Multinational oil companies and the adoption of sustainable development: A resource-based and institutional theory interpretation of adoption heterogeneity [Book Review]
David Bourget (Western Ontario)
David Chalmers (ANU, NYU)
Rafael De Clercq
Ezio Di Nucci
Jack Alan Reynolds
Learn more about PhilPapers
Journal of Business Ethics 98 (1):39-65 (2011)
Sustainable development is often framed as a social issue to which corporations should pay attention because it offers both opportunities and challenges. Through the use of institutional theory and the resource-based view of the firm, we shed some light on why, more than 20 years after sustainable development was first introduced, we see neither the adoption of this business model as dominant nor its converse, that is the total abandonment of the model as unworkable and unprofitable. We focus on multinational corporations (MNCs) because they were among the organizations first called to take action. In order to illustrate the institutional pressures MNCs face and their strategic response to these pressures, we analysed four major oil and gas multinationals subject to similar sustainable development pressures – climate change, biodiversity, renewable energy development and social investment. We argue that normative and coercive isomorphism does not occur at the global level because sustainable development is largely a stakeholder-driven rather than a broad social pressure. That is, host country interpretation of sustainable development pressures varies across an MNC’s subsidiary network. Based on the analysis of the four major MNCs’ annual reports from 2000 to 2005, we argue that mimetic isomorphism may occur, but since it implies the use of complex and intangible resources, mimetic processes are slow, rare and discretionary
|Keywords||sustainable development multinational corporations business strategy resource-based view institutional theory|
|Categories||categorize this paper)|
Setup an account with your affiliations in order to access resources via your University's proxy server
Configure custom proxy (use this if your affiliation does not provide a proxy)
|Through your library|
References found in this work BETA
Marcel van Marrewijk & Marco Werre (2003). Multiple Levels of Corporate Sustainability. Journal of Business Ethics 44 (2-3):107-119.
Reinhard Steurer, Markus E. Langer, Astrid Konrad & André Martinuzzi (2005). Corporations, Stakeholders and Sustainable Development I: A Theoretical Exploration of Business–Society Relations. [REVIEW] Journal of Business Ethics 61 (3):263 - 281.
Denis Cormier, Irene M. Gordon & Michel Magnan (2004). Corporate Environmental Disclosure: Contrasting Management's Perceptions with Reality. [REVIEW] Journal of Business Ethics 49 (2):143-165.
Jehan Loza (2004). Business–Community Partnerships: The Case for Community Organization Capacity Building. [REVIEW] Journal of Business Ethics 53 (3):297-311.
A. Konrad, R. Steurer, M. E. Langer & André Martinuzzi (2006). Empirical Findings on Business–Society Relations in Europe. Journal of Business Ethics 63 (1):89 - 105.
Citations of this work BETA
No citations found.
Similar books and articles
Luis Fernando Escobar & Harrie Vredenburg (2006). Why Do Firms Differ? A Resource-Based and Institutional Response of Multinational Corporations Under Sustainable Development Pressures. Proceedings of the International Association for Business and Society 17:189-194.
Joseph R. Herkert (1998). Sustainable Development, Engineering and Multinational Corporations: Ethical and Public Policy Implications. [REVIEW] Science and Engineering Ethics 4 (3):333-346.
Robin Attfield (2007). Sustainable Development Revisited. The Proceedings of the Twenty-First World Congress of Philosophy 3:185-189.
M. Haque (2000). Environmental Discourse and Sustainable Development Linkages and Limitations. Ethics and the Environment 5 (1):3-21.
J. Félix Lozano & Alejandra Boni (2002). The Impact of the Multinational in the Development: An Ethical Challenge. [REVIEW] Journal of Business Ethics 39 (1-2):169 - 178.
Joanna Becker (2007). How Frameworks Can Help Operationalize Sustainable Development Indicators. World Futures 63 (2):137 – 150.
Scott R. Colwell & Ashwin W. Joshi (2009). Multi-Item Scale Development for Measuring Institutional Pressures in the Context of Corporate Environmental Action. Proceedings of the International Association for Business and Society 20:146-152.
Xiaohua Yang & Cheryl Rivers (2009). Antecedents of CSR Practices in MNCs' Subsidiaries: A Stakeholder and Institutional Perspective. [REVIEW] Journal of Business Ethics 86 (2):155 - 169.
A. H. T. Fergus & J. I. A. Rowney (2005). Sustainable Development: Lost Meaning and Opportunity? [REVIEW] Journal of Business Ethics 60 (1):17 - 27.
Alain Verbeke & Vincent Tung (2013). The Future of Stakeholder Management Theory: A Temporal Perspective. [REVIEW] Journal of Business Ethics 112 (3):529-543.
Liang Wang (2011). MNC Strategic Responses to Ethical Pressure: An Institutional Logic Perspective. [REVIEW] Journal of Business Ethics 98 (3):373 - 390.
David A. Lertzman & Harrie Vredenburg (2005). Indigenous Peoples, Resource Extraction and Sustainable Development: An Ethical Approach. [REVIEW] Journal of Business Ethics 56 (3):239 - 254.
Emery Roe (1997). Sustainable Development and the Local Justice Framework. Philosophy and Social Criticism 23 (2):97-114.
Ivan Montiel (2005). The Impact of Institutional Pressures to Adopt ISO 14001 Among Automotive Suppliers in North America. Proceedings of the International Association for Business and Society 16:211-216.
Justin Tan (2009). Institutional Structure and Firm Social Performance in Transitional Economies: Evidence of Multinational Corporations in China. [REVIEW] Journal of Business Ethics 86 (2):171 - 189.
Added to index2010-12-13
Total downloads25 ( #155,112 of 1,907,534 )
Recent downloads (6 months)2 ( #340,539 of 1,907,534 )
How can I increase my downloads?