Extended Essay: Business and Management Centre No: Candidate No: Exam Session: Word Count: “To what extent does Nestle India consider the importance corporate social responsibility in assuring profit for the company?” Contents Abstract………………………………………………………………………..3 Introduction……………………………………………………………………4 Nestle India…………………………………………………………………4 What is Corporate Social Responsibility? …………………………5 Significance of the Topic…………………………………………………6 Methodology……………………………………………………………………..7 Sources………………………………………………………………………...7 Limitations…………………………………………………………………7-8 Business tools used……………………………………………………………8 Main Findings, analysis and discussion………………………………………9 SWOT Analysis…………………………………………………………9 PESTL Analysis……………………………………………………………14 Conclusion……………………………………………………………………. 18 …show more content…
"Corporate social responsibility is a hard-edged business decision. Not because it is a nice thing to do or because people are forcing us to do it because it is good for our business"3 Niall Fitzerald, Former CEO, Unilever Despite the harmful effects Nestle India has on the community, not everyone is familiar with the wrong doing and the failure of balancing the Corporate Social Responsibility alongside with profit. People are going to find out the conspiracy of the company in the end. Mike Clasper, President of Business Development says, "People are going to want, and be able, to find out about the citizenship of a brand, whether it is doing the right things socially, economically and environmentally."3 Significance of the Topic I need to research about the corporate social responsibility of Nestle India and what the government is doing to evaluate the extent to stop or allow the company from doing illegal actions. This is crucial because Nestle India is one the the biggest food production companies that provides supply for huge population, but it fails to meet the standard and uses child labor to increase their profit. For this reason, the research question is as
Modern day businesses have to be socially responsible; actions are taken to satisfy customers who might have a cause that they care deeply. Social responsibility occurs when a person or a company acts in an ethical and sensitive way towards important social issues of the day such as economic, environmental, and cultural concerns. Many businesses have a section of their website or business literature dedicated to social responsibility. Companies proudly detail the steps they are taking to address concerns that people have with the environment and economic issues. Having companies act in a socially responsible way is necessary because their actions have a tremendous positive impact on society.
The selected corporation is Volkswagen (VW), a German car manufacturer headquartered in Wolfsburg, Lower Saxony, Germany. Established in 1937, Volkswagen is the top-selling and namesake marque of the Volkswagen Group, the holding company created in 1975 for the growing company, and is now the second-largest automaker in the world (Wikipedia, 2016). Volkswagen’s corporate website is http://www.vw.com/. According to the International Ethical Business Registry, there has been a dramatic increase in the ethical expectations of businesses and professions over the past ten years. Increasingly, customers, clients and employees are deliberately seeking out those who define the basic ground rules of their operations on a daily basis.
Discussion Nestlé’s Corporate Social Responsibility consists of looking further then the own company needs or profits and pay more attention to other stakeholders. Everyone concerned or connected to the company business will get a closer look on their situation and will be treated right. They divide the stakeholders in two categories; the first being the internal stakeholders such as employees and shareholders. The second category is external stakeholders where we find the suppliers, customers, environment and so on.
On the contrary, the practice of CSR is an important consideration for long-term investment as it can help generate more profit in the future. In this report, Nestlé would be one of the good examples to illustrate those concepts. Nestlé is one of the world’s largest food and beverage companies. The company believes that by creating value for the shareholder and the public, it will have long-term sustainability.
The selected corporation is the Volkswagen, a German car manufacturer headquartered in Wolfsburg, Lower Saxony, Germany. The Volkswagen’s corporate website is http://www.vw.com/. According to the International Ethical Business Registry, there has been a dramatic increase in the ethical expectations of businesses and professions over the past ten years. Increasingly, customers, clients and employees are deliberately seeking out those who define the basic ground rules of their operations on a day to day. Volkswagen is no different, hence it created its own code of ethics in order to improve the company’s operation all over the world.
