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Historically, NGOs emerged on
the international business
scene in the late 1980s
as important
institutional actors.
Their influence paralleled 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's 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
and communication
scholarship around
social media developments.
However, the growing
influence of social media
are perceived as a game changer
and a potential
equalizer in how NGOs
interact with corporations.
