Corporate social responsibility in the mining industry in Latin America: a multiactor model
Abstract This paper analyzes the perceptions of mining companies and their stakeholders in five Latin American countries. Through interviews, it addresses the dimensions of the analysis related to the companies’ role in the communities, the relationships among actors and community involvement in decision-making. Results show different visions and relevant conclusions, among them the need for an effective implementation of the multi-actor model to improve Corporate Social Responsibility and reduce conflict.
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Akiwumi, F. A. (2014). Strangers and Sierra Leone mining: cultural heritage and sustainable development challenges. Journal of Cleaner Production, 84, 773-782. https://doi.org/10.1016/j.jclepro.2013.12.078.
Arellano-Yanguas, J. (2011). Aggravating the resource curse: decentralisation, mining and conflict in Peru. The Journal of Development Studies, 47(4), 617-638. https://doi.org/10.1080/00220381003706478.
Babi, K., Asselin, H. y Benzaazoua, M. (2016). Stakeholders’ perceptions of sustainable mining in Morocco: a case study of the abandoned Kettara mine. The Extractive Industries and Society, 3(1), 185-192. https://doi.org/10.1016/j.exis.2015.11.007.
Barnett, M. L. (2007). Stakeholder influence capacity and the variability of financial returns to corporate social responsibility. Academy of Management Review, 32(3), 794-816. https://doi.org/10.5465/amr.2007.25275520.
Basu, P. K., Hicks, J., Krivokapic-Skoko, B. y Sherley, C. (2015). Mining operations and corporate social responsibility: A case study of a large gold mine in regional Australia. The Extractive Industries and Society, 2(3), 531-539. https://doi.org/10.1016/j.exis.2015.03.002.
Bright, D. (2006). Virtuousness is necessary for genuineness in corporate philanthropy. Academy of Management Review, 31(3), 752-754. https://doi.org/10.5465/amr.2006.21318929.
Campbell, D. y Slack, R. (2007). The strategic use of corporate philanthropy: building societies and demutualisation defences. Business Ethics: A European Review, 16(4), 326-343. https://doi.org/10.1111/j.1467-8608.2007.00507.x.
Campero, C. y Barton, J. R. (2015). ‘You have to be with God and the Devil’: Linking Bolivia’s Extractive Industries and Local Development through Social Licences. Bulletin of Latin American Research, 34(2), 167-183. h.
Casanova, L. y Dumas, A. (2009). Corporate social responsibility and Latin American multinationals. http://dx.doi.org/10.2139/ssrn.1526986.
Chen, J. C. y Roberts, R. W. (2010). Toward a more coherent understanding of the organization-society relationship: A theoretical consideration for social and environmental accounting research. Journal of Business Ethics, 97(4), 651-665. https://doi.org/10.1007/s10551-010-0531-0.
Cisneros, P. y Christel, L. (2014). The democracy deficit of corporate social responsibility in post-neoliberal times: an analysis of the Argentinian and Ecuadorian experiences. Journal of Cleaner Production, 84, 174-182. https://doi.org/10.1016/j.jclepro.2014.03.032.
Conde, M. (2017). Resistance to mining. A review. Ecological Economics, 132, 80-90. https://doi.org/10.1016/j.ecolecon.2016.08.025.
Dahlsrud, A. (2008). How corporate social responsibility is defined: an analysis of 37 definitions. Corporate Social Responsibility and Environmental Management, 15(1), 1-13. https://doi.org/10.1002/csr.132
Davidson, D. K. (2003). Selling sin: The marketing of socially unacceptable products. Greenwood Publishing Group.
Deegan, C. (2006), «Legitimacy theory», in Hogue, Z. (Ed.), Methodological Issues in Accounting Research: Theories and Methods, Spiramus Press, London, pp. 161-182.
De?Miguel?Molina, B., Chirivella?González, V. y García?Ortega, B. (2019). CEO letters: Social license tooperate and community involvement in the mining industry. Business Ethics: A European Review, 28(1), 36-55. https://doi.org/10.1111/beer.12205.
Dobele, A. R., Westberg, K., Steel, M. y Flowers, K. (2014). An examination of corporate social responsibility implementation and stakeholder engagement: A case study in the Australian mining industry. Business Strategy and the Environment, 23(3), 145-159. https://doi.org/10.1002/bse.1775.
Dong, S., Burritt, R. y Qian, W. (2014). Salient stakeholders in corporate social responsibility reporting by Chinese mining and minerals companies. Journal of Cleaner Production, 84, 59-69. https://doi.org/10.1016/j.jclepro.2014.01.012.
Freeman, R. E. (1984). Strategic Management: A Stakeholder Approach. Boston: Pitman.
