Barrick Gold Corporation - Tanzania
(11 pages of text)
This case examines the giant Canadian mining corporation, Barrick Gold Corporation (Barrick), (called Africa Barrick Gold plc since 2009), and the way it engages in sustainable community developments that surround its mining activities in Tanzania. Following recent organized tensions and heightened criticism from local communities, media, international social lobbyists and local not-for-profit organizations (NFOs), Barrick has attempted to deal with the local communities in a responsible manner. At issue for senior management was whether there was much more that it could reasonably do to resolve the tensions.
The case considers: how MNEs seek social license and local legitimacy; the relevance of hybrid institutional infrastructures; the evolving global roles for MNEs and their subsidiaries. The case is appropriate for use in courses in international management, global corporations and society, and international development and sustainable value creation.
The objectives of this case are to:
- Illustrate the rationale of global TNCs in seeking social licence and local legitimacy in local communities and to understand how they achieve these.
- Help students understand how international activists and affected communities are shaping the behaviour and business strategies of global TNCs in subsidiary business operations.
- Help students understand the relevance of hybrid institutional infrastructures.
- Help students develop an understanding of the path, motivations, challenges and opportunities faced by global TNCs in partnership with local stakeholders in foreign subsidiaries.
The case is suitable for core and elective courses in international business/management, strategy and sustainability and for elective courses in not-for-profit management, global corporations and society, and international development and sustainable value creation. The case is appropriate for students at the advanced undergraduate and MBA/EMBA levels.
Mining, Quarrying, and Oil and Gas Extraction
Tanzania;Canada, Large, 2010
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