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On the Paradox of Corporate

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On the Paradox of Corporate

Introduction

Recently, some authors have argued that there is a

need for a paradigm shift or a fundamental

change in the practice of business, in organizational

behaviour and performance if the ideals of

corporate social responsibility and sustainable

development are to be achieved (Gladwin et al.

1995, Ehrenfeld 2000, Hueseman 2001, Senge &

Carstedt 2001, Welford 1998, 2002). However,

these calls are in a sense a re-statement of radical

calls for sustainable development already presented

in the 1960s and 1970s (M’Gonigle 1999).

This article shows what are the consequences of

the fact that these radical calls have failed and

become overshadowed by the technocentric paradigm,

by the conventional modernity paradigm

that already prevailed before the birth of modern

environmentalism. I concentrate on corporate

environmental management, a major issue within

the existing corporate social responsibility debate.

The article defines sustainable development as

development that does not systematically increase

the underlying causes of negative environmental,

social and economic effects (Robe' rt et al. 2002,

2004). In this way, it is relatively easy to determine

whether a certain activity is sustainable or

unsustainable. We know that, in the long term,

it is not sustainable to use non-renewable natural

resources, such as fossil coal, oil or natural gas.

Ehrenfeld (2000) views sustainable development

as development that sustains itself forever into the

indefinite future. By definition, the world energy

system is not sustainable. Eighty per cent of the

world energy production relies on non-renewable

fossil fuels (Williams 1994), which are emission

intensive, and often on fuels imported to national

and regional economies. We also know that the

production of chemicals and substances foreign to

nature is risky even if there are no currently

known negative impacts of certain substances.

If the over-harvesting of renewable natural

resources exceeding their reproduction capacity,

as is currently the case in tropical areas, continues

systematically, this is not sustainable over the long

term. The social dimension of sustainable development

is under risk. Twenty per cent of the

world population possesses roughly 80% of the

resources (Hueseman 2001). The (systematically)

increasing gap between the rich and poor, both

between and within countries, is systematically

decreasing the opportunities for education, social

and healthcare services, security and communitybuilding or is reducing the accessibility to

resources and information to a small elite in the

developing countries.

When sustainable development is defined in such

a broad and qualitative manner, i.e. as development

that does not systematically increase the

principle mechanisms of negative impacts, it can

be possible to agree

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