Frynas, J. G. (2005). The false developmental promise of corporate social responsibility: Evidence from multinational oil companies. International Affairs, 81(3), 581-598. https://doi.org/10.1111/j.1468-2346.2005.00470.x.
Ghalib, A. K. y Agupusi, P. (2014). Business strategy and corporate responsibility: perception and practice in the oil industry and the role of non-governmental organisations. Journal of Business Economics and Management, 15(5), 951-963. https://doi.org/10.3846/16111699.2012.720591.
Gifford, B. y Kestler, A. (2008). Toward a theory of local legitimacy by MNEs in developing nations: Newmont mining and health sustainable development in Peru. Journal of International Management, 14(4), 340-352. https://doi.org/10.1016/j.intman.2007.09.005.
Gifford, B., Kestler, A. y Anand, S. (2010). Building local legitimacy into corporate social responsibility: Gold mining firms in developing nations. Journal of World business, 45(3), 304-311. https://doi.org/10.1016/j.jwb.2009.09.007.
Godfrey, P. C. (2006). A Reply to Bright: Virtuousness and the Virtues of the Market. Academy of Management Review, 31(3), 754-756. https://doi.org/10.5465/amr.2006.21318930.
Govindan, K., Kannan, D. y Shankar, K. M. (2014). Evaluating the drivers of corporate social responsibility in the mining industry with multi-criteria approach: A multistakeholder perspective. Journal of Cleaner Production, 84, 214-232. https://doi.org/10.1016/j.jclepro.2013.12.065.
Grougiou, V., Dedoulis, E. y Leventis, S. (2016). Corporate social responsibility reporting and organizational stigma: The case of «sin» industries. Journal of Business Research, 69(2), 905-914. https://doi.org/10.1016/j.jbusres.2015.06.041.
Haslam, P. A. y Tanimoune, N. A. (2016). The determinants of social conflict in the Latin American mining sector: New evidence with quantitative data. World Development, 78, 401-419. https://doi.org/10.1016/j.worlddev.2015.10.020.
Hilson, G. (2012). Corporate Social Responsibility in the extractive industries: Experiences from developing countries. Resources Policy, 37(2), 131-137. https://doi.org/10.1016/j.resourpol.2012.01.002
Holley, E. A. y Mitcham, C. (2016). The Pebble Mine Dialogue: A case study in public engagement and the social license to operate. Resources Policy, 47, 18-27. https://doi.org/10.1016/j.resourpol.2015.11.002.
Jenkins, H. y Yakovleva, N. (2006). Corporate social responsibility in the mining industry: Exploring trends in social and environmental disclosure. Journal of Cleaner Production, 14(3-4), 271-284. https://doi.org/10.1016/j.jclepro.2004.10.004.
Kapelus, P. (2002). Mining, corporate social responsibility and the «community»: The case of Rio Tinto, Richards Bay Minerals and the Mbonambi. Journal of Business Ethics, 39(3), 275-296. https://doi.org/10.1023/A:1016570929359.
Kilian, T. y Hennigs, N. (2014). Corporate social responsibility and environmental reporting in controversial industries. European Business Review. https://doi.org/10.1108/EBR-04-2013-0080.
Kowalska, I. J. (2014). Risk management in the hard coal mining industry: Social and environmental aspects of collieries’ liquidation. Resources Policy, 41, 124-134. https://doi.org/10.1016/j.resourpol.2014.05.002.
Larrinaga, O. V. y Rodríguez, J. L. (2010). El estudio de casos como metodología de investigación científica en dirección y economía de la empresa. Una aplicación a la internacionalización. Investigaciones Europeas de Dirección y Economía de la Empresa, 16(3), 31-52. https://doi.org/10.1016/S1135-2523(12)60033-1.
López-Morales, J. S., Ortega-Ridaura, I. y Ortiz-Betancourt, I. (2017). Strategies of corporate social responsibility in Latin America: a content analysis in the extractive industry. AD-minister, (31), 115-135. http://dx.doi.org/10.17230/ad-minister.31.7.
López-Navarro, M. A., Tortosa-Edo, V. y Castán-Broto, V. (2018). Firm-local community relationships in polluting industrial agglomerations: How firms’ commitment determines residents’ perceptions. Journal of Cleaner Production, 186, 22-33. https://doi.org/10.1016/j.jclepro.2018.03.071.
Mzembe, A. N. y Meaton, J. (2014). Driving corporate social responsibility in the Malawian mining industry: a stakeholder perspective. Corporate Social Responsibility and Environmental Management, 21(4), 189-201. https://doi.org/10.1002/csr.1319.
