Market and Non-Market Strategy to deal with Non-Market Issue

By (Student Name :)

Foundation Course-
Tutor:
Institution:

Date:

1. Issue
Greenpeace Company, Indian branch, has for the last one month suffered administrative and political fallout with the Indian authorities over what it calls ‘strangulation by stealth.’ (Bhalla 2015). According to Aulakh (2015), there is a public struggle between the Indian government and Greenpeace, who see it as a “threat” to national development. Further, a report from an intelligence unit from India showed how a campaigner from Australia working for Greenpeace was denied entry into the country sourcing him as a major threat towards the government. Bhalla (2015) further narrates how the organization faced closure due to foreign funding being blocked for a month and registration suspension for six months. In a statement to the newsrooms, the NDA responded to claims of the closure of Greenpeace foreign account. They claimed that the organization was violating the Foreign Contribution Regulation Act (FCRA) and tax laws (Singh 2015). The stated law scrutinizes NGO’S of ‘political nature’ and bars them from obtaining donations from the international partners (Bhalla 2015).
Moreover, in January 2012, the NGO’s senior campaigner Priya Pillai was also stopped from boarding a plane to London. The government cited her as the source of problems it was facing at the time (Business Standard 2015). Needless to note, she was only fighting for the interests of locals in the Mohan region. In her favor, Delhi High Court overruled the government’s decision of blocking her travel to the British parliament. (The times of India 2015).
The genesis of this fallout began several years back. According to a standard’s business reporter Sethi (2015), the NDA (National Democratic Alliance) government intended to issue out a license of clearance to Hindalco Industries and Essar Power in 2006 to mine coal in Mahan. Mahan sits on one of the best sal forests in Madhya Pradesh, it is inhabited by some indigenous groups of people who view the forest as their only natural habitat. The coal block is on the periphery of Mahan Ban Forest while the area covered by coal is 9.8 square kilometer which, in essence, is 1.05% of the forest cover.(Agnihotri 2015) According to the government of Madhya Pradesh, 0.4-0.7 density of Mahan Forest is the one that comprises the Mahan Coal Block.( Agnihotri 2014). It is absurd to note that, was it not for the intervention by Greenpeace, the two companies (Hindalco and Essar) would have chopped down over 500,000 trees over about 1,000 hectares (Sethi 2015). Their activities would imply that the locals who depend on the forest for cattle herding and survival would have to either relocate or, they would perish from the harsh climate changes subsequently. Essar Company formulated a strategy, where they reached out to the prime minister, foreign affairs ministry, and the environment minister Jairam Ramesh. The minister for environment is on record citing, that he was being forced to clear the block as a fait accompli, but he suggested alternative blocks. Greenpeace with an intervention of 11 tribe members known as the Mahan Sangharsh Samiti (MSS) organized protests for their forest. Greenpeace subsequently took the issue up, this gained further support from the larger Indian and International community through its signature high-amp campaign mode (Sethi 2015). Under the forest rights act, the government is not allowed to sidestep the rights of the indigenous groups at whatever cost.
2. Actors and Interests
There are several groups that might be of help in the struggle for the total cancelation of the forest cover in Mahan by Greenpeace. These groups include the local tribes of Mahan region, the Indian Press, the opposition party leaders, the International community (U.K government and the American government). Additionally, the interested local companies and entrepreneurs, activists and Non-Governmental Organizations operating in India and finally the courts care actors to this agenda.
Greenpeace ought’s to try and maintain a continued relationship with the MSS as a measure to ensure their support. In any public struggle, there is the need to have those who will stand by you at all cost. The local tribes of Mahan region should continue registering their unending support for the liberalization of their natural habitat from the jaws of Essar and other greedy organizations. The only way that they may be able to achieve total freedom from economic slavery from the NDA (National Democratic Alliance) is by joining hands with Greenpeace.
Luckily enough, the national press is aware of the kind of hegemony the government is trying to thwart at the very progressive Non-governmental organization through the foreign contribution act. According to an editorial by Aulakh (2015), Mr Madhuresh Kumar of the National Alliance of People’s Movement cited that cracking down on Greenpeace will utterly send a message to all the other NGOs that they too can be gagged. They stem their authority using unscrupulous mechanisms that the media clearly understands. The issues might work in favor of Greenpeace, if they cite such questions to lobby for support from the Indian and the international community media.
From the statements made by Madhuresh Kumar and other government officials, Greenpeace may use them to unmask the weaknesses at the National government. They can also use the opposition leaders and pave the way for their support so that the rights of citizens in forest areas are protected. Sethi (2013) lets it out that UPA government undermined the rights of citizens in Mahan when it cleared the license to Essar for Rs-6500 Mohan block. Such issues may help in driving the debate forward.
Greenpeace is an international organization that is involved with charity activities, and has bases in every part of the world. In the event that it desires support for its course, it may seek help from the United States administration, which has clear-cut environmental protection policies. Moreover, the international community has interests in India, and hence, they would always be willing to assist.
The local companies that were interested in mining coal and never got an opportunity to do so can help check the most conducive ways of merging with Greenpeace. The combination of forces and resources in this case will foster their collaboration towards ensuring a greener and safer India. Arguably, the best platform for Greenpeace to maneuver such development terrain is through the assistance of other non-governmental organizations and the courts. Some reprobate directives like the closure of foreign funding done by Prime Minister Modi’s government have forced the courts to reverse them. The courts act as the best guards of safety when all corners of justice have failed to regroup into action.
3. Arena.
