Managing Multinational Corporations in a Changing World Order: Institutional Pressures, Ethical Principles and Social Responsibility

Abstract

Human rights violations in global supply chains, harmful greenhouse gas emissions, plastic waste, child labor, … – the growing public concern for the impact of international business activities on society and the environment requires multinational corporations (MNCs) to take on various responsibilities. These societal demands for more corporate responsibility are becoming increasingly codified, for example through new legislation such as supply chain due diligence laws. In addition, MNCs must navigate a complex political environment with increasingly ambiguous and, at times, irreconcilable demands. I analyze how these developments translate into institutional pressures and how these pressures impact the behaviors and strategies of MNCs.