Transnational Business Governance Interactions
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Transnational Business Governance Interactions

Advancing Marginalized Actors and Enhancing Regulatory Quality

Edited by Stepan Wood, Rebecca Schmidt, Errol Meidinger, Burkard Eberlein and Kenneth W. Abbott

From agriculture to sport and from climate change to indigenous rights, transnational regulatory regimes and actors are multiplying and interacting with poorly understood effects. This interdisciplinary book investigates whether, how and by whom transnational business governance interactions (TBGIs) can be harnessed to improve the quality of transnational regulation and advance the interests of marginalized actors.
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Chapter 6: Micro-level interactions in the compliance processes of transnational private governance: The market for Marine Stewardship Council auditors and assessors

Graeme Auld and Stefan Renckens

Abstract

Transnational private governance has emerged in multiple issue areas to promote responsible business practices. While most studies assess its rule-setting function, much less research has been done on the compliance-assessment function. This chapter examines the various actors that are involved in this process—auditors, individual assessors and, to a lesser extent, accreditors—and their respective interactions. Using the Marine Stewardship Council as an empirical case, the chapter examines the level of competition among accredited auditors and assessors, and the degree of organizational interdependence. It argues that while the number of accredited auditors has increased over time, the degree of competition is rather limited, while auditors are also much less operationally independent than expected due to the mobility of assessors across auditors. As such, this chapter contributes to the literature on transnational business governance interactions (TBGIs) by providing a micro-level perspective addressing interactions among governance actors within a transnational private governance regime and their potential influence on regime effectiveness.

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