The press will make it possible for the just people of MSS (Mahan Sangharsh Samiti) to gain a voice to echo their rights at every corner of the nation and the world. For example, the Times of India collaborates with various MSS group to help shape their solidarity and just course of their forest. They state they will continue to fight for their rights over the forests (The Indian Times 2015).
The National Democratic Alliance seems to enjoy full authority over Non-governmental Organizations. They do this by thwarting dictatorial laws and measures that restrict their staff’s movement and operations. On the other hand, the Congress suffers for the wrongs which still operate in the current regime. For example, former Prime Minister Manmohan Singh was taken to court over what they call the ‘coal scam’ (Singh, March 2015). He was summoned at a time when several coal mines were under auction whereby Hondalic had earned three mines already ( Sheriff 2015).Greenpeace can use this platform by ensuring political members allied to Congress party be lured into supporting their leader at the provocation of the National Democratic Alliance. In addition to this, some parts of the opposition can be used to reduce the laws that limit operations of international Non-governmental organizations in India at the benefit of this green revolution.
On the other hand, the courts could be an arsenal for refuting some of the most problematic issues from the regime. The laws like the Foreign Contribution Act and the travel bans given to members of Greenpeace are better handled in court under the Indian constitution. The courts have a reputation of credibility and justice and thus can assist in helping the course.
4. Information and Assets.
The press and other actors know that the coalmines could generate billions of rupees that can be used to push the economy for ages. They also know that the government is advocating for the clearance of the Mahan blocks so as to favor the international arms struggle in the line of nuclear weapons. For instance, at a rally organized by the Greenpeace, International activists Jayaram Nityanad, noted that, the government is pushing for nuclear weapons tests at the expense of an already failing Indian economy. The only way the government is going to raise funds that can sustain such huge expensive nuclear projects, is by indicating interests in coal mining in Mahan and other minefields. They also know that coalmines generate about Rs 2 lakh crore from 33 minefields. (Shankar 2015).These monies are good manufacturing grounds for nuclear weapons and not development.
5. Bargaining Context.
Judging from the situation on the ground the best allies to Greenpeace are the local community members from the MSS group. They form the Greenpeace’s stronghold support region with their undying support for the organization. In addition, the local authority of Madhya Pradesh could help push for support for this green revolution.
Further, the opposition team could help gather evidence to push for the course of recognizing the rights of the members of Mahan community. They will help push for standing orders and policies in parliament which will greatly enhance the purpose of Greenpeace.
On the other hand, the courts could assist in strengthening the unnecessary abuse of office by the government officials at the expense of Non-governmental organizations in the region. Judging by what they have done to Priya (Business Standard 2015) and what is currently happening to former Prime Minister (Manmahan Singh) it is for sure that the rule of law will help Greenpeace in pursuing its course.
Further, the Obama administration could limit the Indian government by putting trade barriers and sanctions, which could spur in support from all corners of the state. Travel advisories could be used to toughen the situation, which will further help in reducing the pressure on Non-governmental organizations working in India like Greenpeace.
6. The range of Outcomes.
If Greenpeace fails to take action to improve their bargaining position, then the National Democratic government will win the struggle. One of its biggest failures will be on the rights of the people of MSS over the forests. They have struggled for a long time to ensure that, their forests are protected from the government so that it would be their loss. They will not be able to keep Mahan’s heritage and their cattle would not find a land to graze. In addition, since Greenpeace was used as a teaching tool to other NGO’s that had the tag of ‘national threat,’ it would be easy for the government to continue practicing their anarchy over other NGOs. Further, the international relations between Indian foreign authority and the American government would be eroded to the extent that, foreign sanctions be administered to the Indian population.
7. Strategy. TO GREENPEACE C.E.O Market Strategy | Nonmarket strategy | 1.Through Partnering with other NGOs and operational effectiveness | 1. Peaceful Demonstrations | 2.Corporate marketing | . 2.Press –interviews, conferences, meetings, etc | 3. Reaching out to other companies seeking to mine coal and the international community. | 3. Public rallies and tree planting activities in wetland areas. | According to the financial times (2015), a nonmarket strategy is one that enables groups to gain a softer power to influence pronouncements for a competitive gain. While market strategy is how a company interacts with its clientele, suppliers, competitors and the labour market (Dann 2009). Bach & Allen (2010) state that in any market economy, the only way of attaining a competitive edge is to handle the environmental and political sphere of the business and not just the revenue part. Since its programs are curtailed to ensure safer environment and sustainability, Greenpeace has the task of using all systems to maintain environmental order in India.
In its effort to attain a greener environment, Greenpeace should continue to seek out to Mahan community for collaboration so that they can gain a strong backing that will help them push for their vision. Corporate marketing strategy is the other way this green revolutionary organization is going to figure out success. The marketing strategy should not only be limited to the Mahan group, but also to the opposition party leaders. Moreover, they should make a partnership with other Non-governmental organizations that fight the same front. The international community through World Health Organization and the American government should come in to the aid of Greenpeace because they three share the same vision.
From a nonmarket perspective, the NGO needs to make its presence felt across the region. They can do this through continued public rallies, press conferences, and interviews and where necessary, peaceful demonstrations. They should strategize to start tree planting campaigns across Mahan region. These efforts will help in their fight towards driving out interested entities from venturing into coal mining and deforestation.

