Monday 25 April 2011

Dissertation Proposal Part 3

Dissertation Proposal Part 3

Name Colette Brown
Course Level 3, Jewellery and Metal Design
Supervisor Hamid Van Koten
Email cmzbrown@dundee.ac.uk
Date Friday 22nd April 2011

Working Title
An exploration of the ventures in which globally recognised companies invest, focusing on Nestlé and Marks and Spencer, and several other companies; which are deemed by many to be highly unethical, and examining the practice of greenwashing to promote an environmentally and social conscious image to potential consumers.
(48 words)

Summary
For the main body of my dissertation, I have chosen to examine the social and ethical practises of two companies; Nestlé, an internationally recognised company, based in Vevey, Switzerland, and Marks and Spencer, a British retailer headquartered in the City of Westminster, London. Both have been accused of shirking responsibility when it comes to global issues which affect many thousands of people; Nestlé for their promotion of baby milk formula over breast milk in developing countries, and Marks and Spencer for their open trade with Israel; a recognised terrorist state.
In July 1977, a boycott in was launched against Nestlé, one of the largest food processing companies in the world, founded in Vevey, Switzerland, after concern arose at their promotion of baby milk formula as replacement for breast milk in developing countries.
The International Baby Food Action Network (IBFAN) has accused Nestlé of unethical practices in order to promote their product, such as the distribution of free samples in hospitals and maternity wards. The free samples would usually last long enough for the mother's breast milk to dry up from lack of use and because the supplementation of formula has interfered with the mother’s lactation, the mother must continue to purchase the formula. Despite being distributed in countries in which the primary language is not English, Nestlé does not label its products in a language appropriate to where it is being sold, which prevents mothers from understanding how the formula must be correctly prepared. Nestlé has also been accused of employing women to dress up as ‘nurses’, although they would have received no specialized training to qualify them as health professionals, and get them to hand out free samples of the baby formula.
In order to prepare the formula, it must be mixed with water, but due to poor sanitation conditions, the water is often contaminated, and as previously mentioned, the instructions are not written in their native tongue, as well as illiteracy rates often being high in developing countries, mothers are often unable to read and fully understand the instructions as to how the formula must be correctly prepared. Often less formula than required is used, and is heavily diluted to make the supply last longer. These factors have resulted in malnutrition, disease and death.
Breast milk has many natural benefits that are not present in artificial formula. It provides protection, in varying degrees, from a number of illnesses, including diarrhoea and bacterial meningitis, as well as assisting in the neuronal development of the baby. Breastfeeding can also delay the return of fertility, which can be vital for women in developing countries to help space their pregnancies. The World Health Organization (WHO) advises that, in the majority of cases, babies should be breastfed for at least the first six months.
Marks and Spencers is a British retailer, headquartered in London and is one of the greenest companies on the high street, exploring more sustainable alternatives and encouraging customers and employees to enjoy a healthier lifestyle. In January 2007, Marks and Spencer launched ‘Plan A’, an initiative intended to address the company’s social and environmental challenges and to dramatically increase the company’s environmental sustainability. It covered becoming carbon neutral, the end of waste being sent to landfill sites and extending sustainable sourcing; all by 2012.
In March 2008, their range of own brand cosmetics and cleaning products became ‘cruelty free’ meaning the products and the ingredients were no longer tested on animals. This was approved by BUAV (British Union for the Abolition of Vivisection), whose internationally recognised ‘Leaping Bunny’ logo is now featured on the packaging, communicating to consumers that the products have produced ethically.
