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Two days ago, Sigrid and I have submitted a paper on community governance in the realm of Creative Commons and Wikimedia to this year’s Academy of Management Annual Meeting. Today, I have learnt about major upcoming changes in governance of the latter of our two cases. Wikimedia is at the brink of abandoning its decentralized and geography-based network of Wikimedia chapters and replace it with a much more centralized network of different types of movement organizations.

Logo of the Wikimedia Foundation

The current governance structure of Wikimedia, the formal organization behind the global community of volunteers responsible for Wikipedia, had emerged comparably unplanned. The focal Wikimedia Foundation itself was founded two years after Wikipedia had been launched as a side-project of the quality-controlled “Nupedia“. And while Wikipedia had been transnational from the very start with versions in German, Catalan, Japanese, French and Spanish only two months after its launch, the Foundation was not. The first local Wikimedia branch in Germany was founded independently from Wikimedia headquarters and only formally recognized as a formal Wikimedia chapter after the fact. Following the German example, so far 38 membership-based chapter associations have been founded and formally recognized. Together, these chapters nominate two members to the Foundation’s Board of Trustees.

With the exception of two US chapters in New York City and in the District of Columbia, all these chapters are related to countries. One of the main reasons for tying local chapter organizations to countries is a financial one. Many Wikimedia chapter organizations such as the German, the Polish or the Swiss chapter receive tax exempted donations. This is one of the big advantages of local chapter organizations and even a rationale for founding them as grassroots organizations in the first place. The same time, however, this also restricts the flow of funds within the organizational network. Donations to the German Wikimedia chapter, for example, cannot easily be transferred to the focal Wikimedia Foundation in the US due to legal restraints.

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This post is provided by our “guest blogger” Elke Schüßler. Elke Schüßler is postdoctoral fellow at the Department of Management at Freie Universität Berlin.

The 17th climate summit in Durban has just concluded and the target of developing binding decisions for greenhouse gas emission caps post-2012, when the first commitment period of the Kyoto Protocol – the “only game in town”, as it is often called inside the climate policy community – will end, has moved further afar. The main outcome of a uniquely long and strenuous negotiation process in this South African city was to postpone the development of such a treaty to 2015.

In a previous blog entry, Leonhard Dobusch and I have analyzed the role of music industry conferences as so-called “field configuring events” and the role they play in the contestation and possibly innovation of copyright regulation. Together with Bettina Wittneben (WiSE Institute) and Charles-Clemens Rüling (Grenoble Ecole de Management), I am conducting a similar analysis of the role of climate summits in the field of international climate change policy.

This field was established by the Rio Earth Summit in 1992, and has since been marked by a series of international policy conferences carrying forward the United Nation’s climate change negotiation process: the annual ‘Conference of the Parties’ (COP) together with a series of mid-year ‘Meetings of the Subsidiary Bodies’ (SB) held in the context of the United Nation’s Framework Convention on Climate Change (UNFCCC). Recent research has underlined the role of international conferences as “catalysts of change, especially as organizations and governments struggle to develop global solutions to complex problems” (Hardy & Maguire, 2010: 1358). Read the rest of this entry »

Recently, together with Jeanette Hofmann, I have been discussing a research proposal on sharing cultures. In this context, we were asking ourselves whether the notion of “sharing” has shifted in the digital realm. Sharing knowledge is different from sharing a cake. George Bernard Shaw is ascribed the following quote, illustrating this difference:

“If you have an apple and I have an apple and we exchange apples then you and I will still each have one apple. But if you have an idea and I have an idea and we exchange these ideas, then each of us will have two ideas.”

This leads to the conventional wisdom that sharing immaterial goods is different from material goods. In the digital age, more and more goods can be easily shared in form of perfect copies. And even when the economic value of a digital good might depreciate if it is shared freely, sharing can at the same time generate indirect returns (for examples see Anderson 2009). Consequently, authors such as Lawrence Lessig paint the picture of a “hybrid” or “sharing economy“, which they deem to be beneficial for all parties involved. Prerequisite for such a sharing economy to work is a sharing culture, which includes practices such as giving attribution or using open formats and licenses. Read the rest of this entry »

A recurrent topic across most fields covered here at governance across borders is standards. In the field of environmental standards, for example, Olga repeatedly discussed how transnational standards and local practices are interrelated (e.g. “From Transnational Standards to Local Practices“). In the field of copyright regulation, many posts deal with the issue of standard proliferation (e.g. “Money Buys You Standards?“) and diffusion (e.g. “Iconic Standards: Regulating and Signaling“) in the case of Creative Commons.

But as always, at least in our recurrent series “Wise Cartoons“, all our words cannot live up to the simple wisdom of illustrations such as the one provided by XKCD below:

Fortunately, the charging one has been solved now that we've all standardized on mini-USB. Or is it micro-USB? Shit.

(leonhard)

PS: For another wise cartoon on standards that features Scott Adam’s Dilbert check out “Google Books and the Kindle Controversy“.

In the German weekly newspaper “Die Zeit”, Thomas Assheuer describes the current developments in Arabia as follows:

“The Arabic revolt is not a regional incident, it is a transnational event.”

I could not agree more. Clearly, revolutionary processes spread from Tunesia to its neighboring countries with an unknown pace, not least due to new digital technologies. Shutting down the Internet in Egypt was obviously only a sign of helplessness. Even in China, behind the world’s most sophisticated digital censorship curtain, webpages state “we are all Egyptians”.

