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1 – 10 of over 30000This project explores tensions at the heart of the fair-trade organization Ten Thousand Villages. I investigate the ways in which this organization attempts to balance concerns of…
Abstract
Purpose
This project explores tensions at the heart of the fair-trade organization Ten Thousand Villages. I investigate the ways in which this organization attempts to balance concerns of North American staff and volunteers, to care for artisans abroad, and to incorporate expansion plans in the face of challenges raised by the recession.
Methodology/approach
This chapter draws on fieldwork with stores in Toronto (2011–2012) and ongoing fieldwork (summer 2014 and 2015) with the flagship store in Ephrata, Pennsylvania.
Findings
Members express continuing tension between the organization’s founding Mennonite values and the more recent orientation chosen by leadership, to compete successfully in “regular” retail space against non-fair-trade brands. Store staff and volunteers perceive Villages’ buying practices, meant to provide “fairness” to producers in the developing world, as somewhat inconsistent with the treatment of North American store employees. Corporate leadership is mainly focused on ameliorating poverty abroad, rather than framing the organization’s work in a broader social justice context, which store staff and volunteers expect.
Originality/value
At a time of increasing dialogue about alternative value systems that expand notions of economic worth, the fair-trade movement offers a useful model for one attempt to work within the market system to ameliorate its damages. Understanding how one organization negotiates its own competing value systems can provide useful perspective on other revaluation projects.
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The purpose of this paper is to examine the historical position of the ethical consumer as a driver of change within the Fair Trade movement. Fair Trade was originally envisaged…
Abstract
Purpose
The purpose of this paper is to examine the historical position of the ethical consumer as a driver of change within the Fair Trade movement. Fair Trade was originally envisaged as a model of South-North trade; however, with Fair Trade labels now available to consumers in India, Brazil, South Africa and Kenya, the geographies of production and consumption appear increasingly fluid and dynamic.
Design/methodology/approach
Using a historical comparative case study approach this paper draws on the records and archives from eight leading Fair Trade organisations based in the UK.
Findings
The paper develops an exploratory framework based on an assessment of Fair Trade’s theory(ies) of change and the role of the ethical consumer as an agent of change. Four consumer narratives are identified: simpler living and moral action; co-operation and solidarity; consumer demand and choice; and citizen-consumers. The paper concludes by considering the implications for globalising the concept of the “citizen-consumer” and the (re)politicisation of Fair Trade consumption.
Research limitations/implications
Primary data collection was mainly based on UK organisations. Additional comparative studies could develop an understanding of the context and geographies of Fair Trade practices.
Practical implications
New and emerging Fair Trade markets may offer valuable areas of further study.
Social implications
Increased understanding of the drivers of social change may lead to improved decision-making by Fair Trade organisations and policy-makers.
Originality/value
The paper contributes to the development and understanding of Fair Trade’s theory of change model by offering an historical dimension that is absent from the majority of existing studies.
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Eileen Davenport and William Low
There is a growing academic literature exploring the fair trade movement but, to date, there has been little explicit discussion of accountability within the movement. This paper…
Abstract
Purpose
There is a growing academic literature exploring the fair trade movement but, to date, there has been little explicit discussion of accountability within the movement. This paper aims to cast the development of the fair trade movement within a shift from trust‐based relationships to standards‐based systems. The authors particularly aim to focus on the dominance of an external accountability approach being used for Fair Trade Labelling Organization International (FLO) certified products versus an internal accountability approach being adopted through organizational self‐assessment of World Fair Trade Organization (WFTO) members.
Design/methodology/approach
While this is predominantly a conceptual paper, the authors draw on primary research with northern and southern fair trade organizations (FTOs). Five southern FTOs were interviewed along with three northern FTOs.
Findings
The paper illustrates the conflict that Power expressed about trust increasingly being placed in formalized “rituals” of auditing rather than in organizations. Standards‐based certification has played a crucial role in mainstreaming fair trade food which reduces the trust relationship to a label and relies on market‐based mechanisms of “ethical consumerism” to signal (dis)content with the operations of the certification system. By contrast, organizational self‐assessment under development by WFTO, which has proven popular amongst southern FTOs, fitting their organisational culture(s) and contributing to organisational learning and democracy, creates greater accountability to internal stakeholders such as producers.
Originality/value
This paper draws direct comparisons between the FLO system of certification of products and the WFTO process of self‐assessment of organizations. It demonstrates that the WFTO system builds on the movement's tradition of democracy and trust. Producers, southern FTOs, and northern FTOs must demonstrate their democratic principles throughout the supply chain up to consumers. Conversely the FLO system governs the products themselves and largely leaves the participants, other than producer groups, free of demands for corporate social responsibility and organizational learning.
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Rong Zhu, Sunny Li Sun and Ying Huang
Initiated by non-governmental organizations (NGOs) over half a century ago, fair trade has successfully evolved from a regional business discourse to a global social movement…
Abstract
Purpose
Initiated by non-governmental organizations (NGOs) over half a century ago, fair trade has successfully evolved from a regional business discourse to a global social movement within international trade. In the matter of fair trade coffee, this global social movement has transformed the traditional coffee trade structure of inequality and unfairness into a conglomerate of international institutions that embrace equity and inclusivity – a metamorphosis that can be attributed to NGOs’ institutional entrepreneurship.
