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Corporate Sustainability: Greenwash Or a Path to Sustainable Capitalism? Corporate Sustainability: Greenwash or a Path to Sustainable Capitalism? By Samantha Jane Traies BA (Hons) Deakin University Submitted in Fulfilment of the Requirements for the Degree of Doctor of Philosophy Deakin University July 2005 Corporate Sustainability: Greenwash or a Path to Sustainable Capitalism? Deakin University Candidate Declaration I certify that the thesis entitled: Corporate Sustainability: Greenwash or a Path to Sustainable Capitalism? Submitted for the degree of Doctor of Philosophy: is the result of my own research, except where otherwise acknowledged, and that this thesis in whole or in part has not been submitted for an award, including a higher degree, to any other university or institution. Full Name: Samantha Jane Traies Signed: Date: 14/07/05 Page ii Corporate Sustainability: Greenwash or a Path to Sustainable Capitalism? Deakin University Access to Thesis – A I am the author of this thesis entitled: Corporate Sustainability: Greenwash or a Path to Sustainable Capitalism? Submitted for the degree of Doctor of Philosophy This thesis may be made available for consultation, loan and limited copying in accordance with the Copyright Act of 1968. Full Name: Samantha Jane Traies Signed: Date: 14/07/05 Page iii Corporate Sustainability: Greenwash or a Path to Sustainable Capitalism? Acknowledgements I would like to thank my Principal Supervisor, Dr. Kevin Brown for his support, guidance and humour - and my Associate Supervisor, Dr. Grazyna Zajdow for her insight and assistance at the vital moments where a pair of fresh eyes were needed. Thanks are also due to the forty-three corporate sector and NGO interviewees (representing forty-two organisations), without whom this research would not have been possible. Although I cannot mention them by name, I would like to thank them for taking valuable time out from their busy schedules to be involved with this research. Finally, for providing encouragement and putting up with my cranky moods, I would like to thank my partner Steve Cilia, and my mum Carol Traies. I would also like my cat Pookie for keeping me company. Page iv Corporate Sustainability: Greenwash or a Path to Sustainable Capitalism? TABLE OF CONTENTS Abstract................................................................................................ vii Introduction ............................................................................................1 CHAPTER 1 ‘Cannibals With Forks’ or Simply Cannibals? Corporate Citizenship and its Critics........................................................................ 10 1. Understanding Corporate Citizenship................................................ 12 The Triple Bottom Line .................................................................... 18 The Consensual Society................................................................... 19 Sustaining the Corporate Interest..................................................... 22 The Caged Beast............................................................................. 28 2. Critiques of ‘Sustainable’ Business, Alternative Conceptions of Environmental Sustainability and a Movement for Sustainability ............. 32 The Rise and Dominant Discourse of Sustainable Development........... 33 ‘Sustainable’ Instrumentalism........................................................... 36 Ecocentrism and Re-enchantment .................................................... 39 ‘Sustainable’ Exploitation and Alienation............................................ 43 A Classless Society .......................................................................... 48 A Movement for Sustainability: the Anti-corporate Movement ............. 51 The Transnational Capitalist Class and Ideology................................. 58 Greenwash ..................................................................................... 60 Partnerships as Cooption ................................................................. 64 CHAPTER 2 Research Methodology ......................................................... 72 Research Question .......................................................................... 72 Research Framework....................................................................... 73 Conducting the Research ................................................................. 80 Participants ................................................................................. 80 Interview Procedure..................................................................... 83 CHAPTER 3 Sustaining the Corporate Lifespan ......................................... 85 The Three Pillars of Sustainability..................................................... 85 The Financial ‘Heart’: The Real Bottom Line ...................................... 92 Sustaining the Corporate Lifespan .................................................... 94 A License to Operate....................................................................... 98 The Global Goldfish Bowl – Avoiding the Attention of Critical Stakeholders ............................................................................... 99 A ‘Bank of Goodwill’ – Getting Community and Employee Stakeholders Onside...................................................................................... 103 CHAPTER 4 The Voluntary and Flexible Path to Sustainability .................. 115 Evolutionary Requirements of ‘Development’ ................................... 116 The Global Market Fits into Societal Expectation .............................. 121 Citizenship through Flexible, Voluntary Commitments....................... 126 The Merits of Enforcing Citizenship Responsibilities .......................... 131 CHAPTER 5 For or Against the Market?.................................................. 141 Sustainable Markets?..................................................................... 141 Profitability................................................................................ 142 Market Position.......................................................................... 145 Consumer and Public Pressure .................................................... 148 Shareholder ‘Democracy’ ............................................................ 151 Page v Corporate Sustainability: Greenwash or a Path to Sustainable Capitalism? ‘Sustainable’ Companies with Unsustainable Practices ...................... 156 Downsizing as a Social Responsibility .......................................... 159 ‘Fair’ and ‘Ethical’ Dismissal ........................................................ 165 CHAPTER 6 Unsustainable Behaviour and the Path to Sustainability ......... 170 Individual Behaviour and the Need for a Wake-up Call ..................... 172 Citizen Consumers ..................................................................... 172 Direct Action ............................................................................. 175 Overcoming Public Indifference................................................... 178 The Global Economic Order............................................................ 183 Unfettered Business: Development or Exploitation?.......................... 186 Self-regulatory Corporate Citizenship .............................................. 194 Visions of Sustainability ................................................................. 199 ‘Wealth’ .................................................................................... 200 Regulation ................................................................................ 201 CHAPTER 7 Outsourcing Trust – Corporate and NGO Partnerships ........... 211 1. Corporate Perspectives on Engagement.......................................... 211 Getting Things Done ..................................................................... 212 Active Involvement Over Passive Contribution ................................. 214 An End to ‘Trench Warfare’............................................................ 215 Corporate Views on Campaigning NGOs.......................................... 218 2. NGO Perspectives on Engagement ................................................. 223 Accessing Resources and Changing Corporate Culture...................... 224 Uncritical Engagement and ‘Tough’ Engagement.............................. 227 Uncritical Engagement ............................................................... 228 ‘Tough’ Engagement .................................................................. 234 Refraining From Engagement......................................................... 237 CHAPTER 8 Conclusion: Is Corporate Sustainability Greenwash or a Path To Sustainable Capitalism?........................................................................ 244 Delineating the Meanings and Boundaries of Corporate Citizenship.... 245 Can Self-interest Lead to Sustainability?.......................................... 248 Comparing Corporate ‘Sustainability’ With More Radical Visions......... 256 The Purpose and Effect of Partnerships........................................... 262 The Corporate Sector................................................................. 263 The NGO Sector ........................................................................ 265 The Risks of Engagement - Unengaged NGOs .............................. 267 Summary ..................................................................................... 267 Appendix - Approximate Interview Questions......................................... 271 References.........................................................................................
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