Abstract
In a postmodern world, social and ethical reporting is becoming increasingly important and ethical trade is but one of the manifestations of consumer demands placed on organisations. It is through purpose that companies connect with a newly sceptical stakeholder group, and this ‘purpose’ addresses fairly universal ethical concerns such as food scarcity and poverty. Purpose, from this viewpoint, drives organisational behaviour that connects the core beliefs of internal stakeholders with the values of the communities in which they operate. Authentically purpose-led organisations leverage off purpose, positioning it as a key driver through meaningful engagement that resonates through its sustainability, behaviour and decision-making. However, to date, limited research has been conducted on how internal and external stakeholders can be engaged and aligned with ‘higher-level purpose’ in purpose driven organisations’.
The study explores how Fairtrade is active in this realm, and how it aligns internal stakeholders (partners) with its ‘higher-level purpose’ through stakeholder engagement thereby promoting effective social partnerships that are sustainable. The rationale of this study is to contribute to existing literature by examining the degree to which stakeholders aligned with brand purpose in purpose-driven organisations’ such as Fairtrade, the foremost ‘fair trade’ movement in the agricultural sector in South Africa.
The research suggests that for South African internal stakeholders in export markets, a ‘fair trade’ appellation can serve as a guarantee for targeted international markets. Of significance are challenges around the implementation of a Fairtrade ‘standardised’ global strategy in local markets. Notably, outcomes of the study imply that Fairtrade is not doing nearly enough in communicating and engaging with its purpose to South African stakeholders. Further studies could be expanded on to include external stakeholders, that considers a broader level of engagement with government, business, the non-profit sector, industry associations and networks throughout the agri-system. Collaborative engagement could be the starting point, with focus on the necessity of dialogue, participation and inclusion towards ‘fair trade’ and sustainable development, concentrated on the South African context.
M.A. (Strategic Communication)