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Historically, NGOs emerged on
the international business
scene in the late 1980s
as important
institutional actors.
Their influence powered the
globalisation of business,
declining state power
and the scrutiny of
business practices,
particularly in
developing countries
related to exploitation
of labour,
abuse of weak
regulatory mechanisms
and human rights violations.
A spate of corporate
scandals that
created a crisis
of leadership and
a trust void in
business has further
bolstered NGO credibility
in recent decades.
Indeed, the Edelman Trust
Barometer finds that,
vis-à-vis business,
government and the media,
NGOs are the most trusted
institution globally.
However, NGO relationships
with businesses
has been characterised by
mistrust and conflict.
Traditionally, NGOs have
been treated as peripheral
or secondary stakeholders
for businesses
who lack 'formal' power
and can easily be ignored
by resource-rich corporations.
In many cases,
NGOs do not have the
institutional standing.
However, in others,
particularly Western democracies
and developed countries,
NGOs are increasingly listed as
primary stakeholders
in CSR reports.
Although NGOs are
increasingly acknowledged
as influential
institutional actors,
they have received
relatively less attention in
communication
scholarships around
social-mediated developments.
However, the growing
influence of social media
are perceived as a game changer
and a 'potential equalizer'
in how NGOs interact
with corporations.
This case is more of a
'David and Goliath' battle.
