Uneasy Alliances: Lessons Learned from Partnerships Between Businesses and NGOs in the context of CSR

Interest in Corporate Social Responsibility (CSR) has proliferated in academic and business circles alike. In the context of CSR, the spotlight has traditionally focused on the role of the private sector particularly in view of its wealth and global reach. Other actors have recently begun to assume more visible roles in the context of CSR, including Non-governmental organizations (NGOs) which have acquired increasing prominence on the socio-economic landscape. This article examines five partnerships between businesses and NGOs in a developing country context that fall in the realm of CSR. The article starts with a literature review, delineating foundational underpinnings that have to be carefully designed and crafted to promote the success of collaborative ventures. An empirical study of five selected partnerships between businesses and NGOs in Lebanon is then presented, allowing to derive interesting insights into types of existing alliances, their relational characteristics as well as salient factors considered most determinant of success or failure in this regard.     

Corporations and NGOs: When Accountability Leads to Co-optation

Interactions between corporations and nonprofits are on the rise, frequently driven by a corporate interest in establishing credentials for corporate social responsibility (CSR). In this article, we show how increasing demands for accountability directed at both businesses and NGOs can have the unintended effect of compromising the autonomy of nonprofits and fostering their co-optation. Greater scrutiny of NGO spending driven by self-appointed watchdogs of the nonprofit sector and a prevalence of strategic notions of CSR advanced by corporate actors weaken the ability of civil society actors to change the business practices of their partners in the commercial sector. To counter this trend, we argue that corporations should embrace a political notion of CSR and should actively encourage NGOs to strengthen “downward accountability” mechanisms, even if this creates more tensions in corporate–NGO partnerships. Rather than seeing NGOs as tools in a competition for a comparative advantage in the market place, corporations should actively support NGO independence and critical capacity.     

MNE-NGO partnerships for sustainability and social responsibility in the global fast-fashion industry: A loose-coupling perspective

Stakeholders are increasingly aware of the environmental and human rights issues related to highly conspicuous fashion merchandising. To mitigate the negative responses from environmentally conscious consumer groups, fashion merchandisers have sought to partner with non-governmental organizations (NGOs). While there is a growing body of literature on sustainability and social responsibility (SSR), the increasingly popular practice of fast-fashion industry partnering with NGOs has been neglected, and so far, remained under the radar. Such partnerships may be of success, but at the same time while promising on the surface, they can actually go awry, resulting in adverse outcomes for both parties. We build upon the loose-coupling theory to explain the relationships between fast-fashion multinational enterprises (MNEs) and NGOs. We discuss three causes (casual indeterminacy; fragmented external environment; discrete internal environment) and four key benefits (adaptability to environmental changes, flexibility, innovation, and firewalls for separate identity) for loosely-coupled partnerships. We then explore the dark side of such partnerships, identifying three challenges (power imbalance, mistrust and opportunism, and misaligning goals). Finally, we offer a set of propositions as a way of advancing our knowledge of partnerships in fashion merchandising industry.     

External Relationships and the Small Business: A Review of Small Business Alliance and Network Research*

In order to thrive, small businesses are often advised to develop relationships with external organizations that have the potential to assist business development, survival, and growth. A focus on the external relationships of the small business underlines the vital importance of external resources in moving a small business toward increased success and profitability. Covering the period from 1990 to 2002, this paper reviews the small business literature as it relates to the use of these external relationships (such as organizational partnerships, networks, and alliances). In response to both academic and practitioner demand for further research in this area, an exhaustive analysis of the relevant literature was conducted and three “meta” research questions representing the connections within this literature were formed. The resource‐based view of the firm, resource dependency theory, and punctuated equilibrium theory are proposed as useful starting points for exploring these research questions and can give direction for moving forward in this research area.     

An assessment of Colombian managers' perceptions of international strategic alliances

This article reports the results of a survey of Colombian managers concerning their perceptions of strategic alliances with foreign firms. The survey focuses in particular on partner selection and the managerial expectations from such partnerships, as well as the potential difficulties involved in developing interfirm linkages. The survey of Colombian managers shows that international strategic alliances are considered a viable approach to building a competitive advantage, especially in domestic markets, either through acquiring Western technology or marketing know-how. However, the survey results also suggest that a number of obstacles need to be overcome. The important considerations in partner selection, competence building through strategic alliances, and dealing with potential problems in establishing interfirm partnerships are discussed. © 1995 John Wiley & Sons, Inc.     