Design/methodology/approach
In this exploratory study, the authors examine the fair trade coffee industry and trace the actions of NGOs along with other stakeholders at the organizational field level, in moving toward an inclusive model of globalization.
Findings
Departing from exploitative globalization, fair trade practices advocate inclusive growth through the promotion and establishment of greater equity for all as well as higher environmental standards in global value chains.
Research limitations/implications
This study contributes to nascent research on inclusive growth by analyzing how fair trade promotes inclusive growth and trade in GVCs. This study also contributes to research on institutional entrepreneurship by examining two enabling conditions – the shift in institutional logics and the peripheral social position of NGOs – that enabled NGOs to serve as institutional entrepreneurs in the initiation phase of institutional entrepreneurship.
Practical implications
Policymakers may encourage collaboration between profit organizations and nonprofit organizations to provide entrepreneurial opportunities for trials, errors, and revisions. The evolution of fair trade coffee provides such an example.
Social implications
The coevolution of NGOs and MNEs has made the globalization of fair trade practices possible. The collaboration between NGOs as institutional entrepreneurs (operating on the community logic) and MNEs as institutional followers (operating on the financial logic) support inclusive globalization and sustain fair trade practices.
Originality/value
Drawing on the process model of institutional entrepreneurship, the authors seek to understand the role of NGOs as institutional entrepreneurs in the dynamics of initiating, diffusing and sustaining fair trade coffee practices.
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The evolution of the Fair Trade movement offers an apposite case through which to examine the idea of regulating risk through a “social sphere.” An analysis of Fair Trade through…
Abstract
The evolution of the Fair Trade movement offers an apposite case through which to examine the idea of regulating risk through a “social sphere.” An analysis of Fair Trade through the lens of “defiance” reveals discrete models and actors of risk regulation that evolve in an iterative fashion. These findings not only add complexity and heterogeneity to the social actors and mechanisms of regulation in the social sphere, but also highlight the challenges this diversity poses for the project of alleviating market risk. In turn, the framework of defiance offers a fertile analytical framework for the study of transnational risk regulation by capturing the dynamic actor and institutional complexities that underpin, and embody challenges for, the regulation of risk through the social sphere. The article begins with an overview of the Fair Trade movement and consideration of Fair Trade’s approach to regulating market risk. It then introduces the notion of defiance, focusing on two of its subtypes: game playing and resistance. Following a short overview of the methodological framework employed to analyze these dynamics, the third section applies these analytical categories of defiance to explore primary data gathered on Fair Trade’s evolution. The article shows that the motivational posture of game playing, through its continued experimentation and entrepreneurship in transnational risk regulation, is pregnant with potential to mitigate the risks generated by economic activity.
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Vivekanand B. Khanapuri and Mayank R. Khandelwal
Social entrepreneurship will play a big role in bringing the growth to the rural masses in India and so it becomes important to study the factors, like fair trade, that will shape…
Abstract
Purpose
Social entrepreneurship will play a big role in bringing the growth to the rural masses in India and so it becomes important to study the factors, like fair trade, that will shape the social entrepreneurship philosophy.
Design/methodology/approach
Primary information has been collected from National Level bodies like Fair Trade Forum – India (FTF‐I) by means of discussions and debates. Current state of fair trade penetration has been discussed with the help of a case study of an India NGO, International Resources for Fairer Trade (IRFT) which is a pioneer in this field in India.
Findings
Discussions with FTF‐I and study of IRFT revealed some surprising facts about fair trade in India – one of them being the expected size of the fair trade market in the near future. Fair trade is expected to grow exponentially in the coming years and it has the potential be an inspiration for many to enter into the social entrepreneurship world.
Practical implications
With this study as basis, many Non Government Organizations and other bodies may find that their business models can be slightly modified to make them eligible for entering the lucrative market of fair trade.
Originality/value
This is the first study that focuses on attempting to find a link between social entrepreneurship and fair trade in India. This study will not only help current and future social entrepreneurs understand the need for fair trade and its benefits but it will also help them understand how they could become fair trade compliant if they wanted to and thus contribute to all inclusive growth.
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Anne Tallontire and Valerie Nelson
The recent departure of Fair Trade USA (FTUSA) from Fairtrade International is the most seismic event in the fair trade movement in the past decade. This paper aims to analyse…
Abstract
Purpose
The recent departure of Fair Trade USA (FTUSA) from Fairtrade International is the most seismic event in the fair trade movement in the past decade. This paper aims to analyse recent dynamics between and within multiple fair trade strands and the attendant changes in vision and approach.
Design/methodology/approach
The authors use and develop a framework focusing on the relationship between business and development to analyse the dominant narratives and practices of each different strand of fair trade. To unpack the various fair trade narratives, they have conducted a narrative analysis of policy documents and online debates in the wake of the split in the fair trade movement and they draw on recent impact studies.
