UBC Theses and Dissertations

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UBC Theses and Dissertations

Stakeholders' perception on the applicability of shared value creation in Mongolian mining development Gongor, Damdinnyam


In recent decades, world population growth has resulted in an unprecedented rise in consumer demand for goods and commodities, and has resultantly triggered the rapid development of relevant industries, including the mining sector. Site-specific effects of the rapid industrial development have led to environmental issues and mounting social dissatisfaction, and have created major obstacles for the industry. Weak governance, an unstable regulatory environment and ill-defined public expectations are considerations that should all be taken into account in order to better understand the current dynamics. Researchers, scientists and business owners are looking for ways to effectively mitigate some of the non-technical challenges facing the industry, proposing various tools, approaches and innovative ideas to moderate risks and to assist with collaboration. One idea gaining momentum is the “Shared Value” approach, which is the subject of this thesis. This research explores the applicability of the Shared Value approach within the Mongolian context. This research focuses on the mining industry’s impact on Mongolia’s development, the negative effects of which have mainly been caused by the unequal distribution of the mining wealth over the last 25 years, analyzes and identifies factors which have led to current social and political issues faced within Mongolia, and which can be traced back to the development of the mining sector. The current situation regarding public perceptions and expectations in Mongolia are based on a survey of the major mining stakeholders. The results of this survey will help us understand the public expectations held in Mongolia with respect to mining development, and these considerations will be taken into account in the development of future strategies. The case study of the situation in Mongolia offers us a unique opportunity to study the development of the mining industry in a country with a highly educated population that is endowed with vast untapped natural resources, and yet which is unable to fully benefit from these advantages because of weak governance, appropriate or inappropriate governmental regulations, mining projects with disastrous environmental and social impacts, and the often one-sided and polarized involvement of civil societies.

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