IDEAS home Printed from https://ideas.repec.org/a/gam/jsusta/v10y2018i3p614-d133760.html
   My bibliography  Save this article

Effect of Local Community’s Environmental Perception on Trust in a Mining Company: A Case Study in Mongolia

Author

Listed:
  • Lavdmaa Dagvadorj

    (Graduate School of Environmental Science, Hokkaido University, Kita 10, Nishi 5, Sapporo 060-0810, Hokkaido, Japan)

  • Bolorchimeg Byamba

    (Graduate School of Environmental Science, Hokkaido University, Kita 10, Nishi 5, Sapporo 060-0810, Hokkaido, Japan)

  • Mamoru Ishikawa

    (Faculty of Environmental Earth Science, Hokkaido University, Kita 10, Nishi 5, Sapporo 060-0810, Hokkaido, Japan)

Abstract

While the mining industry is booming globally, local communities resist mining operations. It is crucial for mining companies to maintain trust within these communities to prevent conflicts. This research investigated local community’s trust in a mining company in Mongolia using a questionnaire survey. We assessed the residents’ perceptions of the company’s effort to maintain environmental protection, as a determinant of trust, in addition to the determinants of motivation and ability. The results showed that the trust level varied within the different respondent groups and the determinants of trust differentially explained the state of trust. The nomadic herders who lived close to the mine site had low trust while being sensitive to the environmental effects. Other herders had neutral trust. Town citizens had high trust, which was mainly related to positive perceptions of motivation. Communicability of the information provided by the company influenced formulation of positive and negative perceptions. Overall, low trust likely leads to conflicts. Therefore, mining companies are advised to conduct surveys with different groups in the local community, especially those sensitive to environmental changes, and take measures to maintain trust.

