Three lenses on the multinational enterprise: politics, corruption, and corporate social responsibility

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Three lenses on the multinational enterprise: politics, corruption, and corporate social responsibility Peter Rodriguez1, Donald S Siegel2, Amy Hillman3 and Lorraine Eden4 1

Darden Graduate School of Business Administration, University of Virginia, Charlottesville, VA, USA; 2Department of Management and Marketing, A. Gary Anderson Graduate School of Management, University of California at Riverside, Riverside, CA, USA; 3 Department of Management, W. P. Carey School of Business, Arizona State University, Tempe, AZ, USA; 4Department of Management, Mays Business School, Texas A&M University, College Station, TX, USA Correspondence: L Eden, Department of Management, Mays Business School, TAMU 4221, 415D Wehner Bldg, Texas A&M University, College Station, Texas 778434221, USA. Tel: þ 1 979 862 4053; Fax þ 1 979 845 9641; E-mail: [email protected]

Received: 28 April 2006 Revised: 17 June 2006 Accepted: 18 June 2006 Online publication date: 7 September 2006

Abstract Scholars who analyze multinational enterprises (MNEs) recognize the complex relationship between international business (IB) and society. However, compared with other IB topics, research on politics, corruption and corporate social responsibility – ‘three lenses’ on the MNE – remains somewhat embryonic, with unresolved issues regarding frameworks, measurement, methods, and theory. This presents unique opportunities for integration and extension of disciplinary perspectives, which we explore in this article. We provide an introduction to potential linkages across these three lenses, an agenda for additional theoretical and empirical research, and a review of the papers in the JIBS Focused Issue. Journal of International Business Studies (2006) 37, 733–746. doi:10.1057/palgrave.jibs.8400229 Keywords: politics; corruption; corporate social responsibility; corporate political strategies; business–government relations; business and society

Introduction Scholarly interest in the relationship between international business (IB) and society is growing among researchers who study multinational enterprises (MNEs). History is largely responsible for this surge in research – specifically, the political–economic history of the last quarter-century. The global commercial landscape has changed so profoundly that it is difficult to recall the setting of IB prior to Deng Xiaoping’s dramatic economic reforms in the late 1970s, the neo-liberal wave that swept into Latin America in the 1980s, and the decade of opening and reform that followed the collapse of the Soviet Union in 1989. This trend has gathered speed since 1990 as the number of countries, markets and institutional settings open to the vast majority of the world’s MNEs has risen substantially. The ensuing and rapid integration of world financial and goods markets, along with a spate of recent corporate scandals, has increased scholarly interest in the diversity of social, economic and political institutions that govern the behav