{"id":274,"date":"2024-02-25T08:01:48","date_gmt":"2024-02-25T08:01:48","guid":{"rendered":"https:\/\/api-dev.sowise.fi\/www\/?p=274"},"modified":"2024-02-25T08:01:48","modified_gmt":"2024-02-25T08:01:48","slug":"the-benefits-of-formal-contracting-with-non-market-actors-a-guide-for-companies","status":"publish","type":"post","link":"https:\/\/api-dev.sowise.fi\/www\/index.php\/2024\/02\/25\/the-benefits-of-formal-contracting-with-non-market-actors-a-guide-for-companies\/","title":{"rendered":"THE BENEFITS OF FORMAL CONTRACTING WITH NON-MARKET ACTORS: A GUIDE FOR COMPANIES"},"content":{"rendered":"\n<p>Companies increasingly engage with non-market actors such as local communities, nongovernmental organizations (NGOs), and government agencies. These types of collaborations can benefit both parties, as they can create value through exchanging resources and knowledge. However, both sides need to enter into a formal contract to clearly outline the terms of the partnership and protect the interests of all involved.<\/p>\n\n\n\n<p>A recent research paper by&nbsp;<a href=\"https:\/\/doi.org\/10.1287\/orsc.2020.1388\" rel=\"noreferrer noopener\" target=\"_blank\">Odziemkowska and Dorobantu titled &#8220;Contracting beyond the market&#8221;<\/a>&nbsp;delves into the importance of establishing a contract-based relationship between partners with conflicting interests or goals. The paper discusses the benefits of such relationships, including creating value through collaboration, and the potential challenges that may arise.<\/p>\n\n\n\n<p><strong>Real-life examples:<\/strong><\/p>\n\n\n\n<p>A multinational corporation working with a local community to develop an economic development program that benefits both parties. In this case, a formal contract would outline the roles and responsibilities of each side, as well as any financial commitments or obligations.<\/p>\n\n\n\n<p>A tech company partnering with an NGO to develop a program that addresses social justice issues. In this case, a formal contract would outline the terms of the partnership, including any shared goals or objectives, and any expectations for performance.<\/p>\n\n\n\n<p>A retail company working with a government agency to implement sustainability initiatives. In this case, a formal contract would outline the expectations for environmental performance and any legal or regulatory requirements that must be met.<\/p>\n\n\n\n<p>Overall, the research paper &#8220;Contracting beyond the market&#8221; highlights the importance of entering into a formal contract when collaborating with non-market actors. By establishing clear protocols and fostering open communication, companies can ensure that their partnerships are successful and mutually beneficial. Every firm should consider the importance of establishing legal frameworks before embarking upon collaborative ventures outside of their organization boundaries.<\/p>\n\n\n\n<div class=\"wp-block-buttons is-layout-flex wp-block-buttons-is-layout-flex\">\n<div class=\"wp-block-button\"><a class=\"wp-block-button__link wp-element-button\" href=\"https:\/\/app.sowise.fi\/signup\">SIGN UP FOR FREE<\/a><\/div>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>Companies increasingly engage with non-market actors such as local communities, nongovernmental organizations (NGOs), and government agencies. These types of collaborations can benefit both parties, as they can create value through exchanging resources and knowledge. However, both sides need to enter into a formal contract to clearly outline the terms of the partnership and protect the<a class=\"more-link\" href=\"https:\/\/api-dev.sowise.fi\/www\/index.php\/2024\/02\/25\/the-benefits-of-formal-contracting-with-non-market-actors-a-guide-for-companies\/\">Continue reading <span class=\"screen-reader-text\">&#8220;THE BENEFITS OF FORMAL CONTRACTING WITH NON-MARKET ACTORS: A GUIDE FOR COMPANIES&#8221;<\/span><\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[67],"tags":[78,86,87,66],"_links":{"self":[{"href":"https:\/\/api-dev.sowise.fi\/www\/index.php\/wp-json\/wp\/v2\/posts\/274"}],"collection":[{"href":"https:\/\/api-dev.sowise.fi\/www\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/api-dev.sowise.fi\/www\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/api-dev.sowise.fi\/www\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/api-dev.sowise.fi\/www\/index.php\/wp-json\/wp\/v2\/comments?post=274"}],"version-history":[{"count":1,"href":"https:\/\/api-dev.sowise.fi\/www\/index.php\/wp-json\/wp\/v2\/posts\/274\/revisions"}],"predecessor-version":[{"id":275,"href":"https:\/\/api-dev.sowise.fi\/www\/index.php\/wp-json\/wp\/v2\/posts\/274\/revisions\/275"}],"wp:attachment":[{"href":"https:\/\/api-dev.sowise.fi\/www\/index.php\/wp-json\/wp\/v2\/media?parent=274"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/api-dev.sowise.fi\/www\/index.php\/wp-json\/wp\/v2\/categories?post=274"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/api-dev.sowise.fi\/www\/index.php\/wp-json\/wp\/v2\/tags?post=274"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}