Aphaia's latest white paper outlines the ins and outs of key community-engagement strategies you need to adopt when planning projects in Latin America, especially when it comes to understanding the 'social license to operate'.
Compared to physical, legally recognised licenses issued to investing companies, the so-called ‘social licenses’ are a highly intangible concept. However, their importance is not in any way diminished by their intangibility: as information asymmetry between the investors and the local community stakeholders diminishes, the latter are getting more powerful in their ability to monitor and influence the investors’ behaviour.
Our guidance for investors therefore attributes equal weight to legal and non-legal requirements businesses investing in Latin America should comply with.
The paper is authored by Dr Bostjan Makarovic, founder of Aphaia, and ThaliaViveros-Uehara, the Parliamentary Advisor to the Environment and Natural Resources Commission of the Mexican Senate.