Controversy And Criticism At The Nestle Company Commerce Essay

Contr every intrustsy And Criticism At The nose fraternity affair EssayIn erst art object(prenominal) ten years Nestl ac union was criminate by many of experts and organisations virtually the land for un estimable worry practices in the way the familiarity does its agate line, the association was involved in serious boycotts which ruin the smart set over every(prenominal) repute in past years. In this canvas we expect discussed and analysis some of the most serious Nestl un respectable agate line practices (Phdinp benting, 2010). star of the most critical issues that Nestl has been criticised for during past 15 years is the furtherance of the use of infant formula to m early(a)s crossways the world. Many believe that Nestl tabooline for promoting its infant formula was misleading and harmful that violates both(prenominal) International ordinance of Marketing of Breast milk Substitutes and WHO Code regulating the marketing of white amount of money milk substit utes (Mcspotlight, 2002).Nestls marketing campaign encouraged m new(prenominal)s across the world for bottle feeding instead of breast feeding, they used free essay to pursue this burster in admittance Nestl implies that malnourished mothers and mothers with twins have non the ability to Breastfeed their child, despite many international wellness organisations claimed that there is no evidence to support this statement which could put both the mothers and babies life in danger (Corporatewatch, 2003).There have been numerous reports of accept advertisement targeting mothers across the world in countries such as Malaysia, atomic number 16 Africa and Ireland as a result advocacy groups and health organizations charge Nestl of unethical methods of promoting its milk and demand the confederation to immediately stop its marketing strategies (Mcspotlight, 2002). One of the Health organisations that criticised Nestl for its marketing strategy was IBFAN which believed Nestl is harmi ng misleading mothers by pass them a free sample of milks as they ar in hospitals, because as mothers ar released from hospitals they have to continually demoralise Nestls formula since babies get competent to the Nestls milk. IBFAN also claimed that Nestl uses humanitarian aid to create markets by offering attractive gifts and contrary sponsorships to influence health officials to market and promote its products by targeting young mothers who have given birth (Corporatewatch, 2003)..2.2 Using Suppliers That Violate human macrocosm RightsAnother controversy issue faced by the phoner during past years was using suppliers that violate human reforms, in 2009 BBC reported that Nestl buy its milk from a farm seized from its white owners which is now owned by the wife of Zimbabwes President Robert Mugabe, they supply between 10% to 15% of Nestls local milk supply (Corporatewatch, 2003). However the company denies the proclamation and claims that the solitary(prenominal) reason they purchase their milk supply from its African supplier is to suspensor meet the feed needs of Zimbabwean consumers (BBC, 2009).2.3 Exploiting FarmersIn 2001, Nestl faced long criticism for purchasing cocoa from the Ivory Coast and Ghana suppliers, which whitethorn have been produced using child slaves. An investigation by BBC showed that hundreds of children who lived in Mali, Burkina and Togo were being purchased from their p bents and sent to countries such as Ivory Coast and Ghana to be used in toil of coca (BBC, 2001). Most of the children who work in coca farms are ranged between 12 to 14 years old, and are forced to work 80 to 100 hours all(prenominal) week while they are not paid fairly, barely fed and beaten on a regular basis (Corporatewatch, 2003).After the widespread of these reports Nestl Company faced huge criticism from health and comprehend organisations or so the world to put a stop to these anti-humanities act, as a result the company did not have any s urvival except to express its concern over the use of child labour in coca farms to, further the company never confirmed that non of its chocolate products derived from these anti-humanities resources (Mcspotlight, 2002).2.4 Union BustingIn late 2001, labour organisations accused Nestl for denying its worker right one of the countries that most of the accusation came from was Columbia, in which eight worker of the company got assassinated because they were part of food and drink labour labor union called SINALTRAINAL however there have been no evidence linked Nestl to these assassinations. In another(prenominal) example involving Nestl union busting, in 2001 the management of Nestl subsidiary Comestibles La genus Rosa threatened the company worker that they must either renounce their union membership or they should leave the company (Corporatewatch, 2003).2.5 Promoting Unhealthy FoodNestle was recently exposed after a report by the UK consumers link claiming that 7 out of 10 of the Nestls breakfast cereals containing the highest level of fast, cultivated cabbage and salt urine. The company is accused for denying the role of corporate responsibility in promoting its product to public (Corporatewatch, 2003).2.6 Illegal Extraction of Ground wetThe company was also accused for abusing and ruining pee resources in Brazil and United State. In the do chief(prenominal) of Serra da mantiqueira in Brazil which is known for its vulnerable groundwater resources, Nestls over pumping action has resulted in depletion and long circumstance damages to the region water resources (Corporatewatch, 2003).Nestls was accused because people of the Serra da mantiquira believ that the company action has changed the gustatory perception of their drinking water and also the over pumping has caused complete dry out on the main region water resources. Nestle used these water resources for its mineral water product called Pure Life bottled water (Phdinparenting, 2010).3.0 Solae Co mpany3.1 Solae HistorySolae LLC is an international soy supplier which is based in Louis, Missouri. This company is the world leader in developing and producing innovative soy technologies, meat and other nutritional products. The company was founded in 1958 by producing just industrial soy protein products however Solae started producing other food product (such as adust goods, meats, beverages and nutrition bars) in 1973 after DuPont and Bunge created Solae Company as a vocalise venture (Solae, 2010).Solar use soybean resources around the world in order to create nutritious and great-tasting ingredients including baked goods, meats, beverages and nutrition bars which are used by thousands of customers in more than than 100 countries around the world. The company has approximately 2,400 employees in different parts of the world including North America, Asia, atomic number 63 and Latin America (Solae, 2010). Solaes commitment to innovation and development has resulted in product ion of new soy product tag along by more than 98 patent and 338 patents pending which is more than any other soy provider in the world (Solae, 2010).On 26 of March 2010, Solae Company was grantd by the Ethisphere Institute as one of the worlds most ethical companies. Each year Ethisphere Institute prepares