The Community Company As a Vehicle for Sustainability in Solomon Islands: Hopes, Challenges and Possibilities
In Beate Sjåfjell and Christopher M. Bruner (eds), Cambridge Handbook of Corporate Law, Corporate Governance and Sustainability (Cambridge University Press, Forthcoming).
Posted: 8 May 2019 Last revised: 10 May 2019
Date Written: May 6, 2019
A community company, designed to look beyond profits and provide for community involvement in decision making, was introduced in Solomon Islands in 2010. This chapter assesses the extent to which business, social and customary norms have impacted the slow take up of this entity. Business interests, both domestic and foreign, show preference for the easily identifiable traditional corporate form, shying away from this innovative entity. Facilitating institutions such as banks and insurance companies are reluctant to deal with unfamiliar corporate structures, making it difficult for such entities to grow. Participation by community members reiterates social norms, leaving control in the hands of individuals with high status, which rarely challenges dominant understandings of development. This chapter explores ways to overcome the resistance to the community company and realise its potential for enabling sustainable development across the Pacific.
Keywords: community company, custom, legal transplant, multilateral banks, Pacific islands
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