Barrick Gold Corporation – Tanzania

Author :

Aloysius Newenham-Kahindi, Paul W. Beamish

Pages :

15

Product Type :

Case

Reference # :

9B10M020

Teaching Note :

8B10M20

Institute:

Ivey Publishing

Setting:

Tanzania;Canada, Large

Year:

2010

Keywords:

Subsidiaries; Business and Society; Corporate Social Responsibility; Cross Sector Social Partnership; Government Relations, General Management/Strategy, Organizational Behaviour/Leadership, International

Summary/Abstract:

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.