However, Marks and Spencers has also received criticism for its support and trade with Israel. Marcus Sieff was chairman of Marks and Spencer of 1972 until 1982, and a prominent figure in the UK Zionism movement. Zionism is recognised as a system that fosters apartheid and racism. Seiff is quoted writing that one of the one of the fundamental objectives of M&S is to aid the economic development of Israel. Israel is in direct violation of several UN resolutions regarding its continued oppression of the Palestinian people. One such incident, which gained mass media coverage, occurred in the winter of 2008 in the Gaza Strip, which is home to 1,500,000 people. This area of the Palestinian Territories subjected to air strikes by Israeli forces. Codenamed Operation ‘Cast Lead’, the attacks lasted from late December until mid January, and during this time, 1400 Palestinians were killed, and large areas of Gaza destroyed, leaving many thousands homeless.
I will also explore, in smaller detail, the practices of several other companies. These will include Caterpillar Inc., The Body Shop and L’Oréal. All of these companies relate in some way to the issues I’m addressing through my examination of Nestlé and Marks and Spencer. Nestlé owns 29.7% worth of shares in L’Oréal and L’Oréal bought The Body Shop, a cosmetics store, in 2006. Caterpillar Inc, like Marks and Spencer, are also guilty of an alliance with Israel.
In 1976, Anita Roddick founded The Body Shop, a cosmetics store which sells naturally scented products, and made its name championing ethical consumerism and opposing animal testing. In 1986, Roddick proposed an alliance with Greenpeace, a non-governmental organisation that focuses its work on worldwide issues such as global warming, deforestation and anti-nuclear issues. The Body Shop had always been considered a socially responsible company, although in March 2006, The Body Shop was taken over by the French company L’Oréal, one of the worlds largest cosmetics companies, and Roddick and her husband went onto gain around £1.3 million from the sale. On The Body Shop’s website, it is stated thus;
“The Body Shop has always believed passionately that animals should not be used for cosmetic testing. We have never tested our products on animals. Similarly, we insist that all our suppliers have not tested their ingredients on animals for cosmetic purposes.”
Whilst L’Oréal, The Body Shop’s parent company, does have the same policy, and is adamant that they do not practice animal testing, it is not recognised by BUAV (British Union for the Abolition of Vivisection), as an animal friendly company and has often come under scrutiny as a result. When a consumer purchases a product from The Body Shop, the money still goes to L’Oréal, so still essentially, goes to a company where there is serious doubt about its ethical policies, when it has been the intention of the consumer to buy a product that has been produced fairly. Nestlé controls over a quarter of the shares and voting rights of L’Oréal, and together have formed Laboratoires Innéov, and L’Oréal is the owner of Lancôme, Maybelline and Garnier; high street makeup brands that are sold separately from L’Oréal, and may be perceived by unknowing customers as competitive brands. The relationships between companies are something I would also like to examine, as it is often unknown by consumers who actually they are actually buying their products from.
Caterpillar Inc. is the world's largest manufacturer of construction and mining equipment, as well as producing branded clothing products, including footwear, which is largely available on the high street and online. Caterpillar Inc. also has a contract with the Israeli Defense Force, to supply them with bulldozers, which are used to destroy Palestinian land, and have been responsible for civilian deaths. One such example was that of Rachel Corrie, an American student, who was a member of the International Solidarity Movement; a Palestinian-led group that uses nonviolent methods to challenge Israeli occupation. Whilst trying to prevent a D9R bulldozer from demolishing the home of Samir Nasrallah, a local pharmacist, Corrie was run over, resulting in her death, and international outrage.
Through an exploration of Nestlé and Marks and Spencer’s ethical practices, it is my intention to observe how clever marketing often portrays these and other companies in a positive light, often with a wholesome family orientated image, and prominent featuring of their social awareness, yet failing to highlight the other ventures into which they invest or with which they are associated. If possible I would also like to address the question of whether or not a multinational company can be wholly ethical. I will examine in some detail two high street companies who have had positive response to their ethical practices; C&J Clark, shoe manufacturer headquartered in Somerset and Lush, the Dorset based cosmetics company.
(1399 words)