Suggested Citation

  • Lavdmaa Dagvadorj & Bolorchimeg Byamba & Mamoru Ishikawa, 2018. "Effect of Local Community’s Environmental Perception on Trust in a Mining Company: A Case Study in Mongolia," Sustainability, MDPI, vol. 10(3), pages 1-12, February.
    • Handle: RePEc:gam:jsusta:v:10:y:2018:i:3:p:614-:d:133760
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/2071-1050/10/3/614/pdf
    Download Restriction: no
    File URL: https://www.mdpi.com/2071-1050/10/3/614/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Prno, Jason & Scott Slocombe, D., 2012. "Exploring the origins of ‘social license to operate’ in the mining sector: Perspectives from governance and sustainability theories," Resources Policy, Elsevier, vol. 37(3), pages 346-357.
    2. Lee Cronbach, 1951. "Coefficient alpha and the internal structure of tests," Psychometrika, Springer;The Psychometric Society, vol. 16(3), pages 297-334, September.
    3. Richard G. Peters & Vincent T. Covello & David B. McCallum, 1997. "The Determinants of Trust and Credibility in Environmental Risk Communication: An Empirical Study," Risk Analysis, John Wiley & Sons, vol. 17(1), pages 43-54, February.
    4. Michael Siegrist & George T. Cvetkovich & Heinz Gutscher, 2001. "Shared Values, Social Trust, and the Perception of Geographic Cancer Clusters," Risk Analysis, John Wiley & Sons, vol. 21(6), pages 1047-1054, December.
    5. Moffat, Kieren & Zhang, Airong, 2014. "The paths to social licence to operate: An integrative model explaining community acceptance of mining," Resources Policy, Elsevier, vol. 39(C), pages 61-70.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. França Pimenta, Adriano Augusto & Demajorovic, Jacques & Saraiva de Souza, Maria Tereza & de Carvalho Pedro, Samara & Pisano, Viviane, 2021. "Social licence to operate model: Critical factors of social acceptance of mining in the Brazilian Amazon," Resources Policy, Elsevier, vol. 74(C).
    2. Yu Li & Hui Liu & Lijuan Su & Sidi Chen & Xiaojun Zhu & Pengfei Zhang, 2023. "Developmental Features, Influencing Factors, and Formation Mechanism of Underground Mining–Induced Ground Fissure Disasters in China: A Review," IJERPH, MDPI, vol. 20(4), pages 1-31, February.
    3. Juhari Ahmad & Abdul Razaq Ahmad & Jalaluddin Abdul Malek & Nur Asyirah Izzati Lut Ahmad, 2018. "Social Support and Social Participation among Urban Community in Malaysia," International Journal of Academic Research in Business and Social Sciences, Human Resource Management Academic Research Society, International Journal of Academic Research in Business and Social Sciences, vol. 8(6), pages 418-428, June.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Richert, Claire & Rogers, Abbie & Burton, Michael, 2015. "Measuring the extent of a Social License to Operate: The influence of marine biodiversity offsets in the oil and gas sector in Western Australia," Resources Policy, Elsevier, vol. 43(C), pages 121-129.
    2. Alberto Diantini & Salvatore Eugenio Pappalardo & Tim Edwards Powers & Daniele Codato & Giuseppe Della Fera & Marco Heredia-R & Francesco Facchinelli & Edoardo Crescini & Massimo De Marchi, 2020. "Is this a Real Choice? Critical Exploration of the Social License to Operate in the Oil Extraction Context of the Ecuadorian Amazon," Sustainability, MDPI, vol. 12(20), pages 1-24, October.
    3. Miguel Ángel López-Navarro & Jaume Llorens-Monzonís & Vicente Tortosa-Edo, 2013. "The Effect of Social Trust on Citizens’ Health Risk Perception in the Context of a Petrochemical Industrial Complex," IJERPH, MDPI, vol. 10(1), pages 1-18, January.
    4. Anne-Maree Dowd & Michelle Rodriguez & Talia Jeanneret, 2015. "Social Science Insights for the BioCCS Industry," Energies, MDPI, vol. 8(5), pages 1-19, May.
    5. Danny Zhao‐Xiang Huang, 2022. "An integrated theory of the firm approach to environmental, social and governance performance," Accounting and Finance, Accounting and Finance Association of Australia and New Zealand, vol. 62(S1), pages 1567-1598, April.
    6. Wouter Poortinga & Nick F. Pidgeon, 2003. "Exploring the Dimensionality of Trust in Risk Regulation," Risk Analysis, John Wiley & Sons, vol. 23(5), pages 961-972, October.
    7. Kazuya Nakayachi & George Cvetkovich, 2010. "Public Trust in Government Concerning Tobacco Control in Japan," Risk Analysis, John Wiley & Sons, vol. 30(1), pages 143-152, January.
    8. Leena Suopajärvi & Karin Beland Lindahl & Toni Eerola & Gregory Poelzer, 2023. "Social aspects of business risk in the mineral industry—political, reputational, and local acceptability risks facing mineral exploration and mining," Mineral Economics, Springer;Raw Materials Group (RMG);Luleå University of Technology, vol. 36(2), pages 321-331, June.
    9. Mercer-Mapstone, Lucy & Rifkin, Will & Moffat, Kieren & Louis, Winnifred, 2017. "Conceptualising the role of dialogue in social licence to operate," Resources Policy, Elsevier, vol. 54(C), pages 137-146.
    10. Wright, Susan & Bice, Sara, 2017. "Beyond social capital: A strategic action fields approach to social licence to operate," Resources Policy, Elsevier, vol. 52(C), pages 284-295.
    11. Michael O. Erdiaw‐Kwasie & Khorshed Alam & Enamul Kabir, 2017. "Modelling Corporate Stakeholder Orientation: Does the Relationship Between Stakeholder Background Characteristics and Corporate Social Performance Matter?," Business Strategy and the Environment, Wiley Blackwell, vol. 26(4), pages 465-479, May.
    12. Yıldız, Taşkın Deniz & Kural, Orhan, 2020. "The effects of the mining operation activities permit process on the mining sector in Turkey," Resources Policy, Elsevier, vol. 69(C).
    13. Asah, Stanley T. & Baral, Nabin, 2018. "Technicalizing non-technical participatory social impact assessment of prospective cellulosic biorefineries: Psychometric quantification and implications," Applied Energy, Elsevier, vol. 232(C), pages 462-472.
    14. António Mateus & Luís Martins, 2021. "Building a mineral-based value chain in Europe: the balance between social acceptance and secure supply," Mineral Economics, Springer;Raw Materials Group (RMG);Luleå University of Technology, vol. 34(2), pages 239-261, July.
    15. Cesar, Saenz, 2019. "Earning a social license to operate in mining: A case study from Peru," Resources Policy, Elsevier, vol. 64(C).
    16. Ryan D. Bergstrom & Afton Clarke-Sather, 2020. "Balancing Socio-Ecological Risks, Politics, and Identity: Sustainability in Minnesota’s Copper-Nickel-Precious Metal Mining Debate," Sustainability, MDPI, vol. 12(24), pages 1-23, December.
    17. Daniel M. Shapiro & Carlos Vecino & Jing Li, 2018. "Exploring China’s state-led FDI model: Evidence from the extractive sectors in Latin America," Asia Pacific Journal of Management, Springer, vol. 35(1), pages 11-37, March.
    18. Walsh, Kathryn Bills & Haggerty, Julia H., 2020. "Social license to operate during Wyoming's coalbed methane boom: Implications of private participation," Energy Policy, Elsevier, vol. 138(C).
    19. Mercer-Mapstone, Lucy & Rifkin, Will & Louis, Winnifred & Moffat, Kieren, 2017. "Meaningful dialogue outcomes contribute to laying a foundation for social licence to operate," Resources Policy, Elsevier, vol. 53(C), pages 347-355.
    20. Brock Bastian & Airong Zhang & Kieren Moffat, 2015. "The Interaction of Economic Rewards and Moral Convictions in Predicting Attitudes toward Resource Use," PLOS ONE, Public Library of Science, vol. 10(8), pages 1-9, August.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:gam:jsusta:v:10:y:2018:i:3:p:614-:d:133760. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: MDPI Indexing Manager (email available below). General contact details of provider: https://www.mdpi.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.