Fair Trade as an Illustration

Abstract

The emergence of organizations to “certify” that trade is fair provides buyers of consumer goods assurance that the manufacture, distribution, and sales of products comply with an agreed upon set of standards. This gives the “We” in “Me to We” the full equality it deserves in calibrating shareholder-stakeholder relations. The underlying philosophy of the Fair Trade movement is the idea that buyers have power, and therefore their decisions matter. The ideas of Fair Trade in any of its forms are directly related to the message of switching from shareholders to stakeholders. Fair trade and the certification of fair trade products, be they of an agricultural, agribusiness, manufactured, or services nature, have been growing in importance and will continue to do so. By accepting, embracing, and implementing sustainable M2W policies in an organization, shareholders and all stakeholders will benefit in both measurable and immeasurable ways.

Abstract

When one thinks of “Fair Trade,” Nike’s use of sweatshops in China, South Korea, and Taiwan in the 1970s may come to mind. However, due to media attention and the widespread creation and mobilization of advocacy groups, significant progress has been made during the last two decades in particular. For those who share the belief in the concept and application of M2W, concerns over worker exploitation, especially of women and children, along with the environment and degradation of natural resources have raised awareness among stakeholders and shareholders that investment and commerce—especially transborder transactions—must be transparent, fair, and safe. The emergence of organizations to “certify” that trade is fair provides buyers of consumer goods assurance that the manufacture, distribution, and sales of products comply with an agreed upon set of standards. This gives the “We” in “Me to We” the full equality it deserves in calibrating shareholder-stakeholder relations.