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Crossing Borders

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Submitted By veren
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Veren Veren
Ceri Nishihara
Ikea Case
July 5 2016
IKEA is a world known company, it is a furniture company that was first found in Sweden. IKEA’s headquarters is in Delft, Netherlands, the company was first found by Ingvar Kamprad. Ikea is also the world’s largest retailer of household goods and furniture, in my house you can at least find five furniture that comes from IKEA, they are cheap and reliable. A problem first rose in May 1995 when a German television broadcasted a report regarding child labor that involved IKEA. They believe child labor was involved during the process of making the carpet in IKEA. Many companies make their rugs there however only IKEA was involved most as IKEA is the most well known company out of the others. Another problem is that IKEA didn’t know that child labor was involved in the process of making these rugs. IKEA proceeded to put some actions to stop child labor, they apologized for not paying full attention on the process of the rug making. They tried to stop the problem by hiring a third party company to make sure no child labor will be involved in the future. They tried to resolve the problem by stating that if any child labor was involved and IKEA is notified about it they would cancel all contracts that are involved. The reason why IKEA was so involved in child labor is because not only it could drag down it’s sales but it could lead a problem as IKEA’s mission statement is to create a better everyday life for many people. IKEA then proceeded to make IWAY which is IKEA’s code of conduct. They made working conditions such as no child labor shall be involved, no illegal overtime and many more. IKEA suppliers must only take wood from areas that has a high conservation rule or certified areas. Despite IWAY policy being made, violations still occur, they still have a problem with

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