The same time, however, the processes are far from being merely global. National borders still matter. Revolutionary processes seem to develop recursively between the national and the transnational level. Inspirations and irritations from developments in other countries lead to incidents, which in turn re-enter the transnational discourse and function as further inspirations to others.

Recent developments in Libya just further – and tragically – illustrate this point.

(leonhard)

This post is provided by our guest blogger Thomas Gegenhuber, who studies Business Administration at Johannes Kepler University in Linz and is a regular contributor to wikinomics.com. He participated as a live-blogger at the Free Culture Research Conference 2010 in Berlin.

The Facebook-Movie is hitting the movie theatres. The catchy ad for the movie says: You don´t get to 500 Million friends without making a few enemies“.  From an economic perspective, the social networking market has an oligopolistic structure, with facebook as a market leader. Facebook is under fierce criticism for its privacy policy. Yet, events like the  “quitting facebook day” resulted only in 34.000 drop outs. Critique might lead to some minor changes in the privacy settings, but the switching costs for facebook users to another social network are very high. To use following analogy: Moving from one social network to the next is like moving into another city. You lose a lot of your friends.

FCRC Logo
Geert Lovink, who held the keynote at the Free Culture Conference in Berlin, believes the facebook problem is rooted in its business model. At the end of the day, facebook needs to monetize people’s social graph. He highlighted that some services address this problem. “Sepukoo and the web2.0suicidemachine allow you to remove your data; other services enable you to download your data.” Evolving alternatives like Appleseed and the more famous Diaspora are still in the early stages. Read the rest of this entry »

Governance across borders is all about building and/or changing institutions in a transnational realm. In this regard, existing institutions often turn out to be not so rigid or firm after all. The cartoon below, taken with permission of the author Winston Rowntree from a larger piece at viruscomix.com (via), hits the nail on the head:Institutions how they appear and how they areIn the context of copyright as an institution, I like to think of the large monster’s feet representing international copyright treaties such as WTO’s TRIPS Agreement or the WIPO Internet Treaties, the small monster being Shawn Fanning, the programmer of Napster.

(leonhard)

This post is provided by our “guest blogger” Bernhard Brand. Bernhard Brand works as research assistant at the Institute of Energy Economics at the University of Cologne. This contribution is the first of a series of critical reviews of transnational economic governance arrangements, based on an analysis of policy reports undertaken by graduate students of Sigrid Quack’s seminar on Transnational Economic Governance during the summer term 2010.

The Siemens corruption scandal of the year 2007 was one of the largest bribery cases in the economic history of Germany. It ended with a number of (suspended) jail sentences for high-ranking executives and a painful €2.5 billion penalty to be paid by Siemens for running an extensive worldwide bribery system which helped the Munich-based company to win business contracts in many foreign countries, as for example in Russia, Nigeria or Greece. Interestingly, if the bribery case just had happened a few years before, there wouldn’t have been any sentence at all for Siemens: Until 1999, the practice of bribing officials and decision makers in foreign countries was not considered a crime in Germany. And even worse: The German law allowed companies to deduct bribes from their tax declarations – under a tax law provision ironically termed “useful payments” (in German: “nützliche Aufwendungen”). This incentive for the German industry to perform corruption in the international business became abolished under the pressure of the OECD Anti-Bribery Convention. The convention criminalizes the so-called ‘foreign bribery’, the act where a company from one country bribes officials of a ‘foreign’ country.  Germany, as well as the other OECD members had to align their legislation to the new OECD standards, enabling their courts to punish the person or entity who offers the bribe – even if the bribing action originally took place somewhere else in the world. Read the rest of this entry »

Standards have two major functionalities: for one, they coordinate and – depending on their stickiness due to network effects – regulate human behavior. For another, they function as signaling devices. Which of the two functionalities is dominant and how these two are interrelated are of course empirical questions. In the case of certain private labelling standards, for example,  a broad bundle of rules and minimum standards are condensed into one label or brand, whose premium value in turn shall attract both (additional) producers and consumers to adhere to the standard (see also “FCE goes Fair Trade“).

In the case of Creative Commons‘s alternative copyright licensing standards, James Boyle explicitly referred to this important (albeit unintended) signaling role of licensing standards on a discussion panel at Harvard’s Berkman Center (after 42:50):

“What we didn`t understand was the most important thing about the licence was not that they were licences, it was that they created space, a focal point around which people would make communities.”

Markus Lang, research student in our research group not only pointed me to this quotation of James Boyle but also put it in the broader context of Julia Black’s (2002, jstor) notion of “regulatory conversations”. In applying a discourse theoretical perspective on both public and private regulation, she delineates how coordination of practices is achieved via communicative interactions. Read the rest of this entry »

Environmental groups and the public worldwide are seriously concerned about the oil spill in the Gulf of Mexico after the explosion of the BP’s Deepwater Horizon oil-drilling rig. The disaster has turned into a catastrophe and is likely to affect the environmental, social and economic condition of the Gulf of Mexico’s shore in years and decades to come. Neither the BP nor the U.S. Government really knows what to do to stop the oil leak. The U.S. Government blames the oil multinational. The BP seems to be unable to deal with the situation. Moreover, other oil companies do not seem to possess any adequate means to deal with similar situations. The BP’s stock price has gown down dramatically. It postponed dividend payments to its shareholders. Thousands of people, e.g. fishermen, have lost the source of income. What are people going to learn from this story? What are the probable scenarios of further developments and what are the likely consequences for the oil industry? Read the rest of this entry »

 

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