Challenges of Sustainability Practices: Evidence From a Gold Mining Multinational Enterprise in Ghana

Abstract

Drawing on both the stakeholder theory and Carroll’s Corporate Social Responsibility Pyramid, this chapter explores sustainability practice challenges of a gold minning multinational enterprise in Ghana. Primary data was collected through observation and the interviewing of multi-stakeholder groups. We found that internal stakeholders perceive sustainability expenditure as costly. However, while employees of the case enterprise see the cost as depleting shareholders’ wealth, managers view them as investment with possible long-term benefits. Meanwhile, the external stakeholders perceive the gold mining enterprise’s sustainability expenditure as meagre and that beneficiary communities are not economically empowered to sustain those investments. Again, we found that government’s inability to clamp down illegal gold mining threatens economic and environmental sustainability. Additionally, members of the host community identify the lack of adequate employment opportunities within the entity as a hindrance to their economic empowerment. We submit that the resolution of the sustainability challenges would contribute to the balancing of stakeholders’ expectations: the conduct of ethical business through compliance to environmental laws; promotion of host communities’ social well-being; and improved economic returns for shareholders. By meeting the needs of stakeholders, gold mining enterprises could gain acceptance in their host communities and boost corporate reputation.

Citation

Amoako, K.O., Amoako, I.O., Tuffour, J., Naab, G.Z. and Owiredu-Ghorman, K. (2023), "Challenges of Sustainability Practices: Evidence From a Gold Mining Multinational Enterprise in Ghana", Harrison, C. and Omeihe, K.O. (Ed.) Contextualising African Studies: Challenges and the Way Forward (New Frontiers in African Business and Society), Emerald Publishing Limited, Leeds, pp. 53-78. https://doi.org/10.1108/978-1-80455-338-120231004