TY - JOUR
T1 - Race-to-the-bottom or -top at home or abroad
T2 - health and safety standards and the multinational firm
AU - Pavelin, Stephen
AU - Porter, Lynda A.
PY - 2011
Y1 - 2011
N2 - We develop a model to illustrate potential complexities in the relationship between
corporate geographical diversification and the health and safety (H&S) standards set in national
jurisdictions. A firm, that initially has a plant in its home country, may choose to also have one or
two foreign plants in order to improve its bargaining position versus local governments, and so
ensure reduced H&S standards, i.e. a race-to-the-bottom. However, contrary to the main focus of
the popular debate on this topic, we note the potential for the race-to-the-bottom tendency to be
exerted on H&S standards in the multinational company’s home rather than host country, and
also for an upward push on H&S to instead result.
AB - We develop a model to illustrate potential complexities in the relationship between
corporate geographical diversification and the health and safety (H&S) standards set in national
jurisdictions. A firm, that initially has a plant in its home country, may choose to also have one or
two foreign plants in order to improve its bargaining position versus local governments, and so
ensure reduced H&S standards, i.e. a race-to-the-bottom. However, contrary to the main focus of
the popular debate on this topic, we note the potential for the race-to-the-bottom tendency to be
exerted on H&S standards in the multinational company’s home rather than host country, and
also for an upward push on H&S to instead result.
KW - Sustainability
UR - http://www.scopus.com/inward/record.url?scp=80053168861&partnerID=8YFLogxK
UR - http://www.esr.ie/vol42_3/03_Pavelin%20article.pdf
M3 - Article
SN - 0012-9984
VL - 42
SP - 289
EP - 311
JO - Economic and Social Review
JF - Economic and Social Review
IS - 3
ER -