Chapter Synopsis
Introduction
Informing the reader of what issues I intend to address, which are the main companies I will be focusing on, as well the companies that will be introduced, but not examined in as extensive detail.

Chapter 1
This chapter will examine Marks and Spencer as a company, and will cover their “Plan A” initiative, and all the positive work they have been contributing towards the future of the planet. After this has been analysed, I will focus on their association with Israel, beginning with the history of the company, and its Jewish roots, to their involvement in the current Israel/Palestine conflict, through trade and economic support. I will also look briefly at Caterpillar Inc. and their contract with the Israeli Defense Force as an additional company that supports Israel.

Chapter 2
From a British company, I will move onto explore my chosen international company; Nestlé. I will look at the initial boycott action and the reasons behind it, whether or not the situation has improved today and any media coverage of the boycott. Will also look at the image Nestlé promotes to potential consumers; the wholesome, family orientated and how this can be deceiving to those who are uninformed of Nestlés practices overseas. From here I will also examine their association with L’Oréal, which will also lead onto The Body Shop, and Roddick’s decision to sell her business to L’Oréal.

Chapter 3
In this chapter I will look at companies who are recognised for their ethical policy; Lush and C&J Clarks. I will assess whether or not they are true to their claims of social responsibility, and if they live up to the statements they display on their websites.

Chapter 4
Results of surveys carried out regarding public opinion on the chosen companies ethical policies.
Conclusion
Assessing the primary that I have carried out, and the secondary research I have sourced, to conclude whether or not a huge multinational company can be wholly ethical.
(325 words)

Aims

To analyse the environmental, ethical and social responsibilities that should be upheld by companies, but are often disregarded in favour of profit.
An exploration of the ventures, that are often deemed highly controversial and unethical, that globally recognised companies invest in, and how they are concealed from the public, and therefore, potential consumers.
A brief examination of which companies are associated with each other, and which the relationships between them; who owns who?
Whether or not a company, which is as huge as, for example, L’Oréal, can be entirely ethical and socially conscious.
(97 words)

Objectives
I intend to contact the companies concerned, but understand that they may be unwilling to divulge information or may not respond, therefore the majority of my research will consist of reviews of literature, documentaries, articles, which relate to the aforementioned issues.
I assume my research will be one sided, but further research will aid me in making an informed decision as to whether I believe the company to be true in what they claim.
I intend to carry out consumer research in order to gauge opinions on these ventures to see how people react towards company practices.
(100 words)

Key Words
Branding
Ethical Practices
Social Awareness
Company Policy
Human Rights
Palestine/Israel conflict
Environmental issues
Animal testing

Bibliography
Achbar, M and Abbott, J, (2003), The Corporation. [DVD] Zeitgeist Films.
A documentary that shows the development of the contemporary business corporation.

Allen, F, (1995), Secret Formula: How Brilliant Marketing and Relentless Salesmanship Made Coca-Cola the Best-Known Product in the World, Harper Business.
As the title would suggest, this book chronicles of the history of the Coca Cola company, from its humble beginnings when John Pemberton and his business partner Frank Robinson, developed the soft drink in the 1880s, up to present day. Also looks at politics within the company.

Baby Milk Action, (2011), available from: http://www.babymilkaction.org/pages/boycott.html [Accessed: 07/03/2011]
A website with all the latest information, plus the history of the Nestlé boycott.

Bakan, J, (2004), The Corporation: The Pathological Pursuit of Profit and Power, Constable Publishing.
Bakan wrote this during the production of the film The Corporation, and tells you everything you need to know in six accessible chapters.

The Body Shop, (2011), available from: http://www.thebodyshop.co.uk/_en/_gb/index.aspx [Accessed 07/03/2011]
Website of the company The Body Shop, which states its ‘Values and Campaigns’.

Books LLC, (2010), Armoured Fighting Vehicles of Israel.
Gives a list of the weaponry that is currently being used .by the Israeli army. Useful in proving a connection between Israel and Caterpillar.

Chomsky, N, (1999), Fateful Triangle: The United States, Israel and the Palestinians, Pluto Press
An analysis of the relationship between Palestine and Israel, and the support Israel receives from the United States government. Chomsky cuts through the myths that appear in mainstream media accounts and compares the apartheid era of South Africa.

C&J Clarks (2011), available from: http://www.clarks.co.uk/ [Accessed 22/04/2011]
Website of the shoe manufacturers Clarks. Section available which highlights the concerns of Amazon deforestation and their contribution.

Ethical Consumer, (1989), available from: http://www.ethicalconsumer.org/home.aspx [Accessed: 07/03/2011]
Website for consumers who are conscious of ethical practices. Useful search function that brings up a selection of articles concerning companies I’m examining.

