Ineffective industry self-regulation


Nature

Industry self-regulation is the introduction and adaptation of business practices to meet ethical, professional, social and environmental criteria, with self-imposed standards, guidelines, targets and monitoring systems -- possibly enforced by endorsed codes of practice, membership of professional and trade associations, and non-regulatory agreements, the latter being sets of principles for action intended to influence the conduct of business (typically based on exhortation with no compliance requirements, and intended to influence both external regulation and self-regulation of the industry). Self-regulation usually originates is large international companies providing leadership to the industry as a whole. The benefits and experience they achieve can be passed on, through trade and professional associations and codes of practice, to smaller companies who might otherwise escape the regulatory net.

Incidence

In 1992, only 5 of the 35 tourist companies which even responded to an industry questionnaire, stated that they had specifically implemented codes of practice or guidelines promoted by a specific group (such as the Himalayan Tourist Code).

Narrower

  1. Uncontrolled media
  2. Trade restrictions due to voluntary export restraints
  3. Social environmental degradation from recreation and tourism
  4. Public non-accountability in control of production processes
  5. Limited observance of fishing quotas
  6. Lack of professional standards
  7. Lack of full cost accounting of consumer products
  8. Ineffective self-regulation in the tourist industry
  9. Ineffective self-regulation in the telecommunications sectors
  10. Ineffective self-regulation in the shipping industry
  11. Ineffective self-regulation in the mining industries
  12. Ineffective self-regulation in the housing construction industry
  13. Ineffective self-regulation in the health care sector
  14. Ineffective self-regulation in the food-processing industries
  15. Ineffective self-regulation in the fishing industry
  16. Ineffective self-regulation in the financial services sectors
  17. Ineffective self-regulation in the consumer goods manufacturing industries
  18. Ineffective self-regulation in the chemicals manufacturing industries
  19. Ineffective self-regulation in the automobile manufacturing industry
  20. Domination of agricultural equipment industry by transnational corporations


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