This article explores three main themes in comparing the transitional processes in Afghanistan and Iraq: (i) the clarity of the transitional frameworks and the need to separate discussions on such frameworks from debates on new constitutional arrangements; (ii) the degree of representation in the transitional institutions and the availability of channels for political consultation in the transitional processes; and (iii) the participation of civil society and the public at large in the transition processes.

This article is concerned with the question of whether participation in the global economy leads to sustainable income growth. It examines the furniture industry of Central Java, which has grown rapidly since the financial crisis in 1997. The article shows that the exporting small and medium-sized enterprises generated substantial employment and income growth. However, this growth is not sustainable because the viability of exports has become dependent on wood which is logged illegally and risks depletion. Government and donor projects aimed at small enterprises risk driving these enterprises deeper into the race to the bottom. The article then discusses ways to avoid this, stressing the need for a coalition of public and private actors along the local–global axis.

In the corporate world, design has received increasing attention over the last 50 years and is now firmly embedded within almost all aspects of corporate activity. This article explores the role of design in development. Design is widely used and understood within capitalist economies to denote a diverse set of tools, used to maximise market share, sales, and profits, and support market differentiation and brand identity of products. The progress of two convergent design-related threads is charted briefly: the growth, since 1950, of a view that design has a real contribution to make to social responsibility and sustainability; and the increasing evidence of design-like skills being used in development contexts. The article reviews several alternative models that are being developed and concludes with a number of short case studies, which illustrate these models and highlight the potential of their largely process-based methodologies for private-sector activity in a development context.

Few issues in the development process raise as much heat as the role of the international private sector in the form of transnational corporations (TNCs) and foreign direct investment (FDI). This article reviews the most recent research on the impact of FDI on economic growth and poverty reduction in developing countries. A brief history of FDI is given. This is followed by discussion of the conceptual transmission mechanisms linking FDI, growth, and poverty. The available empirical evidence is then discussed. It is argued that it is not a question of whether FDI is good or bad for social and economic development, but that its impact is determined by the terms upon which FDI is accepted. Although overall the evidence on FDI, growth, and poverty is not conclusive, research has had a tendency to suggest that the benefits of FDI are linked to the FDI policy regime; and that the current orthodoxy of maintaining a highly liberal FDI policy regime leads to a situation whereby developing countries have a precarious trade-off to make between attracting FDI and maintaining policy instruments to extract the benefits of any inflows.

The corporate social responsibility (CSR) agenda has taken off since the 1980s, with both civil society and business actors involved in mobilising around it. This paper examines the reasons for civil society mobilisation on CSR issues, the types of organisations involved, and their different forms of activism and relations with business. It then identifies the ways in which big business is engaging with and shaping the CSR agenda, but questions whether this agenda can effectively contribute to development. The paper argues that the CSR agenda can deal with some of the worst symptoms of maldevelopment, such as poor working conditions, pollution, and poor factory–community relations, but that it does not deal with the key political and economic mechanisms through which transnational companies undermine the development prospects of poor countries. A final section considers how this agenda may evolve on the basis of recent developments in CSR activism and regulation.

In the last two decades, the private sector has been placed under intensifying pressure to ensure it operates in an environmentally and socially responsible manner. Companies have moved through various phases of response, starting with a ‘deny and defend’ position, moving to ‘paying penance’ through donations and philanthropy, and currently settling on risk management through mitigating the negative impacts of their business operations. Drawing on research undertaken by Oxfam International mainly in the retail sector, as well as in the coffee and pharmaceutical sector, this article argues that the current approach is, as yet, inadequate. Simply mitigating negative impacts through castigating intermediaries or suppliers does not contribute to sustainable solutions. For the private sector to meet corporate social responsibility pledges, companies need to pursue alternative business models that forge connectivity, coherence, and interdependence between their core business operations and their ethical and environmental commitments.

Many governments and aid agencies believe that small businesses can contribute to promoting more equitable development, as well as enhancing the competitiveness of local industries within a global economy. While small, micro, and medium-sized enterprises (SMEs) may have a role to play in creating jobs, and generating and redistributing wealth, they need to overcome many obstacles. This article stresses the importance of understanding the specific context, establishing priorities among competing policy goals, and distinguishing between the actual and potential roles of different kinds of enterprises (by sector, size, and geographical location). Only on such a basis is it possible to identify the resources and policies most appropriate for each goal and each type of enterprise. These arguments are illustrated with reference to South Africa, whose government has sought simultaneously to promote SME development, Black Economic Empowerment, and global competitiveness.

Civil society is seen increasingly as a necessary element of sustainable human development. Some Northern NGOs hope to contribute to the development of civil society by partnering with Southern NGOs. However, recent scholarship shows that such partnerships are frequently dominated by the Northern NGO, thus inhibiting the establishment of vibrant, locally owned and locally managed civil society organisations. This paper explores some of the practical reasons for this imbalance and suggests strategies for working within what Alan Fowler calls ‘authentic partnerships’. Such partnerships prevent the domination of Northern NGOs and thus help foster a climate more amenable to the growth of civil society. Suggested strategies for promoting authentic partnerships address funding, working relationships, phase-out, advocacy, and evaluation of the partnership itself. The paper draws on a case study of the partnership work of the Christian Reformed World Relief Committee (CRWRC), a North American faith-based NGO.Roland Hoksbergen is Professor of Economics and International Development at Calvin College in Grand Rapids, MI.

Ethical trade, through codes of practice, forms an important part of the value chains for horticultural products sourced from Africa by major European buyers. This paper explores the relationship between value chains in the horticultural sector, the employment patterns of African producers, and the process of code implementation from a gender perspective. It asks whether, in the context of the gendered economy, codes alone can improve working conditions for all workers. Using case studies of Kenyan flowers, South African fruit, and Zambian flowers and vegetables, the article highlights the implications of flexible employment strategies for workers, and shows that social codes have not necessarily achieved better outcomes for women and informal workers, owing to the gendered economy. Ultimately, it is only by addressing the local gendered economy that the employment conditions of all workers, including those of marginal workers and women, are likely to improve.

Pastoralists are marginalised in the Horn of Africa and receive inadequate veterinary services. Under economic structural adjustment programmes, public veterinary services became increasingly ineffective and, in response, community-based NGO programmes were established in some pastoral areas. While these programmes were often considered to be effective, with few exceptions they were small in scale, isolated from central government, and based on subsidised systems of drug distribution. Consequently, their sustainability was questionable. Governments now have incentives to improve veterinary services to pastoralists because of new possibilities for increasing livestock exports alongside new concerns about protecting consumers from livestock-related diseases. Current policy and institutional reform is encouraging a greater role for the private sector in service delivery but this is developing slowly, particularly in pastoral areas where future provision is likely to involve public–private partnerships.Trish Silkin is an anthropologist with more than 20 years of experience in the Horn of Africa. She works as a social development consultant with special interests in social and policy research and analysis, livelihoods, and institutional change. Email: [email protected]