Experts of the future: I want to understand the structures of multinational corporations to prevent greenwashing

‘Experts of the future’ is a brief series showcasing some of our early-career researchers at CBS. What is their field of research, and who are they? Today we meet PhD student David Pereira de Castro from the Department of Organization.

11/21/2024

What is the focus of your thesis?

The focus is on investigating the structure of large multinational corporations and how these structures impact their green transition. There is a shared understanding that these large companies, such as Apple, BP or Microsoft, are engaging with sustainable policies and pushing sustainability, but there is actually a lot of greenwashing going on. Furthermore, there are often structures within the business models of multinational corporations that prevent them from changing and decreasing their environmental impact.
I want to understand how these large companies classify the sustainability profile of their assets. Since they are structured through various entities, this process is very complex for regulators to understand, and the tendency to simplify it allows them to do whatever they want.

How can your knowledge benefit others?

My research illuminates the complex structures and organisation of international companies. This can help state actors understand how to define the rules and regulate these corporations.
The challenge for state actors is that these corporations use legislations of different countries as part of their strategy to be more competitive. In practice this means taking advantage of the tax system in Ireland for intellectual property, using the tax system in the Netherlands for the holding companies, taking advantage of the information system in the US, as well as using offshore countries to conceal information and so on.

By increasing the understanding of multinational companies, states can better cooperate in controlling them, which would benefit society.  

Who is your biggest inspiration?

My parents and my grandfather for their admirable resilience when facing severe challenges. My mom is from Angola, and her family lost everything in war and had to flee the country when she was five years old. Their achievements are inspiring because of the adversities they overcame.

What do you consider the most important discovery within your field of research?

The work from Javier Garcia Bernardo and Jan Fichtner on the ownership flows of financial subsidiaries owned by the largest multinational corporations and their location in offshore jurisdictions is by far the most important discovery. They managed to map out the locations of many multinational corporations' entities in different countries. Most of these entities were placed in offshore jurisdictions like the Cayman Islands, Singapore or British Virgin Islands, where there is a lack of control and information. They were the first to map this out thoroughly.

What do you like to do in your spare time?

Well first, I like being with my kids. They are very active, which can be challenging sometimes, but they are my priority. I also enjoy spending time in my summer house, reading newspapers and barbecuing food with friends.

Which historical person do you admire the most?

Francisco Sá Carneiro, a former Portuguese prime minister who died in a plane crash in 1980. He was an essential person in Portuguese society then and a strong advocate for social democracy. On a more global level, the person I admire the most is Jesus. Not only because of the religious part but because his life and actions have shaped how we count time, look at the concept of love, and what the idea of forgiveness means for our social relations. It is impressive for one person to have had such an essential historical influence.

What did you want to be when you were growing up?

Until I was 10 years old, I wanted to become a basketball player in the NBA. When I realised that this was not possible, I started dreaming about being a teacher or a politician, which has led me to where I am today.

The page was last edited by: Sekretariat for Ledelse og Kommunikation // 11/21/2024