Search results

The purpose of the paper is to highlight the opportunity that exists within the ambience of peace in the Niger Delta precipitated by the amnesty deal; particularly for the oil‐multinationals that operate there, to re‐invent the delivery of corporate social responsibility (CSR) to maintain peaceful relations with their hosts and therefore optimize their business potentials.

The method is purely a review of extant literatures and deductive arguments that will give insights to how conflict situations arising from denial of rights can be resolved through the CSR and stakeholder's perspective.

The paper concludes that the oil‐multinationals operating in the Niger Delta region ought to take advantage of the ambience of relative peace which has been created by the amnesty initiative to re‐invent their relationship with their host‐communities.

The oil‐multinationals must seize the opportunity of a peaceful operating environment precipitated by the amnesty deal to engage with their host‐communities more objectively. This move will contribute to a healthy relationship between both parties and contribute to sustainable peace, which is a requisite to the sustainable exploitation of oil resources in the region, sustainable development of the resource, region and country.

The paper draws upon the hypotheses in extant literature that argue that there is a link between the local expectations of oil‐multinationals CSR, its actual delivery and violent conflicts in the Niger Delta region. It however moves the discourse forward by highlighting the window of opportunity that the federal government's amnesty initiative has opened to reassess CSR thinking, strategies and implementation.

The crisis in the Niger Delta predates discovery of oil in large quantities at Oloibiri in 1956. Before independence in 1960, conflict in the region took the form of agitation for political representation and protection against marginalization by the dominant ethnic groups. However, this crisis took a new dimension in the early 1990s as oil became a major source of foreign exchange and the derivation formula was changed in favour of the federal government with negative consequences on the local people (the need to maintain constant flow of oil have resulted to gross violation of the local people's rights by the state and the oil multinationals) especially under the military regimes. The entrenchment of democracy in the late 1990s further escalated the tripartite conflict between the state, oil multinationals and host communities as the complex crisis drew global attention. The formation of Movement for the Survival of Ogoni People (MOSOP) and Ijaw Youth Council (IYC) in the 1990s to challenge the abuse of human rights over four decades was overwhelmed applauded by the local people of the region. More importantly, MOSOP was the first social movement in the region to have internationalized the plight of the local people while IYC took over from the period when MOSOP had some internal crises that undermined its struggle.

Equally the achievements of MOSOP and IYC have instigated the formation of other social movements in the Niger Delta as a whole. The pressure from these social movements might have accounted for sudden change of policies by the state and the major oil multinationals in the mid-1990s. However, the fundamental question is to what extent the social movements (MOSOP/IYC) and International civil society have been successful with the issue of human rights abuse in the region.

Purpose – This chapter examines how irresponsible corporate activities (environmental pollution, human rights abuses, tax evasion, corruption and contract scandals) of some multinational oil companies in the Niger Delta influence stakeholders’ perception of their image/reputation in Nigeria.

Methodology – The objective of this chapter is accomplished through the review of literature on the activities of multinational oil corporations in the Niger Delta, supported by qualitative interviews and analysis of archival materials.

Findings – Three important findings emerged from this study. First, the participants were fully aware of the irresponsible behaviours of oil corporations in the Niger Delta, and some oil corporations were involved in these illicit acts. Second, the analysis of archival materials supports the participants' views with reference to the identities of the corporations involved in these criminal acts. Third, the absence of a strong corporate governance system in Nigeria makes it possible for the officials of oil corporations to tactically circumvent the law by involving in a maze of sophisticated corrupt acts.

Research/practical implications – The implication for the academics and practitioners is evident when a corporation implements corporate social responsibility dutifully; it generates positive impact on its corporate reputation rating. Conversely, when a corporation engages in irresponsible corporate misbehaviours, it attracts negative consequences on its reputation.

Originality – The originality of this chapter lies in the fact that it is the first empirical study to examine the impact of corporate social irresponsibility on the image/reputation of multinational oil corporations in Nigeria.

The purpose of this paper is to critically examine the multinational oil companies' (MOCs) corporate social responsibility (CSR) initiatives in Nigeria. Its special focus is to investigate the scepticism of stakeholders in the producing communities about the long‐term effect and the beneficiaries of the oil companies' CSR/community development initiatives.

This paper employs a qualitative methodology, drawing on semi‐structured interviews conducted in Nigeria and London. The field work was carried out in Nigeria (Abuja, Lagos and Port‐Harcourt) and in London, UK. Visits were made to the head offices of the MOCs; Ministry of Petroleum and the Nigeria National Petroleum Commission; and the office of The Movement for the Survival of the Ogoni People in the Niger Delta. In London, Shell International Office was visited.

The study found that expectations of host communities in the Niger Delta for CSR/community development initiatives are greater. The communities above all want social development projects that provide hope of a stable and prosperous future. The companies, on the other hand, have embraced development initiatives primarily in order to demonstrate that they are socially responsible.

If the host communities do not feel that the CSR projects will create a sustainable economic development, they will keep agitating for change and create an hostile environment for multinational enterprises (MNEs).

This research adds to the literature on MNEs' CSR initiatives in developing countries and rationale for demands for social projects by host communities. It concludes that business has an obligation to help in solving problems of public concern.

This study aims to develop a framework that enables the identification of sustainability factors from industry-specific environmental issues, and it proposes that these factors, in turn, can influence the corporate environmental performance (CEP) of firms in such an industry. It also validates the factor identification aspect of the framework.

