This document discusses whether corporate social responsibility (CSR) schemes can reduce violence associated with the resource curse. It argues that while CSR schemes have the potential to reduce violence, they are ultimately unable to cause meaningful social change because they do not challenge the institutions responsible for the violence and operate within those institutions. The document also notes that CSR schemes are a response by companies to address failures of the current system but coordinating them on a national and international level in a more effective way would weaken their business case nature.

1. Yes!
CSR schemes have the capacity to reduce violence.
CAN CORPORATE SOCIAL RESPONSIBILITIES SCHEMES REDUCE VIOLENCE ASSOCIATED WITH THE RESOURCE CURSE?
However,
they are unable to lead to
incremental social changes as they do not effectively
challenge the institutions that are responsible for the
violence associated with the resource curse as they act
within them
Resource rich countries
• develop more slowly
• are susceptible to internal
conflict
• have weaker and corrupt
institutions
• Have few benefit from
resources
• Suffer the Dutch disease
• Governments are
unresponsive to demands
of people
However,thesetheories
arehighlycontested
GLOBALISATION
Resource
Curse
?
In order to mitigate
the failure and
even avoid
the blame for
violence commonly
associated
with the resource
curse companies
deploy CSR
CSR have schemes as:
• corporate philanthropy: little
strategic impact (little funds, no
clear aim)
• risk management: medium
impact -> operational (worker
security)
• as value creation: fundamental
operational and social impact
• Corporate success and
social welfare are
interconnected
• Business understands that
they need healthy,
educated workers,
• sustainable resource
management, and good
governance
- Political shift towards economic liberalism in the last four decades
- Effective dilution of state power and the role of governments in general, and
no adequate international governance is in place
- Push to let market forces determine social, and labour standards
- Violence commonly associated with the resource curse, can be also explained
as ripples of Colonialism
CSR are nothing else but the answer of “the system” itself on its own failures
To make CSR effective
we need to coordinate them on both the national and the international level
 This contradicts the nature of CSR which is built upon the business case.
- However, this would weaken the business case because there is an inherent
tension between profit/production
Integration of Nations