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corporate social responsibility of unilever
corporate social responsibility of unilever
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2.3 Best and Worst Practices
The UK Market and the French Market
One of the largest and biggest market for Unilever dominated by their brand PG Tips comprised a market worth of £850 million. Unilver’s research outcome suggested that the average profile of a consumer in this market is well aware of the issues surrounding sustainability and has moderate knowledge of what it means to be sustainable while doing your business, but are unwilling to pay a bigger price for sustainable products. Since the main aim for their sustainable products was to deliver a product that is sustainable but will not have a change in price on the shelves helped the marketing strategy developers in Unilever to focus on telling the story of the Rainforest Alliance certified products and what it means to be a part of it as a consumer.
In 2008 PG tips were the only brand in UK suggesting sustainability in the work they are doing. The launching of their campaign comprised of treating their name as innovation while creating a positive link towards the brand and an ethical decision for the costumers purchasing this brand, a sense that the consumers did something better today by buying Unilever products instead of their competitors. Through emphasizing how easy it is to be a ‘better person today’ and how the consumers can make a positive difference in the world just by buying their products the effectiveness of the campaign showed an increase in sales and the perception of Unilever’s brands as Ethical in consumers’ minds.
This was not the case with the French market feedback while applying the same strategy and even encouraging sales with winning trips to Kenya to increase their image and make people concerned and engaged in environmental issues. Their appro...
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...www.ft.com/cms/s/0/9d8e4ade-0a45-11e1-85ca-00144feabdc0.html#axzz2xBkRQjKz http://www.liptontea.com/article/detail/157723/lipton-and-sustainability http://www.prnewswire.com/news-releases/liptonr-tea-continues-major-expansion-of-sustainability-initiative-62159847.html http://www.unileverfoodsolutions.us/products-brands/professional-products/tea/rainforest-alliance http://knowledge.wharton.upenn.edu/article/water-scarcity-a-daunting-challenge-with-a-hopeful-future/ http://www.fao.org/docrep/w5830e/w5830e0m.htm#emerging%20challenges%20for%20sustainable%20agriculture http://www.rainforest-alliance.org http://www.slideshare.net/kiranshaukat2/lipton-complete http://blog.psiimpact.com/2013/12/unilevers-project-sunlight-solid-approach-corporate-social-responsibility/
http://blog.psiimpact.com/2013/12/unilevers-project-sunlight-solid-approach-corporate-social-responsibility/
The English retailer Marks and Spencer aims to be the most sustainable major global retailer in the world. To expedite this process, they have configured sustainability as one of their core strategies. Marks and Spencer have made a clear commitment: Plan A will measure milestones, timelines and employee accountabilities. The sustainability strategy that is being integrated into every business function and strategic business unit; will involve suppliers, employees and more increasingly customers. (Richardson, Page 98, 2015)
CSR currently has no universal definition, but it is commonly agreed that the strategy engages the business brand with a specific societal issue that relates to the company’s field of work. For example a car company might apply their brand with uses of green energy with the automobile. Businesses have noticed the benefits CSR can generate for their company. However, this strategy is most effective when the company commits their entire brand around the particular cause. The Whole Foods Market (WFM) is the perfect example of how the use of the CSR works for a company. To understand how stores like the WFM influence society’s move towards sustainability and healthy living, it is important to look at the stores CSR strategy portrayed through their advertising, such as their website. In my paper I hope to further the conversation about the use of the corporate responsibility strategy for businesses to ...
This article addresses how the RED campaign differs from other campaigns in terms of its ability to increase the sales and profit of a company while also improving a good a brand image. The authors call red into action because companies use the RED brand fight against Global health crisis in Africa as a ruse for their corporate social responsibility where instead they are interested in making profit. This paper point out that if the companies are not transparent about the amount profited and donated, it will be impossible to predict the long term sustainability because consumers will lose trust in the company. But more red like initiatives would be formed that use shopping as a means to save world problems.
According to a Mintel Market Report, 51 percent of Millennials almost always, or always, buy green products over less environmentally-conscious competitors. In addition to seeking out these more sustainable options, many consumers reported that they would be willing to pay more money for products if they knew they were more ethical or
Belz, F., & Peattie, K 2012, Sustainability marketing: a global perspective (2nd ed.). Hoboken, N.J.: Wiley.