Newenham-Kahindi, A. M. (2011). A global mining corporation and local communities in the lake Victoria zone: The case of Barrick Gold multinational in Tanzania. Journal of Business Ethics, 99(2), 253-282. https://doi.org/10.1007/s10551-010-0653-4.
O’Faircheallaigh, C. (2015). Social equity and large mining projects: Voluntary industry initiatives, public regulation and community development agreements. Journal of Business Ethics, 132(1), 91-103. https://doi.org/10.1007/s10551-014-2308-3.
Parmar, B. L., Freeman, R. E., Harrison, J. S., Wicks, A. C., Purnell, L. y De Colle, S. (2010). Stakeholder theory: The state of the art. The Academy of Management Annals, 4(1), 403-445. https://doi.org/10.1080/19416520.2010.495581.
Parsons, R. y Moffat, K. (2014). Integrating impact and relational dimensions of social licence and social impact assessment. Impact Assessment and Project Appraisal, 32(4), 273-282. https://doi.org/10.1080/14615517.2014.936107.
Porter, M. y Kramer, M. (2006). 2006, ‘Strategy and Society: The Link Between Competitive Advantage and Corporate Social Responsibility’. Harvard Business Review, 84(12), pp. 78-92.
Slack, K. (2012). Mission impossible?: Adopting a CSR-based business model for extractive industries in developing countries. Resources Policy, 37(2), 179-184. https://doi.org/10.1016/j.resourpol.2011.02.003.
Van der Plank, S., Walsh, B. y Behrens, P. (2016). The expected impacts of mining: Stakeholder perceptions of a proposed mineral sands mine in rural Australia. Resources Policy, 48, 129-136. https://doi.org/10.1016/j.resourpol.2016.03.005.
Viveros, H. (2016). Examining stakeholders’ perceptions of mining impacts and corporate social responsibility. Corporate Social Responsibility and Environmental Management, 23(1), 50-64. https://doi.org/10.1002/csr.1363.
Williams, R. J. y Barrett, J. D. (2000). Corporate philanthropy, criminal activity, and firm reputation: Is there a link? Journal of Business Ethics, 26(4), 341-350. https://doi.org/10.1023/A:1006282312238.
Yakovleva, N. y Vazquez-Brust, D. (2012). Stakeholder perspectives on CSR of mining MNCs in Argentina. Journal of Business Ethics, 106(2), 191-211. https://doi.org/10.1007/s10551-011-0989-4
Yin, R. (1984). Case study research. Beverly Hills. CA: Sage.
Arellano-Yanguas, J. (2011). Aggravating the resource curse: decentralisation, mining and conflict in Peru. The Journal of Development Studies, 47(4), 617-638. https://doi.org/10.1080/00220381003706478.
Babi, K., Asselin, H. y Benzaazoua, M. (2016). Stakeholders’ perceptions of sustainable mining in Morocco: a case study of the abandoned Kettara mine. The Extractive Industries and Society, 3(1), 185-192. https://doi.org/10.1016/j.exis.2015.11.007.
Barnett, M. L. (2007). Stakeholder influence capacity and the variability of financial returns to corporate social responsibility. Academy of Management Review, 32(3), 794-816. https://doi.org/10.5465/amr.2007.25275520.
Basu, P. K., Hicks, J., Krivokapic-Skoko, B. y Sherley, C. (2015). Mining operations and corporate social responsibility: A case study of a large gold mine in regional Australia. The Extractive Industries and Society, 2(3), 531-539. https://doi.org/10.1016/j.exis.2015.03.002.
Bright, D. (2006). Virtuousness is necessary for genuineness in corporate philanthropy. Academy of Management Review, 31(3), 752-754. https://doi.org/10.5465/amr.2006.21318929.
Campbell, D. y Slack, R. (2007). The strategic use of corporate philanthropy: building societies and demutualisation defences. Business Ethics: A European Review, 16(4), 326-343. https://doi.org/10.1111/j.1467-8608.2007.00507.x.
Campero, C. y Barton, J. R. (2015). ‘You have to be with God and the Devil’: Linking Bolivia’s Extractive Industries and Local Development through Social Licences. Bulletin of Latin American Research, 34(2), 167-183. h.
Casanova, L. y Dumas, A. (2009). Corporate social responsibility and Latin American multinationals. http://dx.doi.org/10.2139/ssrn.1526986.
Chen, J. C. y Roberts, R. W. (2010). Toward a more coherent understanding of the organization-society relationship: A theoretical consideration for social and environmental accounting research. Journal of Business Ethics, 97(4), 651-665. https://doi.org/10.1007/s10551-010-0531-0.
