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Enhancing Social Responsibility within Global Supply Chains: Is Legal Regulation the Optimal Solution?
Author(s) -
Kateřina Peterková
Publication year - 2011
Publication title -
nordicum-mediterraneum
Language(s) - English
Resource type - Journals
ISSN - 1670-6242
DOI - 10.33112/nm.6.1.11
Subject(s) - outsourcing , scope (computer science) , business , enforcement , order (exchange) , globalization , quality (philosophy) , industrial organization , supply chain , safeguard , international trade , commerce , market economy , economics , finance , marketing , law , political science , philosophy , epistemology , computer science , programming language
As the globalization intensifies and the scope of cross-border business activities grows, it becomes difficult to subject internationally operating businesses to a national regulation. Thus the states are losing the power and ability to safeguard socially related concerns. Simultaneously, western companies being pressed by consumers to provide high quality but cheap goods, use the possibility to outsource some or all of their operations (primarily manufacturing) to developing countries in order to lower their costs. There they employ cheap labor and take advantage of low regulatory standards while relying on the difficulties of cross-border legal enforcement.

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