To help further explain these misleading claims, a well recognized company by the media is called Terrachoice. “The Terrachoice Environment Marketing Consulting practice converts knowledge of markets, science and marketing into winning, client-centered solutions to help sustainability leaders deliver results” (“The "six sins," 2007). Terrachoice has conducted a study of the “Environmental Claims in North American Consumer Markets” and found shocking results that made them want to give warning to potential consumers about the ‘six sins of greenwashing. The Terrachoice Company was designed to improve the communication between the purchasers and consumers, helping to enhance, strengthen, and prove market relationship.
...nsumers wanting corporations to be social responsible, yet as companies are driven by profits, many do not see the long-term goal of becoming more environmentally responsible, opting for short-term fixes, such greenwashing with their PR portraying a green image that is not necessarily a representation of the facts. A number of companies have now committed to producing annual social reports, which can be seen as a step towards the inevitable movement towards greater transiency and disclosure within business. NGO’s have widely dismissed these, however, as “PR exercise” and “greenwashing”, but the fact that corporations are beginning to accept that they will be held accountable for their wider impact on society is a noteworthy step. Until the triple bottom line method is introduced globally, however, corporations have no incentive to stop the practise of greenwashing.
Because Unilever has a policy of marketing the brands and not the company. The result is that they have been an integral part of life in South Africa without the consumer bei...
It is becoming increasingly important to consumers to know that the products they are purchasing are produced in an environmentally friendly manner, and a large focus of this is supporting chocolate companies which do not use palm oil in their production. Palm oil production is being held as one of the biggest industries responsible for deforestation globally, posing threats to wildlife, and consumers were made particularly aware of this in 2010 when Cadbury replaced cocoa butter with palm oil. This increase in awareness from consumers is an opportunity to Whittakers, as the brand is committed to being palm oil free, making Whittakers appealing to consumers on an environmentally friendly level, and possibly increasing sales for the company.
Unilever’s objective of increasing its market share in Brazil’s low-income market requires numerous strategic considerations for the company. Unilever needs to reevaluate its marketing and branding strategy, specifically whether it should reposition or extend its cheaper brands, or develop a new product that meets the demands of low-income consumers. Unilever should position itself around
Unilever has more than 400 brands, 14 of which create sales in additional of 1 billion pounds a year. Almost all those brands have time-honored, strong collective operations, which includes Lifebuoy’s drive to promote hygiene through hand washing with soap, and Dove’s crusade for existent beauty. (Unilever, 2014)
Sustainable development at its core contains three main elements: Environmental Protection, Social Equity and Economic Growth a concept often referred to as the triple bottom line: Business that looks to its impacts in terms of finance the environment and people. In agricultural sustainability we are in fact considering the effects of the agricultural sector on these three factors, sustainable agriculture has to be able to preserve the environment, control and protect the energy, water and soil while enhancing the well-being of the farmers in a safe climate relieved from any surroundings that might threaten the health of the workers while ensuring high quality products. While the two terms ‘sustainability’ and CSR had been used interchangeably some authors like to distinguish their meaning stating that sustainability only comes to light to justify the existence of CSR and as a concept represents the ways of doing business and the responsibilities undertaken by the companies regarding their impact on the environment and society as a whole. The industry faces with many challenges few mentioned as main issues are: environmental protection related mostly to resource scarcity, working conditions and health standards.
Unilever is a multinational company which ranks third globally in fast moving consumer goods. They have an excellent value chain which is one of the factors that has resulted in them to be among top consumer goods company globally. Their merger and acquisitions have led them to expand their company in different sectors of the consumer goods. They have 400 brands and sell their products across 190 countries. They have to work on some areas of the value chain to work even better than how they are working now. Also, there are many opportunities that will help Unilever to overcome their shortcomings and make them a successful Consumer goods
Unilever still believes that success means acting with 'the highest standards of corporate behavior towards the employees, consumers and the societies and world in which we live. Over the years they've launched or participated in an ever-growing range of initiatives to source sustainable supplies of raw materials, protect environments, support local communities and much more.
CSR is one of most important parts of every company. Acting as socially responsible is must for winning the race of competition. In this report, in the 1st part I tried to show a brief about CSR, its history and how people respond towards CSR. Then I have chosen Unilever, a famous FMCG company for the analysis. Then I tried to find out the CSR activities of Unilever all over the world, its corporate strategy and the contribution of CSR activities to corporate strategy. In the last part a SWOT analysis and some recommendations are given for more clarifications. I hope that this report will be able to give a clear view about CSR and its contribution to corporate strategy.