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Business-Managed Democracy

“Business-managed democracies are those in which the political and cultural arrangements are managed in the interests of business”

Sharon Beder

Business-Managed Government

Business Coalitions


The Coalition of Service Industries (CSI) demonstrated the power of business coalitions in setting the agenda and influencing the outcomes of trade negotiations during the Uruguay Round and the subsequent FSA negotiations. In fact it inspired similar service industry coalitions in other countries that hope to profit from access to markets in foreign countries. These include:

More cartoons from Polyp

In addition, research centres catering to these new lobbies have blossomed. For example, the Australian National University has established a Services Industries Research Centre to provide research and distribute information relevant to the services sector.

But CSI did more than provide a model to emulate. It also actively took part in the formation of later coalitions. Harry Freeman from American Express, and the CSI itself, played a major role in the formation and running of some of these business coalitions, including the MTN (Multilateral Trade Negotiations) Coalition,

the Financial Leaders Group and the Global Services Network. CSI was also, for a time, one of the Associate Expert Groups for the Business and Industry Advisory Committee (BIAC) to the OECD (see diagram).

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Business and Industry Advisory Committee (BIAC)


In addition, existing business coalitions and groups aided in the lobbying efforts. For example the Business and Industry Advisory Committee (BIAC) to the OECD has a Trade Committee which plays an active role in the WTO negotiations, ‘identifying areas for further liberalization by governments’. The committee is chaired by Nancie S. Johnson, Vice President of DuPont Government Affairs (US) (who also chairs USCIB’s trade policy committee).