物流联盟企业间的信任博弈分析

物流联盟是为了达到比单独从事物流活动所能取得的更好的效果而在企业间形成的相互信任、共担风险、共享收益的物流伙伴关系,在物流联盟中建立信任关系十分重要。本文认为,物流联盟企业出于企业利益、企业生存发展等方面的考虑,企业之间存在信任关系博弈,通过重复博弈建立起来的信誉是企业联盟发展的价值资源;物流联盟成员企业只有建立在相互信任的基础上,才能在资源共享、优势互补、共担风险的合作方式下,把握市场脉搏,实现联盟企业共同的目标。     

CSR, Co-optation and Resistance: The Emergence of New Agonistic Relations Between Business and Civil Society

This article examines the theoretical implications of the changing relationships between NGOs and businesses that have emerged as a response to the evolving agenda around CSR and sustainable development. In particular, it focuses upon examining whether greater engagement from non-governmental organisations (NGOs) in this area reflects a process of appropriation and co-optation of protest by the business community. To examine this process, the article considers two forms of appropriation—appropriation of language and appropriation via participation—as a basis for discussion. While co-optation pressures are identified within both areas, the article argues that co-optation is identified almost as an inevitable outcome of engagement without significant consideration of the ability of movements to identify and respond to these processes. In identifying an alternative approach, the article utilises Mouffe’s framework of agonistic pluralism. Mouffe’s framework, it is argued, provides an understanding of the way in which agonistic relationships are emerging between NGOs and businesses while highlighting the continuance of conflict between parties struggling to influence the contested interpretations of responsible business.     

旅游联盟成功运作关键影响因素研究

近年来,在国际工商企业、旅游企业战略联盟浪潮的影响下,我国旅游企业也纷纷组建战略联盟,并取得了一定的经济效益。通过对旅游企业战略联盟(以下简称旅游联盟)的相关文献和实践进行全面梳理与分析,对影响我国旅游联盟成功运作的关键因素及其重要程度进行实证研究,使之明确了旅游联盟成功运作的关键因素。     

Sleeping with the Enemy? Strategic Transformations in Business–NGO Relationships Through Stakeholder Dialogue

Campaigning activities of non-governmental organisations (NGOs) have increased public awareness and concern regarding the alleged unethical and environmentally damaging practices of many major multinational companies. Companies have responded by developing corporate social responsibility strategies to demonstrate their commitment to both the societies within which they function and to the protection of the natural environment. This has often involved a move towards greater transparency in company practice and a desire to engage with stakeholders, often including many of the campaign organisations that have been at the forefront of the criticisms of their activity. This article examines the ways in which stakeholder dialogue has impacted upon the relationships between NGOs and businesses. In doing so, it contributes to the call for more ‘stakeholder-focused’ research in this field (Frooman in Acad Manag Rev 24(2): 191–205, 1999; Steurer in Bus Strategy Environ 15: 15–69 2006). By adopting a stakeholder lens, and focusing more heavily upon the impact on one particular stakeholder community (NGOs) and looking in depth at one form of engagement (stakeholder dialogue), this article examines how experiences of dialogue are strategically transforming interactions between businesses and NGOs. It shows how experiences of stakeholder dialogue have led to transformations in the drivers for engagement, transformations in the processes of engagement and transformations in the terms of engagement. Examining these areas of transformation, the article argues, reveals the interactions at play in framing and shaping the evolving relationships between business and its stakeholders.     

Relationship of business and NGOs: an empirical analysis of strategies and mediators of their private relationship

Managing the relationship with nongovernmental organizations (NGOs) is a key capability for most companies, because dialogue with stakeholders is a requested feature of Corporate Social Responsibility (CSR). This paper analyses the relationship between businesses and NGOs in Spain. By applying grounded theory, the authors summarize this relationship in the dynamics of conflict and cooperation. NGOs' strategies vis-à-vis companies are categorized and the variables explaining different approaches on both companies' and NGOs' side are examined. The paper concludes by placing the private relationship with NGOs in a wider context (the public arena), dominated by the approach-withdrawal dynamics between firms and NGOs. Finally, this paper presents the theory that results from this research.     

