Fairtrade Towns as Unconventional Networks of Ethical Activism

Journal of Business Ethics, Nov 2018

The growing availability and consumption of Fairtrade products is recognised as one of the most widespread ethically inspired market developments, and as an example of activist-driven change within the wider marketing system. The Fairtrade Towns movement, now operating in over 1700 towns and cities globally, represents a comparatively recent extension of Fairtrade marketing driven by local activists seeking to promote positive change in production and consumption systems. This paper briefly explores the conventional framing of the role that ethically related activism plays in the operation of markets and in influencing market participants. It then presents key insights gathered from a grounded theory exploration of Fairtrade Towns as activist-driven marketing systems, revealing the atypical nature of the activism involved. The findings demonstrate how local activists leverage their social networks to exert pressure and generate support to promote ethical consumption. The study suggests that Fairtrade Towns offer a new role for activists as Fairtrade itself becomes more mainstream, and considers the role they are fulfilling as ‘informal’ local marketers. The marketing dynamics revealed represent a complex and distinctive form of relational activism that seeks to build Fairtrade markets and highlight their positive benefits, with potential lessons for other local ethical market-building efforts in future.

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Fairtrade Towns as Unconventional Networks of Ethical Activism

Fairtrade Towns as Unconventional Networks of Ethical Activism Ken Peattie 0 Anthony Samuel 0 Anthony Samuel SamuelA 0 @cf.ac.uk 0 0 Cardiff Business School , 33 Park Place, Cardiff CF10 3BA , UK The growing availability and consumption of Fairtrade products is recognised as one of the most widespread ethically inspired market developments, and as an example of activist-driven change within the wider marketing system. The Fairtrade Towns movement, now operating in over 1700 towns and cities globally, represents a comparatively recent extension of Fairtrade marketing driven by local activists seeking to promote positive change in production and consumption systems. This paper briefly explores the conventional framing of the role that ethically related activism plays in the operation of markets and in influencing market participants. It then presents key insights gathered from a grounded theory exploration of Fairtrade Towns as activist-driven marketing systems, revealing the atypical nature of the activism involved. The findings demonstrate how local activists leverage their social networks to exert pressure and generate support to promote ethical consumption. The study suggests that Fairtrade Towns offer a new role for activists as Fairtrade itself becomes more mainstream, and considers the role they are fulfilling as 'informal' local marketers. The marketing dynamics revealed represent a complex and distinctive form of relational activism that seeks to build Fairtrade markets and highlight their positive benefits, with potential lessons for other local ethical market-building efforts in future. Fairtrade; Activism; Localism; Market development; Grounded theory - Fair Trade (FT) represents one of the most significant contexts for research into the development of ethical markets, and our growing understanding of FT owes much to the key contributions within Journal of Business Ethics. These contributions help us to understand the development of the FT movement and the challenges it faces (Child 2015; Hira and Ferrie 2006; Jaffee 2010; Moore 2004; Nicholls 2010), and the ethical dimensions of the decisions and actions of FT suppliers (Davies and Crane 2003; Davies and Ryals 2010), FT consumers (Castaldo et al. 2009; Chatzidakis et al. 2007, 2016; De Pelsmacker and Janssens 2007; Doran 2009; Doran and Natale 2011; Kim et al. 2010) and the supply networks that connect them (Davies 2009; Davies et al. 2010). A significant development in FT markets and marketing, which is comparatively both recent and under-researched, is the Fairtrade Towns (FTT) movement. This began in 2001 when a group of local activists within the small town of Garstang UK persuaded the Fairtrade Foundation (the NGO responsible for promoting, regulating and accrediting FT products) to recognise local efforts to promote the consumption of FT products by accrediting Garstang as a ‘‘Fairtrade Town’’. This approach of accrediting places of consumption according to local consumption practices, and actions taken to promote them, was then adopted and formalised by the Fairtrade Foundation into a national campaign with strong governmental endorsement (Malpass et al. 2007). The resulting FTT movement has been described as ‘‘a grassroots campaign to ‘grow the Fairtrade market’ one community at a time’’ (Lyon 2014, p. 150). Becoming certified as a FTT by the Fairtrade Foundation depends upon the following: The local (government) council passing a resolution supporting FT, and serving FT coffee and tea at its meetings and in offices and canteens. A range of FT products being readily available in the town/city’s shops and served in local cafe´s and catering establishments (with targets set in relation to population). FT products being used by a number of local work places and community organisations (again with targets set in relation to population). The council actively attracting popular support for the campaign. A local FT steering group being convened and maintained to ensure a continued commitment to FT status. The promotion of FTTs by the Fairtrade Foundation, government and others led to a rapid growth in their numbers to reach 612 in the UK by the start of 2016, with 1116 more established across a further 25 countries (Fairtradetowns.org 2016). The movement has created a substantial network of localised FT marketing systems in which local populations are enrolled through residence and supplemented by visitors and workers (Malpass et al. 2007), empowering consumers to act locally on their ethical concerns (Alexander and Nicholls 2006). This has played an important part in driving FT sales in the UK (the world’s largest FT market) to £1.6 billion, with nine out of ten consumers recognising the FT label (Fairtrade Impact Story 2016). Globally FT’s market share is now worth over £6.25 billion, reportedly assisting 1.6 million farmers and workers across 75 countries (Fairtrade Annual Report 2016). FTTs are recognised as an innovative form (...truncated)


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Ken Peattie, Anthony Samuel. Fairtrade Towns as Unconventional Networks of Ethical Activism, Journal of Business Ethics, 2018, pp. 1-18, DOI: 10.1007/s10551-016-3392-3