Environmental adaptation by small and medium sized

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Environmental Adaptation by Small and Medium Sized Textile 95
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2.5.1 Issuance and Monitoring of the Government s Environmental Regulations The environmental regulations in Vietnam are issued by the Vietnam Environment Admistration (VEA), which is under MONRE. The Provincial People s Commit- tees (PPCs) are also able to issue environmental requirements, which are particu- larly applied to their provinces. The monitoring of environmental regulations is conducted at both the national and provincial levels. At the national level, VEA takes the main responsibility for monitoring the environmental performance of all companies operating in Vietnam through their network of environmental inspectors. At the provincial level, the DONRE and the provincial Environmental Protection Agency (EPA), in coopera- tion with the commune and district level People s Committee (CPC and DPC), are responsible for the environmental performance of the companies in their province. The provincial DONREs are under the management of PPC but under the technical supervision of MONRE. Provincial EPAs are parts of DONRE. Figure 2 illustrates these relationships. 3 Evaluating Governance and Environmental Adaptation In this chapter, we use institutional theory as a tool to evaluate the governance issues related to environmental adaptation for textiles and garment SMEs in Vietnam. Institutional theory initially suggested that a strong motivating force behind fi rm behavior is socially based and embedded within institutions (Meyer and Rowan 1977 ; Scott 1987 ). The term institution refers to the formal or informal sets of rules, regulations, norms, and understandings that organizations and individuals are expected to follow (Meyer and Rowan 1991 ). More recently, Scott ( 2008 ) reported the maturation of the theory and differ- entiated institutions by the types of institutional forces that shape them. This insight was elaborated on by Bruton et al. ( 2010 ) as follows: Provincial EPA Environmental Regulations in Vietnam MONRE PPC DONRE DPC & CPC VEA National level Provincial level Fig. 2 Government agencies responsible for environmental monitoring in Vietnam 96 N.H. Nguyen et al.
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Regulative pillar : represents models of behavior based on sanctions and con- formity. Behaviors are guided by rules, monitoring, and enforcement, which stem primarily from government legislation and industrial agreements and standards. These rules provide guidelines and can lead to organizations com- plying with laws or may require a reaction if there is a lack of laws or regu- lations in the fi rms. Normative pillar : represents models of behavior based on obligatory dimensions of social, professional, and organizational interactions. Behaviors are guided by what is appropriate (values) or expected (norms). Normative institutions exert in fl uence because of a social obligation to comply, rooted in social necessity or what an organization should be doing.
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