Cross‐sector alliances in the global refugee crisis: An institutional theory approach

The global refugee crisis has posed severe challenges to social stability and sustainable development around the world. While the business sector is expected to shoulder social responsibility in crisis relief efforts, our initial assessment shows that refugee‐related corporate social responsibility (CSR) significantly diverged across the Global Fortune 500 corporations. To advance scholars and managers' understanding of this complex CSR issue, this study draws upon National Business System Theory to explore how country‐level factors influence the multinational corporations' CSR communication about the refugee issue. Specifically, the study focuses on the strategic cross‐sector alliances between corporations, NGOs, and IGOs. The analysis shows that in this controversial global crisis, the following factors of corporations' countries‐of‐origin can significantly affect the level of cross‐sector CSR alliances: democracy levels, economic inequality levels, and unemployment rates. Findings of this study provide practical guidelines that can help managers to anticipate societal expectations when dealing with controversial social issues in an international setting. Our findings could also assist policymakers, NGOs, and IGOs to better design strategies to mobilize the corporate resources.     

Small Business–Nonprofit Collaboration: Locally Owned Businesses Want to Take Their Relationships With Community-Based NPOs to the Next Level

This two-part, mixed-methods study explored how and why small businesses engage in both philanthropic and transactional partnerships with community-based nonprofits (NPOs), and what business owners expect from their nonprofit partners. Findings from focus groups and a survey indicate that U.S. small businesses (a) are interested in a higher representation on nonprofit boards; (b) are more likely to support NPOs that focus on the local community’s needs; and (c) seek long-term, committed partnerships with NPOs to jointly address communal issues rather than one-time contributions or sponsorships. The study adds to the literature on nonprofit–business collaboration by applying the concepts of integrative (Austin, 2000) and communal (Cho & Kelly, 2014) relationships in the context of locally owned businesses and community-based NPOs rather than more commonly studied large corporations and national/international nonprofits. These findings also offer practical recommendations for the leadership of community nonprofits interested in enhancing their relationships with small businesses.     

Development Through Business: What Do American Business Students Know About Emerging Markets and Opportunities in Africa?

This article investigates how Africa is taught in business and examines African and American student perspectives on business in Africa. Conclusions find that African students, business students or not, had more knowledge about business and economic structures than American business students; however, learning about successful case studies on business in Africa proved to motivate both students and faculty. The nexus between international development and business is emphasized and training business students to seek potential partnerships with African businesses is underscored. The article ends with educational recommendations and cites the advantages of introducing students to emerging opportunities in business on the continent.     

International Strategic Alliances

Abstract

This paper reports the findings of an empirical investigation of strategic alliance agreements between UK firms and their European, Japanese and US partners. The aim of this paper is to shed some light on the international strategic alliance activity of UK firms and ascertain the objectives and motives of international strategic alliances. In addition, the perceived performance of the strategic alliance is considered together with the perceived level of satisfaction of a range of alliance activities. The findings should prove to be a useful guideline for researchers and practitioners engaged in understanding international strategic alliances. The analysis should allow managers to examine the important issues in the formation of international strategic alliances and allow them to understand the assessment of performance and satisfaction of the alliances formed.

Key Results: The findings have shown a definite pattern in UK international strategic alliance activity. The results of the study indicate that the majority of UK firms engage in international partnerships for marketing-related activities and are essentially driven by the financial cost and risk of entering a foreign market; access to overseas market and improving market share. The findings have also indicated that the majority of UK managers are satisfied with the overall performance of the international strategic alliance.     

Uncertainty reduction mechanisms in cross-sector alliances in Latin America

The present study explores three uncertainty reduction mechanisms that arise in the context of business alliance formation to assess whether these same mechanisms also operate in the development of alliances between non-profits and businesses. Secondary data from field-based case studies of Latin American cross-sector alliances are the focus of this analysis. The findings show that the same mechanisms operate to reduce uncertainty in cross-sector alliance formation and that alliance experience appears to determine the presence of some mechanisms.     

