Friday, January 10, 2014
Tweet[IWS] World Bank: HOW FIRMS COPE WITH CRIME AND VIOLENCE: EXPERIENCES FROM AROUND THE WORLD [January 2014]
IWS Documented News Service
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Institute for Workplace Studies----------------- Professor Samuel B. Bacharach
School of Industrial & Labor Relations-------- Director, Institute for Workplace Studies
Cornell University
16 East 34th Street, 4th floor---------------------- Stuart Basefsky
New York, NY 10016 -------------------------------Director, IWS News Bureau
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World Bank
HOW FIRMS COPE WITH CRIME AND VIOLENCE: EXPERIENCES FROM AROUND THE WORLD [January 2014]
by Michael Goldberg, Kwang Wook Kim, and Maria Ariano
https://openknowledge.worldbank.org/handle/10986/16539
or
https://openknowledge.worldbank.org/bitstream/handle/10986/16539/9781464801013.pdf?sequence=1
[full-text, 109 pages]
Abstract
Crime and violence inflict high costs on the private sector—costs that are rising globally, according to the World Bank’s Enterprise Surveys, discussions with chambers and associations, and the Bank’s Country Partnership Strategies, which reference the losses in terms of gross domestic product (GDP). In Latin America and the Caribbean, for example, losses due to crime and violence have been estimated at 9 percent of GDP in Honduras, 7.7 percent in El Salvador, and 3.6 percent in Costa Rica. In sectors such as clothing assembly, international purchasers can shift know-how and capital quickly to less violent destinations, while other sectors such as extractive industries are more likely to stay despite rising violence. Behind the statistics are human costs: lost jobs; shifting of businesses’ working capital from productive uses to security firms; and an increase in contraband, fraud and corruption, and “rule of law” issues. In this book, original case studies from Brazil, Colombia, Jamaica, Mexico, Nepal, and Rwanda illustrate the specific challenges to businesses and the coping mechanisms that firms and groups of firms have used successfully against crime and violence. The book’s findings have implications for the private sector, governments, and the World Bank’s efforts to support both under difficult circumstances.
Foreword ix
Acknowledgments xi
About the Authors xiii
Abbreviations xv
Chapter 1 The Nature, Scale, and Scope of Private Sector Responses to Crime and Violence 1
Introduction 1
Study Scope and Methods 2
Note 4
References 5
Chapter 2 Crime, Violence, and the Economy 7
Factors Contributing to Crime and Violence 7
Indicators of Crime and Violence 8
Comparing the Impacts of Crime and Violence 9
References 11
Chapter 3 Coping Mechanisms of Private Firms: Analysis of
Global Cases 13
Overview of Case Studies 13
How Crime and Violence Affect Firms 13
Coping Mechanisms 16
Analysis and Lessons Learned 22
Policy Implications 24
Notes 25
References 26
Chapter 4 World Bank Group Work: From Policies and Research
to Operational Initiatives 27
Growing Focus on Crime and Violence 27
Private Sector Development (PSD) Initiatives 27
Non-PSD Initiatives 28
Notes 30
References 31
Chapter 5 World Bank Group Support for Private Sector
Development in Environments of Crime and Violence 33
Opportunities for Support 33
Moving the Agenda Forward 34
Operational and Research Issues 36
Notes 37
References 37
Chapter 6 Case Studies 39
Case 1: Medellín, Colombia—How the Public and Private Sectors Have Coped with Violence 39
Case 2: Rio de Janeiro, Brazil—The Favelas and the Private Sector: An Increasingly Safe Bet? 49
Case 3: Jamaica—Coping with Violence in Paradise 55
Case 4: Mexico—Public-Private Responses to Violence 63
Case 5: Nepal—Private Sector’s Varied Responses to Violence and Crime 69
Case 6: Rwanda—Turning the Tide of Violence in Postconflict Settings through Value Chains 76
Notes 82
References 84
Boxes
1.1 Literature Review on the Role of Firms Environments Affected by Violence and Conflict 3
4.1 Public-Private Dialogue in Investment Climate Interventions 29
6.1 The Case of Mexico City: Mobile Apps to Find Gangs and
Foster Accountability with the Local Government 68
Figures
2.1 Countries with the Highest Homicide Rates 8
2.2 Homicide Rates in Case Study Countries 8
2.3 Homicide Rate Trends in Central America, Selected Countries, 1999–2009 9
2.4 Security Constraints and Costs of Doing Business in Case Study Countries Relative to Global Averages 10
6.1 Homicide Rates in Medellín, Colombia, 1965–2008 42
6.2 Impact of Crime on Selected Business Practices in Jamaica, 2001 57
6.3 Private Security Costs as Percentage of Firm Revenue, by Firm Size, in Jamaica, 2001 58
6.4 Crime Protection Actions by Firms in Jamaica 59
6.5 Flankers Peace & Justice Center, Jamaica, Built with Support from Sandals Foundation 60
Tables
3.1 Overview of Case Studies for How Firms Cope with Crime and Violence 14
3.2 Matrix of Firm Strategies to Cope with Crime and Violence 17
4.1 Recent World Bank CASs and CPSs Addressing Crime and Violence in Latin America and the Caribbean 28
6.1 Medellín, Colombia: Summary of Key Crime and Violence Indicators and Coping Mechanisms 41
6.2 Rio de Janeiro: Summary of Key Crime and Violence Indicators and Coping Mechanisms 50
6.3 Jamaica: Summary of Key Crime and Violence Indicators and Coping Mechanisms 56
6.4 Victimization of Firms, by Sector and Type of Crime in Jamaica, 2001 57
6.5 Mexico: Summary of Key Crime and Violence Indicators and Coping Mechanisms 63
6.6 Nepal: Summary of Key Crime and Violence Indicators and Coping Mechanisms 70
6.7 Strategies of Nepalese Firms to Cope with Political Instability, Crime, and Violence 71
6.8 Rwanda: Summary of Key Crime and Violence Indicators and Coping Mechanisms 76
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