Is There a Business Case for Improving Labor Standards? Some Evidence from Better Factories Cambodia
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abstract
Several factors contribute to BFCs apparent success. One of the strategies BFC employed to control free-riding was to disclose noncompliant factories publically. Public disclosure has been identifi ed as effective at least as early as Brandeis (1913). In the Cambodian case, such disclosure occurred in the periodic synthesis reports BFC issued and publically disclosed (Polaski 2004 and 2006). Polaski also suggests that universal participation was another critical factor because the BFC program made participation in the program a condition for export under the terms of the agreement.