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Nestle (Darkside Case)

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Submitted By coreykim
Words 3303
Pages 14
Introduction
Nestlé, founded in 1866 by Henri Nestlé, is the world’s largest food company, producing products such as chocolates, soups, coffee, cereals, baby formula, and a host of other items (Nestlé, 2006). In the late 1960’s and 1970’s, Nestlé found itself in the centre of a scandal (Krasny, 2012). It was accused of encouraging mothers in Asia, Africa, and Latin America to use baby formula instead of breast milk, a healthier and less expensive alternative (Krasny, 2012). The allegations of non-ethical marketing practices led to boycotts of Nestlé products, beginning in 1977, in the United States and Europe: some boycotts continue to this day (Facebook, 2012).

The criticisms, public outcry, and attention from social activists resulted in Senate Hearings in the United States and meetings by the World Health Organization (WHO, 1981). The result was a new set of marketing rules, introduced in 1981,that restricted the promotion of baby formula (WHO, 1981). These restrictions are outlined in the International Code of Marketing of Breast-Milk Substitutes (WHO, 1981). The aim of the code is to “ensure the proper use of breast milk substitutes, when these are necessary, on the basis of adequate information and through appropriate marketing and distribution” (International Lactation Consultant Association, 2001).

When you consider the corporate marketing practices uncovered in the Nestlé scandal, one can see that a corporation’s vision must go beyond profits, and consider business ethics, motivation, perception, and conformity, and business ethics as key success factors in a world that has embraced corporate social responsibility.
Business Ethics - Nestlé
Business ethics are the values and behaviors that companies uphold and exhibit in carrying out their everyday business (Gruble, 2011). Business ethics require companies to act in an ethical manner and be

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