A critical review of Davenport & Low, 2013, From trust to compliance: accountability in the fair trade movement, Social Enterprise Journal, vol. 9, no. 1, pp 88-101. Davenport & Low (2013) conducted a study on the evolution of the fair trade movement from trust-based relationships to standards-based systems. The research highlighted the external and internal accountability approach adopted by the Fair Trade Labeling Organization International (FLO) and the World Fair Trade Organization (WFTO). The external liability used by FLO focuses respectively. on standards-based certification where the reliability of products depends on the label and control "rituals", while the WFTO acquires internal responsibility through organizational self-assessment based on democracy and trust between producer and consumer. The findings revealed that the disclosure of labeling and certification used by FLO transformed the trust relationship into a market-based relationship. Jahn et al. (2005) pointed out that it would create substantial “brand risk” for Fairtrade labeling if it were monitored everywhere...
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