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University of Vaasa - Vaasan yliopisto

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Public Politics and Private Politics<br />

710<br />

Baron (2003) explained the change <strong>of</strong> NGOs’ strategy using the “Public Politics” and<br />

“Private Politics”. The ‘Public Politics’ is a measure through which NGOs require<br />

government to introduce new regulations, and the ‘Private Politics’ is one through<br />

which NGOs try to directly affect decision making <strong>of</strong> companies. NGOs’ movements<br />

can also be separated in the advocacy movement through which NGOs try to collect<br />

and diffuse information <strong>of</strong> companies and the market-based movement through<br />

which NGOs try to affect the marketing strategies <strong>of</strong> companies, typically boycotting<br />

and anti-movements. Or the private politics can be understood as an adversarial<br />

approach and a cooperative approach.<br />

NGOs internationally shifted in 1990s from the public politics to the private politics,<br />

from protest movements to cooperative movements. An NGO at first introduced<br />

boycotting but it was costly. However, some activities aimed cooperation between<br />

the company and the NGO were successful in reducing the information costs and<br />

improving the relationship. Invention <strong>of</strong> the non-CFC refrigerator “green freeze” is a<br />

successful example <strong>of</strong> such kind <strong>of</strong> cooperation. This kind <strong>of</strong> cooperation must<br />

promote information exchange between the company and the NGO. The NGO can<br />

learn the technology which the company has, and the company can use the liability<br />

<strong>of</strong> the NGO. German consumers want the information about the environmental<br />

effects <strong>of</strong> the company, but they want the credibility <strong>of</strong> such information to be<br />

ensured by an independent organisation at the same time. Companies learned that<br />

disclosure brings them market supremacy by using the trust <strong>of</strong> NGOs. An attitude<br />

toward the environmental problems <strong>of</strong> Japanese companies shifted consciously from<br />

reaction to regulations to strategic correspondence as managerial task.<br />

Change <strong>of</strong> Relationship<br />

Sometimes the relationship itself can change. In the case <strong>of</strong> Japan, an environmental<br />

policy produced a new tension <strong>of</strong> government, companies and NGOs. As explained<br />

above, a Japanese institution was very rigid in which the government, bureaucracy<br />

and companies had a strong connection. The information which all stakeholders<br />

needed was exchanged only within this circle. This relationship was based on<br />

Japanese sectionalism, but an environmental policy did not belong to any sector. A<br />

power game <strong>of</strong> government and companies occurred in this situation. After<br />

researching about the environmental impact assessment law, Murai (2000) suggested<br />

the change <strong>of</strong> the opportunity structure <strong>of</strong> a Japanese environmental policy was<br />

drastic at that time. The Japanese environmental agency tried in 1997 to enact the<br />

environmental impact assessment law again 9 . At that time the Ministry <strong>of</strong><br />

International Trade and Industry (MITI) and the Federation <strong>of</strong> Electric Power<br />

Companies <strong>of</strong> Japan confronted for the intensity <strong>of</strong> the law. The environmental<br />

Agency which has for a long time dealt with enactment <strong>of</strong> the law got favourable<br />

reaction from other ministries. The MITI which wanted to keep its influence on the<br />

9 the environmental agency has tried six times since 1975 to 1982 to enact the environmental impact<br />

assessment law (Murai 2000)

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