Findings
The politicising narrative in fair trade stresses governance and voice based on clear structures of representation within the standards body, and recognizes the value of development inputs that do not focus solely on technical and quality development, but lead to organisational advocacy and representational capacity of producer organisations and the regional networks. In contrast “pragmatism” focuses more on economic empowerment and using the market to drive change, an approach that is gaining greater traction with the split of FTUSA from FLO, the most prominent body within Fairtrade International.
Practical implications
The analysis raises implications with regards to how impact analysis captures both the pragmatic and politicising narratives.
Originality/value
The paper's originality/value lies in its novel use of narrative analysis and its early analysis of the shifting dynamics within fair trade precipitated by the departure of FTUSA.
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The purpose of the article is to move beyond positivistic political economy analysis of fair trade, and to examine competitive dynamics between competing interpretations in terms…
Abstract
Purpose
The purpose of the article is to move beyond positivistic political economy analysis of fair trade, and to examine competitive dynamics between competing interpretations in terms of the very fair trade concept itself.
Design/methodology/approach
Grounded in an ideational ontology, the paper provides a theoretical framework concerned with the contestation of meaning. Analysis applies this framework through a heuristic reading of fair trade's history, drawing on secondary literature, documents and primary qualitative research; and the discursive construction of Fair for Life – a new programme seeking to negotiate the “constitutive rules” of fair trade.
Findings
The article identifies that the history of fair trade and its current competitive dynamics are constituted by a negotiation and contestation of the constitutive rules that set the parameters of the fair trade concept.
Research limitations/implications
The paper complements political economy analysis of socially constructed governance such as fair trade, and adds value to academic analysis by exposing important, yet previously unconsidered, micro‐politics of language and practice. The description and initial analysis of “Fair for Life” opens a new area of empirical interest for scholars of fair trade and sustainability governance.
Practical implications
Analysis highlighting the important implication of discourse and practice for the very definition of fair trade offers practitioners important insights into little considered implication of their practices and their representations in language.
Originality/value
The article complements political economy analysis by demonstrating the value of an ideationally grounded analysis of fair trade and similar socially constructed governance systems.
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The purpose of this paper is to explore the meanings and business practices of four Southern Fair Trade enterprises (SFTEs).
Abstract
Purpose
The purpose of this paper is to explore the meanings and business practices of four Southern Fair Trade enterprises (SFTEs).
Design/methodology/approach
The paper is based on research with four SFTEs in Bangladesh, taking an ethnographic approach with qualitative methodologies such as semi‐structured interviews, recorded meetings, informal discussions, analysis of grey literature, and observation with managers, staff, field workers and artisans of the organisations.
Findings
The meanings of Fair Trade are located in personal, family, business and national understandings of fairness and development. Such meanings inform the business practices of the SFTEs, used to achieve both commercial success and social goals, confirming the role of SFTEs in creating and maintaining ideals of fairer trade.
Research limitations/implications
There is a need for more research on Fair Trade from the perspective of SFTEs.
Practical implications
The research draws attention to the key roles and business practices of the SFTE, increasing the understanding of what happens in the name of Fair Trade, and also provides lessons for other socially responsible enterprises.
Social implications
The research highlights the importance of Southern meanings and practices, which should be included in the conceptualisation of Fair Trade, thus facilitating both informed debate and understanding the possibilities for the promotion and extension of fairer trade.
Originality/value
This research is unusual in concentrating on the central role played by the SFTE, particularly in the handicraft sector and with businesses rather than cooperatives. The business practices and decisions of SFTEs are often hidden in representations of Fair Trade.
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This paper critically examines the marketing of fair trade, arguing that the use of the term producer conflates a number of categories of actors, not all of whom benefit equally…
Abstract
Purpose
This paper critically examines the marketing of fair trade, arguing that the use of the term producer conflates a number of categories of actors, not all of whom benefit equally. The authors contend that the two existing archetypes – the noble peasant farmer and the independent artisan – and the emerging archetype of the “empowered decision maker” serve to obscure and mask complex labour relationships.
Design/methodology/approach
This conceptual paper draws on a wide range of literature and original fieldwork conducted by the authors to illustrate the three marketing archetypes in the fair trade value chain.
Findings
Hidden behind the three dominant archetypes used to promote fair trade is a relationship between fair trade “producers” (small farmer, craft enterprise and plantations) and permanent and temporary/casual labourers. The trickle‐down of fair trade benefits to these workers is uneven at best and falls far short of the expectation of empowerment of all “producers” that fair trade promises.
Research limitations/implications
The fair trade project must look beyond the simple archetypes to engage more deeply with labour issues in the fair trade value chain, and to re‐engage with fair trade as a development strategy through which broader and more complex forms of empowerment can be realised.
Practical implications
Fair trade standards are not a substitute for organised labour's activities. Interactions between trade unions and fair trade bodies could ensure that existing labour standards are met, and improvements in the lives of all workers can occur.
Originality/value
This paper conceptualises three fair trade mainstream marketing archetypes and suggests why and how the fair trade movement must move beyond these to ensure empowerment amongst its least well‐off stakeholders.
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