Doing business and contributing to conflict prevention and development in Ghana

Abdul Karim Issifu, University of Eastern Finland, FinlandFollow
Musa Essuman, University of Eastern Finland, FinlandFollow
Felix Dade, University of Jyvaskyla, FinlandFollow

Abstract

While some scholars argue that companies implement corporate social responsibility (CSR) for altruistic reasons, to gain an advantage over rivals in the industry, to enhance corporate reputation, and to be seen as ethical for addressing environmental and socio-economic difficulties, other scholars view CSR as unnecessary. These scholars argue that CSR initiatives adversely affect corporate profits. The understanding of this phenomenon remains incomplete, especially with the lack of empirical understanding about why corporate bodies execute CSR in spite of their primary goal of maximizing profits. To better understand this gap in knowledge, this case study of the Newmont Ghana Gold Limited (NGGL) ascertains why the company implements CSR in the mining communities they operate. This study contributes to the debates on CSR and the global call for businesses to address societal problems. Navigating the qualitative research approach and human-needs conflict theory, this study discovered that despite its voluntary application, failing to implement CSR would have prevented NGGL to have the social license to operate, and violent and nonviolent conflicts would have occurred. The study also found that CSR was implemented to address the fundamental needs of host communities adversely affected by mining. Together, these results suggest that CSR is treated as a conflict prevention and development initiative. Therefore, the study recommends that CSR be made mandatory.

Keywords

Asutifi North District, corporate social responsibility, conflict, development, Newmont Ghana Gold Limited, mining

Chinese Abstract

在加纳做生意并为预防冲突和鼓励发展作出贡献

尽管一些学者认为企业实施企业社会责任（CSR）是出于利他主义的原因，为了在行业竞争对手中获得优势，增强企业声誉，并被视为解决环境和社会经济困难的道德捍卫者，但另一些学者则认为社会责任是不必要的。这些学者认为企业社会责任的倡议对企业利润产生不利影响。对此现象的理解仍然不完整，尤其缺乏实证以理解为什么企业在追求利润最大化的主要目标前提下，仍然执行企业社会责任。为了更好地理解这一知识差距，本研究以纽蒙特加纳黄金有限公司（NGGL）为例，确定了该公司在其开采社区实施社会责任的原因。本研究有助于社会责任的论证和呼应企业解决社会问题的全球呼吁。通过采用定性研究方法和人类需求冲突理论，本研究发现尽管企业社会责任是自愿性质，但如果不予以实施，则将妨碍NGGL获得运营的社会许可，并可能发生暴力和非暴力的冲突。研究还发现，实施CSR是为了解决受采矿负面影响的原社区的基本需求。这些结果表明，企业社会责任被视为一项预防冲突和鼓励发展的倡议。因此，此研究建议将企业社会责任设为强制性。

关键词：北阿蘇提菲縣（Asutifi North Distict）、企业社会责任、冲突、发展、纽蒙特加纳黄金有限公司（NGGL）、采矿

ORCID Identifiers

Abdul Karim Issifu: https://orcid.org/0000-0002-2259-6947

Musa Essuman: https://orcid.org/0009-0004-0087-9665

Felix Dade: https://orcid.org/0009-0009-3424-7021

DOI

10.5038/2640-6489.8.2.1170

Recommended Citation

Issifu, A., Essuman, M., & Dade, F. (2023). Doing business and contributing to conflict prevention and development in Ghana. Journal of Global Business Insights, 8(2), 95-109. https://www.doi.org/10.5038/2640-6489.8.2.1170