The Formation of Cross-Sector Development Partnerships: How Bridging Agents Shape Project Agendas and Longer-Term Alliances

Cross-sector development partnerships (CSDPs) are project-based collaborative arrangements between business, government, and civil society organizations in support of international development goals such as sustainability, health education, and economic development. Focusing on public private partnerships in development cooperation, we examine different constellations of bridging agents and their effects in the formation of single CSDP projects and longer-term alliances. We conceptualize bridging agency as a collective process involving both internal partner representatives and external intermediaries in initiating and/or supporting roles. We find that the involvement of external intermediaries eases the formation of single projects and longer-term alliances. However, when projects are initiated by external intermediaries they tend to be repetitive and narrow in scope, whereas projects initiated by internal partner representatives often explore novel agendas and embody a greater potential for social innovation. Yet, the longer-term pursuit of these agendas beyond single projects may require external intermediaries in supporting roles. Findings help better understand micro-processes and collective practices of brokerage and alliance formation in transnational governance contexts and beyond.     

Strategic partnerships,social capital and innovation: accounting for social alliance innovation

This paper focuses on innovation in the context of business–non‐governmental organization (NGO) partnerships for corporate social responsibility (CSR). While different aspects of business–NGO partnerships have been studied, the role of innovation and its potential implications for partnership outcomes have so far not been systematically explored. The paper defines innovation in simple and concrete terms and synthesizes from the literature what can be considered as critical ingredients to foster social alliance innovation. The paper posits in turn that these ingredients correspond closely to the conception of social capital and offers a consolidated framework that helps in probing around these ingredients and social capital in accounting for innovative partnership outcomes. The empirical part consists of a comparative analysis of six case studies of business–NGO collaboration in the context of CSR in the United Kingdom. The evidence presented makes it clear that strategic partnerships are more readily capable of innovation and that social capital as an umbrella concept is very promising in explaining the differential success and performance of social alliances and central to understanding the dynamics of social alliance innovation and value creation.     

Drivers of dynamic learning and dynamic competitive capabilities in international strategic alliances

Research on dynamic competitive capabilities (DCCs) is critical for businesses to operate effectively in a rapidly changing environment. The driving forces of the dynamic learning mechanism (DLM) play a decisive role in the evolution of DCCs that the resource-based view (RBV) has failed to clearly identify. By engaging in an empirical study with a sample of 363 strategic alliances in Taiwanese companies, this paper shows that learning intent and embedded learning positively influence the drivers of DLM, such as manager integration power, external linkages, codification of experience, and ambiguity, to both strongly and positively affect DCC development in high-level management of international strategic alliances.     

Environmental Conservation NGOs and the Concept of Sustainable Development

On the background of the widely known and controversially discussed concept of sustainable development and the ever increasing influence of non-governmental organisations (NGOs) on social, environmental and economic issues, this article focuses on how NGOs, specialised in environmental protection and conservation issues, reacted to the holistic societal concept of sustainable development which aims at finding solutions not only to environmental, but also to social and economic issues. For this purpose, the article investigates whether and to what extent the sustainability concept has been adopted by three worldwide leading environmental conservation NGOs: Greenpeace International, WWF International and IUCN International. The research, conducted in early 2006, reveals that the three organisations integrated the sustainability concept to different degrees depending on the organisations’ dominant value set. The more an organisation is bound to the idea of environmental protection, the less it is inclined to adopt strategies stemming from the sustainability concept whose implicit value system contradicts a strong bio- or eco-centric position. This finding adds evidence to the assumption that the holistic sustainability concept is most likely to be reduced and adapted when addressed by a specialised societal actor such as an NGO. Such insight into the influence of value systems on the actual actions of pressure groups might also be valuable in the light of the ever increasing number of strategic partnerships between NGOs and the private sector. To be familiar with each others’ action-leading key assumptions can significantly contribute to establishing a sound basis for a fruitful and rewarding collaboration.     

A resource-based view of partnership strategies in health care organizations

The distribution of management structures in health care has been shifting from independent ownership to interorganizational relationships with other firms. A shortage of resources has been cited as one cause for such collaboration among health care entities. The resource- based view of the firm suggests that organizations differentiate between strategic alliances and acquisition strategies based on a firm's internal resources and the types of resources a potential partner organization possesses. This paper provides a review of the literature using the resource-based theory of the firm to understand what conditions foster different types of health care partnerships. A model of partnership alliances using the resource-based view is presented, strategic linkages are presented, managerial implications are outlined, and directions for future research are given.