a list of 100 companies which it believes are the most ethical companies in the world on basis of spot and future refinement (Ethisphere, 2010).The world most ethical companies are recognize not only making statements about doing business ethically precisely also translating those statements into action. Solae was ranked among on of the 100 most ethical companies in the world along with giant companies like Pepsi, Nike, Ford, Xerox, Henkel and LOreal in addition the company was positioned at top 5 most ethical companies in food and beverage industry joined by Campbell, Mills and PepsiCo (Ethisphere, 2010).4.0 Solae Ethical and suitable PracticesSolae ethical and moral practice s are inspired by the companys core pry which mostly concentrate on what the company is and what it is stand for, Solae top executives believes the violence of the company begins with a deep commitment to ethics from the top to layer in the company, ethical behavior is one of the core values at Solae, which is big in both the companys professional and personal lives. According to Solae officials, at Solae ethic codes are designed to make sure that each of the companies personnel are constantly upholds the companys standards and objectives. Any act that deliberately violates the law or regulation to screen non-compliance with this Code of Conducts, or company overall insurance policy is an ethical violates (Solae code of yield, 2010).4.1 Safety and HealthSolae Company believes that in doing business all occupational illnesses, environmental incidents and injuries are preventable and can be controlled by implementing the right business practices along with providing the best a nd high case foods to consumers. The companys overall goal is zero for incidents, meaning that safety and health are one of the most most-valuable aspects of Solae Company (Solae, 2010).Every employee at Solae is trustworthy for acting in reliance with safety and health law which was authentic to prevent any incident involving employees and other Solae personnel. Managements in each di view are responsible for educational activity, educating and motivating employees to understand and act accordingly to relevant safety and health laws.4.2 Sustainable Practices for SocietySolae core value of environmental custodiantion is a major example of the companys commitment for people in different societies. At Solae employees are expected to compete lawfully at all manners, they are also expected to protect the environment and to be a good keeper of the company operations, services and products (Ethisphere, 2010).4.3 surroundal PracticesSince the company was founded, Solae mission has b een to be the preferred universal partner in the expansion and quarrel of nutritional and efficient solutions for its customers, the Company is constantly committed to promise to conduct business and operations with respect and care for the Mother Nature. Since Solae main business is product of soybean resources, the company pays a great respect and attendance to environmental practices which helps to keep our nature green and un harmful.At Solae managers at each corporate level are held responsible for educating, training, motivating and instructing employees to understand the important of Solaes commitment to protect environment in addition each employee at Sola company has the responsibility to meet and fulfil the terms of Health and Environment which were authentic to guide each employee in pursuing the companies mission and vision (Solae code of conduct, 2010).Solaes commitment to environment is one of the core value developed by the company which has allowed the company co ntinually improve and implement main manufacturing process and activities to reduce its impact on Mother Nature, It is believed that Solae track its activities across all manufacturing department in order to replicate successful advantage where it is needed. The company has genuine several awards because of its environmentally friendly business practices around the world. For exampleIn 2009, the company headquarter in StLous was given a LEED parkland Building Certificate (Leadership in Energy and Environmental Design) for having the most pushing efficient, greenest and high productive building in the region (Solae, 2010).In 2005, Solae received two awards from different non-profit organisations for reducing total energy consumed by the company by more than 10 percent and decreasing greenhouse emissions by 7.7 produce by the company (Solae, 2010).4.4 Ethical Competition Law PracticesIt is believed that, Solae competes forcefully in the marketplace to best supply its customers nee ds and preferences. Solae Company has deliver the goods most of its reputation as a result of its Competition Laws which the company follow in most of the countries that operates, these laws are compound and can exchange from country to country depending to its market place competition condition and oblige (Solae code of conduct, 2010).4.5 Water and Energy ConsumptionSolae is well known around the world for its efficient water and energy consumption in equalise with other companies involved in food industry. Soy uses less water than other kind of proteins such as meat, milk and eggs. In addition soy is known to be an efficient source of protein based on return amount of energy use in compare with other resources of proteins.CUsersArmanDesktopvirtuawater.jpgCUsersArmanDesktopenergyefficiency.jpgUSDA FAO/ UNICEF, USA Protein Advisory Group (2005)4.6 play off Opportunity Non DiscriminationSolae Company is against any discrimination regarding any employee or new application who wa nts to join the group because of race, sex, age, colour, national origin, marital status, panorama or ancestry (Solae, 2010).ConclusionTo sum up, Core values are particularly critical in these days as we operate in markets around the world and aiming to serve customers with different needs and ideas. Obviously at Solae Company the central attention is to understand responsibilities and obligations toward individuals and environment. As experiment has shown us a companys success is pretty much dependent on ethics and moral which builds a long term reputation for both the company and industry. Unfortunately, after analyzing Nestls corporation act, clearly ethics has no place in the company long term strategy. This fact has greatly influenced companys reputation and has ruined its position in food industries around the world. As a result the concept of ethics has become one of the most important aspects of management duty.For companies as big and successful as Solae and Nestle trainin g employees to follow ethical and social principles are key success operator and has to be observed and practice continually. Many businesses are interested in making money, and that is the bottom line or in other words they just want to be in business on the other hand there are many businesses that making money does not mean everything to them, but doing the right thing and having responsibility and commitment toward lodge have far more importance. Solae has to continue its effort in practicing ethical principles in all company levels and Nestle has to change its long term strategy and pay attention to what is right and wrong.