Clash of the Titans: Conflict Intensity, Community Dependence on Environmental Resources, and Stakeholder Multiplicity

Extending the stakeholder multiplicity perspective and resource dependence theory, this study investigates how the dependency of both a company and a community on environmental resources for livelihoods influences the conflict intensity between them. We theorize that companies face difficulties in managing key stakeholders when these stakeholders heavily rely on environmental resources for their livelihoods. We also argue that their conflicted relationship depends on surrounding stakeholders' involvements. This study highlights that stakeholder multiplicity shapes the dynamics in stakeholder salience (competing or cooperating), which in turn affects companies' approach toward them. The study analyses 318 global mining conflicts spanning from 2002 to 2013 using a hand-collected, multi-source dataset. Empirical findings reveal that local communities' dependence on environmental resources increases the intensity of conflicts between mining companies and communities. The positive effect of communities' resource dependence on conflict intensity is weakened by the involvement of environment-oriented (vis-a-vis growth-oriented) government actors. In contrast, the lack of support from broader society (societal inequality) strengthens this effect.