NESTLE Nestle is a multinational company which has got its headquarters in Vevey Swiss. By the measure of its revenues it is the largest food and beverage company in the world. The Nestle company began around 1860s. It was started by a person called Henri Nestle when he came up with the first baby formula.
Kraft Heinz Case Study Executive Summary Problem Statement The focal problem that Kraft Heinz Company (KHC) faces is the decrease in demand of packaged-foods, while trying to increase revenue. Analysis This analysis studies Kraft Heinz Company’s strategy, competitive position in the market, problems being faced, and the company’s financials.
In the recent years more and more companies in the retail and food industry are concerned about the environmental consequences of their action and also the social ethics for the people involved in the production process. This is a shift from the philanthropic actions companies used to take in 1970’s and by following basic international standards to a ‘business case’ perspective of CSR (Customer Social Responsibility). According to the World Business Council for Sustainability Develpoment ( WBCSD) CSR is: ‘’ the commitment of business to contribute to sustainable economic development, working with employees, theirfamilies, the local community and society at large to improve their quality of life’’ (World Bank, 2002)
First an overview of its ethical issues shall be presented, followed by the company’s attitude toward corporate governance and its CSR activities shall be discussed. For a brief introduction of the company, Nestle is a Swiss-based, food and beverage producer that is known worldwide. Nestle has existed for more than 140 years. As to this date, with more than 8,000 brands and global sales of over $100 billion the company is the largest food and beverage manufacturer around the world.
The company 's moto and tag line "Good Food, Good Life", summarizes its corporate ambitions. Nestle strategically relies on the following goals and objectives- 1. Nutrition, health and wellness 2. Sustainable financial performance 3. Trust by all stakeholders Hence, the objective of Nestle is to become a leading company in the health and nutrition sector in the world, while promoting a common agenda of nutrition and environment protection in which their businesses operates.
CASE STUDY HINDUSTAN UNILEVER- TRANSFORMING A BRAND INTO A SOCIALLY RESPONSIBLE LEADER. 6/30/2015 Amity International Business School Aditya Agarwal A1802014167 Faculty Guide- Dr. Kokil Jain Industry Guide-
Danielle Walker, an American female is the president and CEO of Training Management Corporation (TMC). Founded in 1985, the company was built to deliver practical consulting and solutions that meet and have the ability to turn multicultural business environment to be able to overcome operational challenges. TMCorp help companies worldwide distinguish similarities and differences in its work environment and help to maximize performance to reduce risk, with this done, innovations then can be enhanced with the most effective way. The company headquarters is situated in United States, regional offices in Singapore to serve Asia-Pacific and in Belgium to serve Europe, Middle East and Africa.
This essay is an analysis of corporate social responsibility of Starbucks Coffee company. Starbucks company, which operates retail shops to offer coffee and cups, was founded in 1971 in Seattle, United States. Nowadays, Corporate Social responsibility (CSR) can increase sales volume and brand awareness and image to lead companies to succeed in business. Therefore, CSR is important for many organizations and public. Starbucks has success to operate in CSR.
The health food drinks market is highly competitive with various heavy players like GSK, Cadbury, Nestle, Heinz etc. The health food drinks market is divided into white beverages and brown beverages. Horlicks with 36.2 % market share leads 5500 crore health food drinks market. Bournvita is leader is brown beverage category followed by Boost. Nestle Milo a relative new entrant to the market was launched in India in 1996.
A system to check and balances the benefit of all the board of directors and to avoid some of top management from making decisions that only benefit themselves is created and named corporate governance. Corporate governance means the system of rules, practices and processes by which a company is directed and controlled. The set of rules provided as a guidelines for the board of directors to make sure that accountability and fairness in a company’s relationship with its stakeholders such as financiers, customers, management, employees, shareholders and also society in order to achieve company’s goals and targets in a manner that add a value to the company. All of the stakeholders play an important role in corporate governance to ensure that