Cisneros, P. y Christel, L. (2014). The democracy deficit of corporate social responsibility in post-neoliberal times: an analysis of the Argentinian and Ecuadorian experiences. Journal of Cleaner Production, 84, 174-182. https://doi.org/10.1016/j.jclepro.2014.03.032.
Conde, M. (2017). Resistance to mining. A review. Ecological Economics, 132, 80-90. https://doi.org/10.1016/j.ecolecon.2016.08.025.
Dahlsrud, A. (2008). How corporate social responsibility is defined: an analysis of 37 definitions. Corporate Social Responsibility and Environmental Management, 15(1), 1-13. https://doi.org/10.1002/csr.132
Davidson, D. K. (2003). Selling sin: The marketing of socially unacceptable products. Greenwood Publishing Group.
Deegan, C. (2006), «Legitimacy theory», in Hogue, Z. (Ed.), Methodological Issues in Accounting Research: Theories and Methods, Spiramus Press, London, pp. 161-182.
De?Miguel?Molina, B., Chirivella?González, V. y García?Ortega, B. (2019). CEO letters: Social license tooperate and community involvement in the mining industry. Business Ethics: A European Review, 28(1), 36-55. https://doi.org/10.1111/beer.12205.
Dobele, A. R., Westberg, K., Steel, M. y Flowers, K. (2014). An examination of corporate social responsibility implementation and stakeholder engagement: A case study in the Australian mining industry. Business Strategy and the Environment, 23(3), 145-159. https://doi.org/10.1002/bse.1775.
Dong, S., Burritt, R. y Qian, W. (2014). Salient stakeholders in corporate social responsibility reporting by Chinese mining and minerals companies. Journal of Cleaner Production, 84, 59-69. https://doi.org/10.1016/j.jclepro.2014.01.012.
Freeman, R. E. (1984). Strategic Management: A Stakeholder Approach. Boston: Pitman.
Frynas, J. G. (2005). The false developmental promise of corporate social responsibility: Evidence from multinational oil companies. International Affairs, 81(3), 581-598. https://doi.org/10.1111/j.1468-2346.2005.00470.x.
Ghalib, A. K. y Agupusi, P. (2014). Business strategy and corporate responsibility: perception and practice in the oil industry and the role of non-governmental organisations. Journal of Business Economics and Management, 15(5), 951-963. https://doi.org/10.3846/16111699.2012.720591.
Gifford, B. y Kestler, A. (2008). Toward a theory of local legitimacy by MNEs in developing nations: Newmont mining and health sustainable development in Peru. Journal of International Management, 14(4), 340-352. https://doi.org/10.1016/j.intman.2007.09.005.
Gifford, B., Kestler, A. y Anand, S. (2010). Building local legitimacy into corporate social responsibility: Gold mining firms in developing nations. Journal of World business, 45(3), 304-311. https://doi.org/10.1016/j.jwb.2009.09.007.
Godfrey, P. C. (2006). A Reply to Bright: Virtuousness and the Virtues of the Market. Academy of Management Review, 31(3), 754-756. https://doi.org/10.5465/amr.2006.21318930.
Govindan, K., Kannan, D. y Shankar, K. M. (2014). Evaluating the drivers of corporate social responsibility in the mining industry with multi-criteria approach: A multistakeholder perspective. Journal of Cleaner Production, 84, 214-232. https://doi.org/10.1016/j.jclepro.2013.12.065.
Grougiou, V., Dedoulis, E. y Leventis, S. (2016). Corporate social responsibility reporting and organizational stigma: The case of «sin» industries. Journal of Business Research, 69(2), 905-914. https://doi.org/10.1016/j.jbusres.2015.06.041.
Haslam, P. A. y Tanimoune, N. A. (2016). The determinants of social conflict in the Latin American mining sector: New evidence with quantitative data. World Development, 78, 401-419. https://doi.org/10.1016/j.worlddev.2015.10.020.
Hilson, G. (2012). Corporate Social Responsibility in the extractive industries: Experiences from developing countries. Resources Policy, 37(2), 131-137. https://doi.org/10.1016/j.resourpol.2012.01.002
Holley, E. A. y Mitcham, C. (2016). The Pebble Mine Dialogue: A case study in public engagement and the social license to operate. Resources Policy, 47, 18-27. https://doi.org/10.1016/j.resourpol.2015.11.002.
Jenkins, H. y Yakovleva, N. (2006). Corporate social responsibility in the mining industry: Exploring trends in social and environmental disclosure. Journal of Cleaner Production, 14(3-4), 271-284. https://doi.org/10.1016/j.jclepro.2004.10.004.
