Sustainable Corporate Social Responsibility & Innovation through Partnership Development and Continuous Communication: A case study of IKEA Trading Area South East Asia (TASEA) and its Vietnamese Suppliers

Abstract: Due to pressures from consumers and activists, multinational retailers are assuming more responsibilities in managing their supply chains—ensuring ethical production, fair employment, elimination of child labor, and reduction of environmental destructions. Considerable resources have been invested in monitoring compliance with codes of conduct and capacity building among suppliers and sub-suppliers in order to maintain sustainable value chains. This Master Degree Project intends to answer how can a multinational corporation demonstrate and communicate the potential benefits of implementing its code of conduct to its suppliers in developing countries? A multidisciplinary approach and a field research study in Vietnam allow the researchers to verify that mutual trust and long-term commitment are essential to the success of integrating corporate social responsibility and innovation practices into the core operation. By emphasizing on finding solutions through hands-on approach and strategic investment, businesses can improve economic, environmental and social performance. However, this is not easy to achieve without having strong alliance partners committed to long-term change, sharing accountabilities, and focusing on activities that create positive results with measurable outcomes.