The Guardian, (2011), L'Oréal buys Body Shop for £652m, March 2006, available from: http://www.guardian.co.uk/business/2006/mar/17/retail.money [Accessed: 28/02/2001]
Newspaper article online detailing The Body Shop takeover by L’Oréal.

Hays, C, L, (2005), The Real Thing: Truth and Power at the Coca Cola Company, Random House Trade.
Examines Coca Cola’s global marketing strategy and dominance of the market.

Healey, M, (2008), What is Branding?, Switzerland, RotoVision SA
An introduction to the branding process, necessary to understand the basics of how a brand is formed, what a brand is, the components involved in branding, what branding does and who owns the brand. Useful selection of case studies.

International Baby Food Action Network (2011), available from http://www.ibfan.org/ [Accessed 21/04/2011]

Kenner, R, (2008), Food, Inc, [DVD], Magnolia Pictures and Participant Media.
A sobering examination of the American food industry. Probably not entirely relevant to my chosen subject, but it relates to my interest in the power companies wield.

Klein, N, (2000), No Logo, Great Britain, Clays Ltd, St Ives plc.
A personal account, written in a journalistic style, examines the relationship between branding and the anti globalisation movement. Klein uses several well-known companies such as McDonald’s and Nike and exposes their misdeeds.

Klein, N, (2000), The Tyranny of The Brands, New Statesman, London, Spencer Neal.
An essay that documents and examines the dominance of brands in the current market. Discusses the stirring anti globalisation movement.

Love, J, F, (1995), McDonalds: Behind the Arches, Bantam USA.
A history of the McDonald’s empire; focuses mainly on the individuals involved.

Mark Thomas on Coca Cola, Dispatches, (2007), Channel 4, 9th November.
Journalist Mark Thomas travels to South America, India and the US to investigate the way in which Coca Cola and its suppliers operate and how upholds moral and ethical obligations.

Prakash Sethi, S, (1994), Multinational Corporations and the Impact of Public Advocacy on Corporate Strategy: Nestlé and the Infant Formula Controversy (Issues in Business Ethics), Springer.
An in depth analysis of the Nestle baby milk controversy and the resulting boycott that sees the company shunned by numerous social activist groups.

Pendergrast, M, (2000), For God, Country and Coca Cola, Orion Publishing Group Ltd.
A history of The Coca Cola Company.

Rachel Corrie Foundation for Peace and Justice, available from: http: //rachelcorriefoundation.org/ [Accessed: 28/02/2011]
A website dedicated to the life and works of Rachel Corrie, an activist killed in Gaza.

Rachel Corrie In Memoriam, available from: http://www.rachelcorrie.org/ [Accessed: 07/02/2011]
A website with links to a selection of the newspaper articles that have been published concerning Corrie’s death, useful for cross referencing to ensure information is correct.

Roddick, A, (2005), Business as Unusual: My Entrepreneurial Journey - Profits with Principles, Anita Roddick Books.
An account in Roddick’s own words how she founded, and the success, of The Body Shop.

Royle, T, (2000), Working for McDonald’s in Europe: The Unequal Struggle?, Routledge.
Relationship between the McDonalds Corporation and its employees in Europe, written in the form of a case study.

United Nations Children’s Fund, available from: http://www.unicef.org/index.php
[Accessed; 20/04/2011] Search ‘baby milk formula’ in the website search engine for a selection of talks and slideshows which have been prepared to promote breastfeeding in developing countries.

Waitzfelder, M, (2007), L’Oréal Took My Home – The Secrets of a Theft, Arcadia Books.
Waitzfelder tells the story of how she has been carrying on a one-woman struggle against L'Oréal, the French cosmetics giant, which refuses to give back the Waitzfelder family house in Karlsruhe, Germany, which the company purchased under highly dubious circumstances after it had been confiscated by the Nazis.

White, B, (2009), Israeli Apartheid: A Beginner’s Guide, London, Pluto Press.
An introduction to the conflict between Israel and Palestine, which exposes that which the West is hiding from the public; Israel’s apartheid regime.

World Health Organization, (2011), available from http://www.who.int/en/ [Accessed 19/04/2011]