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Nestle ethics
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When Facing Ethical Issues
- Child Labor-
PHUONG NGUYEN
CURRENT SITUATION
BACKGROUND
NOWADAYS
2010-2012
1866-1905
1906-1918
1919-1938
1939-1944
Global News
The BBC Panorama documentary "Chocolate: The Bitter Truth
Admitting
Denying
The Effect
Covering Up
Consequences
- Still low production cost due to cheap labor
- Workers feeling demotivated
- Damage of Brand Image
- Reduces brand loyalty
- Bad press and more pressure from external stake holders
Consequences
- Act innocent, not taking the blame
- Quietly resolve our mistake
- Simply deny and carry on
- Workers will feel more motivated
- The external Stakeholders will be more pleased
- Regaining reliability and trust
- Increase in production cost
- Recovering brand image
- Report can be used as a marketing tool
- Happy pressure groups can help boost brand image
- Decrease the chances of decreasing revenue
- Regaining brand loyalty
Maintaining Brand Image
Becoming Transparent
- Pressure groups, NGOs will take action
(reports are expensive to produce)
- Boycotting
- Decrease of revenue
- Decrease number of customers
Brand Image is hard to recover
- Acknowledge our mistake and promise to act upon it
- Investigate down our production chain and figure out ways to change (substitutes)
- Release press conference
- Start developing an action plan
FLA Findings
Taking Actions
Becoming Transparent
Publish Reports
Working with Partners
Economy and Charity
Fair Labor Association
RESOLUTION
Announcements
FLA Solution
Thank you
References
^ "E. Coli Confirmed In Nestlé Samples". About-ecoli.com. 30 June 2009. Retrieved 13 March 2012.
Sudarsan Raghavan and Sumana Chatterjee (24 June 2001). "Slaves feed world's taste for chocolate: Captives common in cocoa farms of Africa". Milwaukee Journal Sentinel.
"On Halloween, Nestlé Claims no Responsiblity [sic] for Child Labor". International Labor Rights Forum. 30 October 2006. Retrieved 30 April 2012.
The Reputations of Switzerland Largest Companies:. Reputation Institute. 5 April 2006. Retrieved 22 February 2007.
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