Kapelus, P. (2002). Mining, corporate social responsibility and the «community»: The case of Rio Tinto, Richards Bay Minerals and the Mbonambi. Journal of Business Ethics, 39(3), 275-296. https://doi.org/10.1023/A:1016570929359.
Kilian, T. y Hennigs, N. (2014). Corporate social responsibility and environmental reporting in controversial industries. European Business Review. https://doi.org/10.1108/EBR-04-2013-0080.
Kowalska, I. J. (2014). Risk management in the hard coal mining industry: Social and environmental aspects of collieries’ liquidation. Resources Policy, 41, 124-134. https://doi.org/10.1016/j.resourpol.2014.05.002.
Larrinaga, O. V. y Rodríguez, J. L. (2010). El estudio de casos como metodología de investigación científica en dirección y economía de la empresa. Una aplicación a la internacionalización. Investigaciones Europeas de Dirección y Economía de la Empresa, 16(3), 31-52. https://doi.org/10.1016/S1135-2523(12)60033-1.
López-Morales, J. S., Ortega-Ridaura, I. y Ortiz-Betancourt, I. (2017). Strategies of corporate social responsibility in Latin America: a content analysis in the extractive industry. AD-minister, (31), 115-135. http://dx.doi.org/10.17230/ad-minister.31.7.
López-Navarro, M. A., Tortosa-Edo, V. y Castán-Broto, V. (2018). Firm-local community relationships in polluting industrial agglomerations: How firms’ commitment determines residents’ perceptions. Journal of Cleaner Production, 186, 22-33. https://doi.org/10.1016/j.jclepro.2018.03.071.
Mzembe, A. N. y Meaton, J. (2014). Driving corporate social responsibility in the Malawian mining industry: a stakeholder perspective. Corporate Social Responsibility and Environmental Management, 21(4), 189-201. https://doi.org/10.1002/csr.1319.
Newenham-Kahindi, A. M. (2011). A global mining corporation and local communities in the lake Victoria zone: The case of Barrick Gold multinational in Tanzania. Journal of Business Ethics, 99(2), 253-282. https://doi.org/10.1007/s10551-010-0653-4.
O’Faircheallaigh, C. (2015). Social equity and large mining projects: Voluntary industry initiatives, public regulation and community development agreements. Journal of Business Ethics, 132(1), 91-103. https://doi.org/10.1007/s10551-014-2308-3.
Parmar, B. L., Freeman, R. E., Harrison, J. S., Wicks, A. C., Purnell, L. y De Colle, S. (2010). Stakeholder theory: The state of the art. The Academy of Management Annals, 4(1), 403-445. https://doi.org/10.1080/19416520.2010.495581.
Parsons, R. y Moffat, K. (2014). Integrating impact and relational dimensions of social licence and social impact assessment. Impact Assessment and Project Appraisal, 32(4), 273-282. https://doi.org/10.1080/14615517.2014.936107.
Porter, M. y Kramer, M. (2006). 2006, ‘Strategy and Society: The Link Between Competitive Advantage and Corporate Social Responsibility’. Harvard Business Review, 84(12), pp. 78-92.
Slack, K. (2012). Mission impossible?: Adopting a CSR-based business model for extractive industries in developing countries. Resources Policy, 37(2), 179-184. https://doi.org/10.1016/j.resourpol.2011.02.003.
Van der Plank, S., Walsh, B. y Behrens, P. (2016). The expected impacts of mining: Stakeholder perceptions of a proposed mineral sands mine in rural Australia. Resources Policy, 48, 129-136. https://doi.org/10.1016/j.resourpol.2016.03.005.
Viveros, H. (2016). Examining stakeholders’ perceptions of mining impacts and corporate social responsibility. Corporate Social Responsibility and Environmental Management, 23(1), 50-64. https://doi.org/10.1002/csr.1363.
Williams, R. J. y Barrett, J. D. (2000). Corporate philanthropy, criminal activity, and firm reputation: Is there a link? Journal of Business Ethics, 26(4), 341-350. https://doi.org/10.1023/A:1006282312238.
Yakovleva, N. y Vazquez-Brust, D. (2012). Stakeholder perspectives on CSR of mining MNCs in Argentina. Journal of Business Ethics, 106(2), 191-211. https://doi.org/10.1007/s10551-011-0989-4
Yin, R. (1984). Case study research. Beverly Hills. CA: Sage.
García-Ortega, B., De-Miguel-Molina, B., & Chirivella-González, V. (2020). Corporate social responsibility in the mining industry in Latin America: a multiactor model. América Latina Hoy, 86, 23–40. https://doi.org/10.14201/alh.22369
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