The Mediated Influence of a Traceability Label on Consumer’s Willingness to Buy the Labelled Product

Although stakeholder theory is concerned with stakeholder engagement, substantive operational barometers of engagement are lacking in the literature. This theoretical paper attempts to strengthen the accountability aspect of normative stakeholder theory with a more robust notion of stakeholder engagement derived from the concept of good faith. Specifically, it draws from the labor relations field to argue that altered power dynamics are essential underpinnings of a viable stakeholder engagement mechanism. After describing the tenets of substantive engagement, the paper draws from the labor relations and commercial law literatures to describe the characteristics of good faith as dialogue, negotiation, transparency, and totality of conduct; explains how they can be adapted and applied to the stakeholder context; and suggests the use of mediation and non-binding arbitration. The paper concludes by addressing anticipated objections and shortcomings and discussing implications for theory and research.     

Re‐entering Europe: Does European Union candidacy boost foreign direct investment?

This study examines the ability of the Central and Eastern European countries to attract foreign direct investment during the first decade of transition. After considering a model of profit maximizing firms, we undertake an empirical investigation of the factors that determine multinational firms’ location decisions within Europe. We find empirical support for the traditional market size and cost factors. In addition, we examine the effect of key European Union announcements regarding the accession process. Results indicate that the announcements had statistically significant and quantitatively important effects on foreign direct investment in the Central and Eastern European candidate countries.