Nongovernmental organizations as institutional actors in international business: theory and implications
AbstractNongovernmental organizations (NGOs) have emerged as major actors in international business. NGOs have assumed a particularly prominent role in influencing the interaction between business and governments over the terms of international business rules, norms, and practices, especially the conditions applied to international investment projects. In this paper, we argue that the rise of NGOs as important institutional actors requires new perspectives on state-firm interactions in an era of increasing globalization. Host governments and multinational corporations (MNCs) must now critically assess the potential impact of nongovernmental actors on investment plans and projects. Drawing from institutional, agency, and stakeholder theory, we develop a model to help organizations evaluate and assess the relative importance of NGOs to the stability and longevity of international investment projects and the emergent impact of NGOs on investment projects at different stages of the investment cycle. We use the specific circumstance of infrastructure privatization and state-owned enterprise restructuring to demonstrate the potential value of this perspective to MNCs and host governments. We suggest this approach is also useful in evaluating classes of other stakeholders, and in examining other situations in which governments, companies, and NGOs negotiate over the terms of international business exchanges.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
Bibliographic InfoArticle provided by Elsevier in its journal International Business Review.
Volume (Year): 11 (2002)
Issue (Month): 6 (December)
Contact details of provider:
Web page: http://www.elsevier.com/wps/find/journaldescription.cws_home/133/description#description
You can help add them by filling out this form.
CitEc Project, subscribe to its RSS feed for this item.
- Maria Seitanidi & Dimitrios Koufopoulos & Paul Palmer, 2010. "Partnership Formation for Change: Indicators for Transformative Potential in Cross Sector Social Partnerships," Journal of Business Ethics, Springer, vol. 94(1), pages 139-161, July.
- Y. Fassin, 2011. "A dynamic perspective in Freeman’s stakeholder model," Working Papers of Faculty of Economics and Business Administration, Ghent University, Belgium 11/727, Ghent University, Faculty of Economics and Business Administration.
- Y. Fassin, 2009. "Inconsistencies in Activists’ Behaviours and the Ethics of NGOs," Working Papers of Faculty of Economics and Business Administration, Ghent University, Belgium 09/576, Ghent University, Faculty of Economics and Business Administration.
- Matthew Walker & Bob Heere & Milena Parent & Dan Drane, 2010. "Social Responsibility and the Olympic Games: The Mediating Role of Consumer Attributions," Journal of Business Ethics, Springer, vol. 95(4), pages 659-680, September.
- Jeffrey Unerman & Brendan O'Dwyer, 2006. "On James Bond and the importance of NGO accountability," Accounting, Auditing & Accountability Journal, Emerald Group Publishing, vol. 19(3), pages 305-318, April.
- Yves Fassin, 2009. "Inconsistencies in Activists’ Behaviours and the Ethics of NGOs," Journal of Business Ethics, Springer, vol. 90(4), pages 503-521, December.
- Stephen Chen & Petra Bouvain, 2009. "Is Corporate Responsibility Converging? A Comparison of Corporate Responsibility Reporting in the USA, UK, Australia, and Germany," Journal of Business Ethics, Springer, vol. 87(1), pages 299-317, April.
- Aloysius Newenham-Kahindi, 2011. "A Global Mining Corporation and Local Communities in the Lake Victoria Zone: The Case of Barrick Gold Multinational in Tanzania," Journal of Business Ethics, Springer, vol. 99(2), pages 253-282, March.
- Yves Fassin, 2010. "A Dynamic Perspective in Freeman’s Stakeholder Model," Journal of Business Ethics, Springer, vol. 96(1), pages 39-49, August.
- Brendan O'Dwyer & Jeffrey Unerman, 2007. "From functional to social accountability: Transforming the accountability relationship between funders and non-governmental development organisations," Accounting, Auditing & Accountability Journal, Emerald Group Publishing, vol. 20(3), pages 446-471, April.
- Drogendijk, H.J., 2005. "The Development of Network Relations of MNC Subsidiaries: How Internal MNC and External (Local) Relations Evolve," Discussion Paper 2005-128, Tilburg University, Center for Economic Research.
- Daejoong Kim & Yoonjae Nam, 2012. "Corporate Relations with Environmental Organizations Represented by Hyperlinks on the Fortune Global 500 Companies’ Websites," Journal of Business Ethics, Springer, vol. 105(4), pages 475-487, February.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Wendy Shamier).
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.