Business & Society

Unpacking Indigenous Social Mobility: Entrepreneurs, Social Networks, and Connections to Culture
Côté R and Evans M
In settler societies, upward social mobility by Indigenous people is seen in the growth of successful professional and entrepreneurial classes where both wealth creation and social power are significant resources. Yet, public and academic discourses perpetuate the belief that social mobility impacts negatively on Indigenous people by placing cultural identity in conflict with capitalist business practices. Using data from an international comparison consisting of interviews with 220 Indigenous entrepreneurs in research sites across three countries, this article shows that the belief is unfounded and reveals how this duality creates an impossible tension when Indigenous cultural identity is framed as "at risk" because of social mobility. A discursive colonial mind-set remains a central, enduring and problematic organizing principle of the field of Indigenous social mobility, one that requires a shift in the kinds of research questions that are asked and the ways in which social mobility is ultimately defined.
Enacting a Grand Challenge for Business and Society: Theorizing Issue Maturation in the Media-Based Public Discourse on COVID-19 in Three National Contexts
Schwoon B, Schoeneborn D and Scherer AG
While today it is universally acknowledged that COVID-19 has generated immense challenges for businesses and societies worldwide, public perceptions varied significantly at the time of the pandemic's initial appearance, even among democratic societies with comparable media systems. The growing scholarship on grand societal challenges in management and organization studies, however, tends to neglect the initial social construction of issues as complex, uncertain, evaluative, and widespread. We address this shortcoming by exploring the initial communicative enactment of COVID-19 in the media-based public discourse in Switzerland, Germany, and the United Kingdom. By applying a social problem work lens, we identify three mechanisms that explain the maturation of COVID-19 into a grand challenge, further showing how these are contextually dependent on differences in discourse quality. We add to research on grand challenges, issue maturation, and framing dynamics by theorizing how issues become constructed and acknowledged as grand challenges in the first place.
Alternative Organizations as Systems Hijacking: The Commercial Trust as a Thought Experiment
Hachigian HM
The COVID-19 crisis has renewed interest in alternative forms of organizing business and investment but our understanding of how these organizations can transform social systems is limited. The purpose of this article is to contribute to this understanding. In the context of one of the greatest transfers of wealth in global retail history that could see unprecedented numbers of businesses close or sold to distant, private interests, the article performs a thought experiment using the analogy of a commercial trust to encourage new ideas and critical reflection on community wealth building. The article introduces systems hijacking-a process of leveraging incumbent forms and systems in which they are embedded for new purposes-as an analytically useful concept for understanding how alternative organizations can transform social systems. The article finds organizational governance is necessary to transcend structural deficiencies in inherited or borrowed forms to make way for transformation.
Corporate Social Responsibility and Directors' and Officers' Liability Risk: The Moderating Effect of Risk Environment and Growth Potential
Lu H, Boyer MM and Kleffner A
Theoretical arguments regarding the effect of corporate social responsibility (CSR) on firm liability risk are abundant; however, empirical evidence about this relationship is scarce. We investigate the relationship between CSR and the personal liability risk of a firm's directors and officers. We argue that companies with better CSR performance represent a better underwriting risk for directors' and officers' (D&O) insurance providers and, therefore, have a lower cost of insurance. Our results show that firms with better CSR performance are more likely to purchase D&O insurance and have a lower premium-to-coverage ratio, known as the insurance . We also show that this risk-reduction effect is stronger for firms that operate in a high-risk environment and have higher sales growth. These results provide evidence that CSR can be used as a risk management tool to mitigate liability risk and suggest which firms benefit most from this effect.
The State of Research on Africa in Business and Management: Insights From a Systematic Review of Key International Journals
Kolk A and Rivera-Santos M
Aiming at a better understanding of the extent to which Africa-focused research has helped develop context-bound, context-specific, and context-free knowledge, the authors present the findings from a literature review of journal articles with an African context. A systematic search resulted in 271 articles with African data and 139 Africa-focused articles published in 63 top business journals and related (sub)disciplines from 2010 onwards. The sample included all journals belonging to the University of Texas (UT) Dallas and research rankings, as well as the main international business, and business and society outlets. An in-depth analysis of the 139 Africa-focused articles shows an important imbalance in terms of publication patterns, topics covered, theoretical groundings, types of contributions, approaches to the African contexts, and empirics. Building on this exhaustive literature review, the authors provide specific suggestions regarding potential data sources and empirical strategies in African contexts, propose avenues for future research, and introduce four recent studies included in the special issue.
Why Leading Consumer Product Companies Develop Proactive Chemical Management Strategies
Scruggs CE and Van Buren HJ
Scholars have studied the various pressures that companies face related to socially responsible behavior when stakeholders know the particular social issues under consideration. Many have examined social responsibility in the context of environmental responsibility and the general approaches companies take regarding environmental management. The issue of currently unregulated, but potentially hazardous, chemicals in consumer products is not well understood by the general public, but a number of proactive consumer product companies have voluntarily adopted strategies to minimize use of such chemicals. These companies are exceeding regulatory requirements by restricting from their products chemicals that could harm human or environmental health, despite the fact that these actions are costly. They do not usually advertise the details of their strategies to end consumers. This article uses interviews with senior environmental directors of 20 multinational consumer product companies to investigate why these companies engage in voluntary chemicals management. The authors conclude that the most significant reasons are to achieve a competitive advantage and stay ahead of regulations, manage relationships and maintain legitimacy with stakeholders, and put managerial values into practice. Many of the characteristics related to the case of chemicals management are extendable to other areas of stakeholder management in which risks to stakeholders are either unknown or poorly understood.
Putting a Face on the Issue: Corporate Stakeholder Mobilization in Professional Grassroots Lobbying Campaigns
Walker ET
Business scholars pay increasing attention to the expanded influence of stakeholders on firm strategies, legitimacy, and competitiveness. At the same time, analysts have noted that the transformed regulatory and legislative environments of recent decades have encouraged firms to become much more politically active. Surprisingly, relatively little research has tied together these two trends. The present study integrates perspectives on stakeholder management with research on corporate political activity to develop an understanding of the structural sources of stakeholder mobilization in professional grassroots lobbying campaigns. This study employs a unique, original data source to consider how the adoption of grassroots lobbying by a firm relates to its industry, degree of inside lobbying, partisan PAC contributions, and more. This research shows that corporate grassroots lobbying is shaped most significantly by a firm's degree of inside lobbying, as highly active firms take a diversified strategy for gaining influence. Firms in industries with a heavy public presence as well as those concerned with taxation, government appropriations, and economic development also adopt these strategies readily. PAC contributions to Republican, but not Democratic, candidates also heighten firms' propensity to lobby the public.