Governance and Business Models for Sustainable Capitalism

Description

Governance and Business Models for Sustainable Capitalism touches upon many of the central themes of today’s debate on business and society. In particular, it brings attention to a recurrent tension between efficiency, innovation, and productivity on the one hand, and fairness, equity, and sustainability on the other. The book argues that we need radical rethinking of business models and economic governance, beyond the classical doctrine, which sees social and ecological responsibility as lying with public-policy regulation of purely profit-seeking firms. In spite of the popular CSR agenda, business – as we know it today – is both too transient and too limited in its motivation to carry the regulatory burden. We need to adopt a much wider concept of 'partnered governance', where advanced states and pioneering companies work together to raise the social and environmental bar. The book suggests that civil engagements based on moral rather than formal rights, and amplified through the media, may provide a healthy challenge both to autocratic planning and to solely profit-centered commercialization. The book also proposes a triple cycle theory of innovation for sustainability: a novel framing of the efficacy of green and prosocial entrepreneurship as intertwined with political visions and supportive institutions. In addition, the book offers reflections on the ways in which further digital robotizaton may enable transition to an ‘Agora Economy’ where productive efficiency is combined with expanded civic freedoms. Aimed primarily at researchers, academics, and students in the fields of political economy, business and society, corporate governance, business ethics, corporate social responsibility, and sustainability, the book will additionally be of value to practitioners, supplying them with information regarding the challenges associated with the shaping of sustainable or ‘civilised’ market capitalism for a better world. Cover Half Title Series Page Title Page Copyright Page Contents Figures Tables Preface Introduction Capitalism's Resilience in the Face of Crises Governance for Civilizing Capitalism? Deregulation and Asymmetric Globalization Business Regulating Itself: Corporate Social Responsibility Enhancing Corporate Responsibility by Re-Chartering the Firm Can Civic Governance Civilize Capitalism? Bringing the State Back In Governing Transitions Theoretical and Conceptual Inspirations A Broad Socio-Economic Lens Balancing Competitive Creativity and Social Integration Polycentric Governance Integrating Governance Across Markets and Politics Governing Dynamic Transition Addressing 21st Century Challenges Case Studies as a Jumping Board Governance Matters References Section I: Historical Roots and Past Experience 1. The 'Terrible Beauty' of Early Industrial Capitalism Early Disembedded Capitalism and the Polanyian Critique Capitalism's Inherent Contradiction Colonialism and Exploitation The Misalignment Early Battles for Re-Embedding Capitalism Worker Engagement and Protest Work Legislation Political Voice: The Emergence of Labour Parties Two Paths Notes References 2. Re-Embedding Capitalism Under Social Democracy The Flexicurity Model The Front Industries and Wage Compression Models Female Participation in Production Norway's Equitable Petroleum Economy Resilience Through Ambidexterity The Welfare State Under Pressure Towards New Inequality Losing Appeal in the New Millennium Note References Section II: 21st Century Challenges 3. Technological Challenges Digitalization and Robotization Humans and Robots Employment, but Inequality The Gig Economy Case I: Uber Case II: Foodora The Digital Network Economy Digital Surveillance Capitalism The Digital Challenge to Governance - Concluding Reflections Notes References 4. Financial Challenges Too Large to Fail, Too Big to Govern? The Financial Crisis as a Governance Challenge The Losses Governing Financial Architecture in the Grey Zone Governing Digital Finance How to Govern Crypto-Currencies The Case of Libra Governance for Social Embedding of Fintech The Corona Crisis as a Financial Challenge The Projected Financial Losses Due to Pandemic The Challenge Notes References 5. Ecological Challenges The Climate Challenge in the Age of the Anthropocene Pressing the Planetary Boundaries The Fossil Legacy Transport, a Critical Sector From Dilemma to Trilemma Notes References Section III: Governance Approaches 6. Neoliberal Deregulation The Rise of Neoliberal Deregulation A Liberal World Order The Washington Consensus A Brave New Liberal World Deregulation and Asymmetric Globalization The Investor-State Dispute Settlement (ISDS) Commercial De-Regulation and Social Embedding in the EU Shifting Hegemony Globalized Industrial Organization References 7. Can Business Govern Itself? Commercial Self-Regulation? The CSR and Sustainability Boom CSR, Media, and the Civic Voice CSR for Every Business Discipline Corporate Governance - From the Shareholder to the Stakeholder Perspective Strategy - The Cluster Perspective Marketing and Branding: Embracing Values Reporting/Accounting A Proliferation of Standards The Challenge of Consolidation and Implementation Supply Chain Management Human Relations ESG - Finance for Sustainability The Remarkable Growth of ESG Investment Innovation Is There a Case for Business Self-Governance? Reactive, Defensive Modes of Prosociality and Sustainability The Proactive Mode of Prosociality and Sustainability Prosociality and Sustainability in Strategic Mode Sustainability and Profitability - A Chicken and Egg Problem Is There a Business Case for CSR/Sustainability? Is There a Case without Business? Notes References 8. Re-Chartering the Firm A Broader Palette of Governance Models Public Benefit Corporations Case: Danone Cooperatives Case: OBOS Case: Mondragon Roots and History Organization and Values The structure today Challenges Social Enterprises Embedding Through Re-Chartering Notes References 9. Civic Governance Introduction Civic Engagement in Dealing with Maritime Oil Spills The Public and Media Engagement Case 1: The Exxon Valdez Spill Case 2: The Erika Disaster Case 3: Prestige Spill Transforming Civic Pressure into Hard Law The International Maritime Organization Follow up Erika, Prestige, and EU Engagement EU and IMO Civic Mobilization, Media Pressure, and Legislation Civic Engagement Against Corruption The Publish What You Pay Initiative Putting the Issue on Business and Policy Agendas The Extractive Industries' Transparency Initiative as a Champion of Transparent Business Successful International Endorsement Civic Participation at the Core The Logic of Civic Governance Standards as an alternative to Hard Law The Forest Stewardship Case The Retailing Industry and the Ethical Trading Initiative Several Trajectories to Sustainability Note References 10. Bringing the State Back In Purpose and Agency Ambidexterity for Crisis Management The Scale of the Crises The Public Economy Saving Operation The Public Economy's Role as a Tool of Crisis Management The Erosion of Fairness Monetarist Super-Keynesianism Inequality and Unfairness Monetarist 'Super-Keynesianism' without Political Control Pro-Social and Sustainability Concerns Notes References 11. Governing Transitions Governing Green Transition Green Transition at the City Level Governing Transition to Fairness and an Inclusive Digital Economy Towards an Agora Economy? References 12. Polycentric Governance in a Bipolar World Polycentric Governance as a Remedy for Asymmetric Globalization? Governance in a Bipolar World Governance Challenges Liberal Society at Stake Index