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CSR and Local Development in Oil Industry in Nigeria
[RSE et Développement Local dans l'Industrie Pétrolière au Nigeria]

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  • Hervé Lado

    (ESSEC Business School)

Abstract

The institutional theory of corporate social responsibility (CSR) argues that content and practice of CSR adapt to the institutional environment. In the oil industry in Nigeria, and more widely in developing countries where institutions work on a personalized mode, with a dominant coalition made of powerful elites manipulating rents and privileges to ensure stability, CSR also adapts. Using the crypto-morality concept, we demonstrate that in such institutional environments, CSR evolves according to both the detectability of corporate practices, and penalties that stakeholders impose to corporations. Therefore, the corporate contribution to local development as part of CSR aims mainly to meet legitimate and illegitimate expectations of the most influential stakeholders in order to protect company's operations.

Suggested Citation

  • Hervé Lado, 2019. "CSR and Local Development in Oil Industry in Nigeria [RSE et Développement Local dans l'Industrie Pétrolière au Nigeria]," Working Papers hal-02005068, HAL.
    • Handle: RePEc:hal:wpaper:hal-02005068
    Note: View the original document on HAL open archive server: https://hal.science/hal-02005068
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    References listed on IDEAS

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    1. Gaël Giraud & Cécile Renouard, 2010. "Mesurer la contribution des entreprises au développement local : le cas des pétroliers au Nigeria," PSE-Ecole d'économie de Paris (Postprint) halshs-00639236, HAL.
    2. Greif, Avner & Tadelis, Steven, 2010. "A theory of moral persistence: Crypto-morality and political legitimacy," Journal of Comparative Economics, Elsevier, vol. 38(3), pages 229-244, September.
    3. Bisin, Alberto & Verdier, Thierry, 2001. "The Economics of Cultural Transmission and the Dynamics of Preferences," Journal of Economic Theory, Elsevier, vol. 97(2), pages 298-319, April.
    4. Uwafiokun Idemudia, 2009. "Oil Extraction and Poverty Reduction in the Niger Delta: A Critical Examination of Partnership Initiatives," Journal of Business Ethics, Springer, vol. 90(1), pages 91-116, May.
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