Ecological modernisation theory and Bangladesh : lessons from the environmental compliance upgrading experiences of Bangladeshi garments firms

• Main Author: Selim, Shahpar
• Published: London School of Economics and Political Science (University of London) 2009
• Subjects: 363.7
• Online Access: http://ethos.bl.uk/OrderDetails.do?uin=uk.bl.ethos.645878

In this era of international supply chains where Least Developed Countries (LDCs) are exporting to Developed Countries (DCs), concerns about economic growth that is environmentally benign has meant that LDC factories are taking environmental upgrading measures to meet standards set by DC customers. This thesis looks at the applicability of ecological modernisation theory (EMT) to this situation by examining the Bangladeshi readymade garments (RMG) sector that is part of the global apparel value chain. EMT suggests that economic growth can continue while providing environmental protection in the long run due to proactive environmental actions by the market actors, civil society and the nation state. This thesis tests the tenets of EMT by looking at the apparel value chain in three parts (management networks within firms, economic networks of the supply chain, and policy networks) and then as a whole (EM network). Evidence from Bangladeshi garment factories (corporate culture, organisational change and environmental learning) suggests significant problems: factories are compliant with buyer codes only on paper and not in reality. Firms have a mixture of proactive and reactive greening measures and enjoy only an indirect competitive advantage from greening. The absence of "win win" gains can be pinned to buyer behaviour along the chains, coupled with their reluctance for closer collaboration and weak green customer pressures for clothing sourced in Bangladesh. Policymaking by the state has also been problematic: issue cognition and conflict, closed hierarchical networks, mistrust, political bargaining and prioritising national economic interests hampered the EM vision of the modern nation state. Overall, this thesis questions the adequacy of EMT for investing international supply chains. EMT needs to reconceptualise itself with hierarchical relationship realities, LDC cultural contexts, LDC growth trajectories, actor heterogeneity, "no win" situations, and the suitability of EM tools.