CSR and Local Development in Oil Industry in Nigeria

RSE et Développement Local dans l'Industrie Pétrolière au Nigeria

Hervé Lado
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Hervé Lado: ESSEC Business School

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Abstract: The institutional theory of corporate social responsibility (CSR) argues that content and practice of CSR adapt to the institutional environment. In the oil industry in Nigeria, and more widely in developing countries where institutions work on a personalized mode, with a dominant coalition made of powerful elites manipulating rents and privileges to ensure stability, CSR also adapts. Using the crypto-morality concept, we demonstrate that in such institutional environments, CSR evolves according to both the detectability of corporate practices, and penalties that stakeholders impose to corporations. Therefore, the corporate contribution to local development as part of CSR aims mainly to meet legitimate and illegitimate expectations of the most influential stakeholders in order to protect company's operations.

Date: 2019-02-03
New Economics Papers: this item is included in nep-ene and nep-war
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