The paper starts by reviewing relevant literature extensively and then developing an issue-based environmental sustainability framework to highlight the structural relationship of industry-specific sustainability factors with CEP. By involving 131 participants from academics in Niger Delta, the paper uses exploratory factor analysis techniques to reduce industry-specific sustainability factors from several environmental and socio-economic issues in the Nigerian oil and gas (O&G) industry.

Environmental risk originates from business environmental issues, and it triggers community reaction, which impacts negatively on corporate image. The nature of firm’s strategic responsiveness to these factors determines CEP.

The study draws from the perspectives of academics on environmental issues in Niger Delta to validate the factor identification aspect of the framework. The views of other stakeholders are not included, and hence, it should be applied with caution.

Useful in identifying and managing industry-specific environmental issues, and thus, achieving some sustainable development objectives.

Although most previous studies have focused on generic CEP drivers, this study proposes sustainability factors that can originate from industry-specific environmental issues as crucial drivers of CEP in such an industry. It provides empirical evidence of such credible sustainability factors emerging from the Nigerian O&G industry’s environmental issues.

This paper aims to explore the laws that govern Foreign Direct Investment (FDI) in Nigeria. The history of company law and the rise of multinational corporations clearly illustrate the attempts by the Nigerian Government to encourage the inflow of FDI. The different stages of Nigeria’s legal development will be examined in this paper and subsequently an assessment of the laws regulating FDI in the different investment sectors will be in focus.

This paper uses a doctrinal approach by undertaking a sectorial analysis of different sectors or segments of the Nigerian economy highlighting their various regulatory frameworks. The agricultural, steel, banking, employment and oil sectors is focussed in this paper.

This paper demonstrates that for FDI to have positive impacts on the different sectors of the Nigerian economy, the various laws regulating the different sectors should be amended to reflect current realities.

This paper provides a fresh illumination or analysis to the legal barriers inhibiting FDI in Nigeria. It does this by highlighting the various laws affecting FDI in different sectors of the Nigerian economy.

The purpose of this paper is to examine how shadow constituents are redefining corporate social responsibility (CSR) through activism, and how oil companies in Nigeria are responding to this development.

This paper contributes to the conceptual framework of CSR which asserts that whereas all stakeholders of a company do not have an equal say in its strategic direction, they are affected by such direction, and must hence be considered.

The findings reveal these points: activists are gaining a strong foothold in forcing oil companies to cooperate with their vision of social change; Nigeria lacks legislation compelling oil companies to contribute to the development of their host communities; and although internal oil company documents suggest efforts to help their hosts communities have been made, no meaningful agreement between the oil companies and the indigenous communities have been reached.

The paper encourages a broader conception of CSR. Shadow constituents have become such influence wielding stakeholders in organizations today that we need to explore more fully the role they play in dictating public agenda and influencing policy globally.

Multinational corporations can develop a better understanding of strategies and techniques that can enable them to balance the interests of a wider group of stakeholders and manage the interconnected social, environmental and economic impacts of their businesses.

This paper enriches the research database on CSR.

The purpose of this chapter is to critically examine the extent to which oil multinational corporations (MNCs) can be both money makers and peace makers in the Niger Delta area of Nigeria, and to consider its implication for the role of business in conflict mitigation in resource-rich African countries.

The chapter presents a theoretical analysis based on secondary data and empirical research.

There is now an emerging consensus that business can be peace makers and money makers in developing countries as part of their social responsibility. However, the tendency to explore business-conflict linkage largely from a business perspective and to see conflict as an “incidence” that business has to respond to, as opposed to a “dynamic process” that is a function of the breakdown of stakeholder relationship, limits our understanding of the relationship between business and conflict. Focusing on the Niger Delta in Nigeria, it is argued that the contradictory tension inherent in the peace making efforts of oil MNCs and the nature of their core business activities (i.e., oil extraction) limits the incentives and undermines the capacity of oil MNCs to be peace makers.

The chapter contributes a critical perspective to the literature on business and conflict informed by nearly two decades of empirical research undertaken by the author in Africa. It analyzes how contextual factors in resource-rich African countries, previously neglected in the literature, influence both the willingness and ability of business to contribute to peace. It concludes by discussing the theoretical and practical implications for the role of business in conflict zones.

The purpose of this paper is to determine the level of corporate social responsibility (CSR) that is expected of oil‐multinationals by the host‐communities in which they operate in Nigeria's oil‐rich Delta region. It also suggests how the aggressive opposition of the host‐community to the oil exploration activities of oil companies may be curbed.

The method is purely review of extant literatures and deductive arguments that will give insights to how conflict situations arising from denial of rights can be resolved through CSR and stakeholder's perspective.

The paper concludes that the major determinant of success of most companies in the world rest in the performance of their CSR to the host‐community, stakeholders and the society in general.

The oil‐companies operating in the Niger Delta region have to re‐assess their CSR objectives towards improving their delivery to the intended beneficiaries otherwise the pervasive violent conflicts in the region will persist with adverse consequences on the corporate image, reduced profits of the oil‐companies and high cost of the product due to disruptions in production.

The paper usefully points out that the Niger Delta region that hosts Nigeria's oil upstream sector has been enmeshed in violent conflicts essentially due to the adverse socio‐environmental effects the industry has on their communities. The companies however assert that they operate as responsible corporate entities and as such their operations and activities benefits their host‐communities rather than induce violent conflicts.