References
Agnihotri, A 2014, ‘Mahan Coal Limited: About Mahan coal Block.’ Available from http://www.mahancoal.com/operations-mahan-coal.aspx [Accessed: 22nd June 2015]
Aulakh, R 2015, ‘India takes on Greenpeace, could turn on other NGO,’ The Star 13th June. Available from: http://www.thestar.com/news/world/2015/06/13/india-takes-on- greenpeace-could-turn-on-other-ngos.html [Accessed: 21 June 2015]
Bach, D & Bruce, DA 2010, ‘What every CEO needs to know about a nonmarket strategy,’ Mit.edu 1 April. Available from: http://sloanreview.mit.edu/article/what-every-ceo- needs-to-know-about-nonmarket-strategy/ [Accessed: 21 June 2015]
Bhalla, N 2015, ‘Greenpeace faces shutdown after India freezes funds in charity crackdown,’ Reuters 6th May. Available from: http://in.reuters.com/article/2015/05/06/india-charities- greenpeace-idINKBN0NQ25F20150506 [Accessed: 21 June 2015]
Dann, J 2009, ‘Why business need a nonmarket strategy,’ CBS 8 July. Available from:http://www.cbsnews.com/news/why-businesses-need-non-market-strategies/ [Accessed: 22 June 2015]
Financial Times, 2015, ‘Nonmarket strategy,’ Lexicon. Available from: http://lexicon.ft.com/Term?term=non_market-strategy [Accessed on: 21 June 2015] Business Standard, 2015, ‘Greenpeace activist Priya Pilai offloaded from Delhi-London flight, says it’s a ‘bullying tactic’ by govt. Jan 12th Available from: http://www.business- standard.com/video-gallery/general/greenpeace-activist-priya-pillai-offloaded-from- delhi-london-flight-says-it-s-a-bullying-tactic-by-govt-16011.htm [Accessed: 21 June 2015]
Sethi, N 2013, ‘Tribal interests, norms ignored for Mahan coal block, The Hindu. 21 September. Available from: http://www.thehindu.com/news/national/tribal-interests-norms- ignored-for-mahan-coal-block/article5151075.ece [Accessed: 22 June 2015]
Sethi, N 2015, ‘NDA government’s grouse with Greenpeace: Mahan coal block protests,’ The Business Standard 20 Feb. 20th.Available from: http://www.business- standard.com/article/economy-policy/nda-govt-s-grouse-with-greenpeace-mahan-coal- block-protests-115022000023_1.html [Accessed: 21 June 2015]
Singh, N 2015, ‘Government Freezes Greenpeace’s India Accounts: Environmental Foundation May shut down,’ International Business Times, 6 May .Available from http://www.ibtimes.co.in/government-freezes-greenpeaces-india-accounts- environmental-foundation-may-shut-down-631468 [Accessed: 22 June 2015]
Singh, S 2015, ‘Coal Scam: Sonia. Congress’ solidarity march for Manmohan Singh is Ironic. First Post, 13 March. Available from http://www.firstpost.com/politics/coal-scam-sonia- congress-solidarity-march-for-manmohan-singh-is-ironic-2150469.html [Accessed: 21 June 2015]
Shankar, R P 2015, ‘The economic Times: Politics and Nation. India times,’ Available from :http://articles.economictimes.indiatimes.com/2015-03-12/news/60047967_1_coal- blocks-e-auction-proceeds-33-coal-mines [Accessed: 21 June 2015]
Sheriff, K 2015, ‘Accused No. 6 Manmohan Singh: Court summons former PM over Hindalco coal block,’ The Indian Express 12 March. Available from: http://indianexpress.com/article/india/india-others/coal-block-case-manmohan-singh-ex- coal-secy-parakh-hindalco-officials-summoned-as-accused/ [Accessed: 22 June 2015]
Google books, 1998, ‘The bulletin of the atomic scientists,’ July. Available from https://books.google.co.ke/books?id=vAsAAAAAMBAJ&pg=PA33&dq=greenpeace+in dia+political+fallout&hl=en&sa=X&ei=- E6GVfeZCeSc7gbfqIPICw&redir_esc=y#v=onepage&q=greenpeace%20india%20politic al%20fallout&f=false [Accessed: 21 June 2015]
The Times of India, 2015, ‘Mahan coal block won’t be auctioned, coal minister says in RTI reply,’ 21 March. Available from: http://timesofindia.indiatimes.com/city/bhopal/Mahan- coal-block-wont-be-auctioned-coal-min-says-in-RTI-reply/articleshow/46642702.cms [Accessed: 21st June 2015]