The Role of Social Capital in the Success of Fair Trade

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2010-10-01T00:00:00Z

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Springer Science Business Media

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Article

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0167-4544

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Iain A. Davies and Lynette J. Ryals, The Role of Social Capital in the Success of Fair Trade, Journal of Business Ethics, 2010, Volume 96, Number 2, Pages 317-338

Abstract

Fair Trade companies have pulled off an astonishingtour de force. Despite their relatively small size and lack of resources, they have managed to achieve considerable commercial success and, in so doing, have put the fair trade issue firmly onto industry agendas. We analyse the critical role played by social capital in this success and demonstrate the importance of values as an exploitable competitive asset. Our research raises some uncomfortable questions about whether fair trade has ‘sold out' to the mainstream and whether these companies have any independent future or whether their ultimate success lies in the impact they have had on day-to-day trading behaviou

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The original publication is available at www.springerlink.com

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