

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“This is a Montreal Issue”: Negotiating responsibility in global production and investment networks

Cited by 7 publications

References 75 publications

The Role of Institutional Uncertainty for Social Sustainability of Companies and Supply Chains

The Role of Institutional Uncertainty for Social Sustainability of Companies and Supply Chains

A social licence to operate: corporate social responsibility, local communities and the constitution of global production networks

Asymmetries and opportunities: Power and inequality in Fairtrade wine global production networks

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