Critical Evaluation Of The Effectiveness Of Unilever

1169 WordsMay 24, 20175 Pages
Critical evaluation of the effectiveness of Unilever`s approach to ethics Highly visible business ethics issues influence the public’s attitudes toward business and may destroy trust. It is important for Unilever to undertake ethical decisions and follow ethical principles as failing that would result in large financial loses as well as destroy reputation of the company which in a great degree would also affect shareholder and stakeholders. According to Unilever’s annual report (2016) company has well developed approach to business ethics which is reflected in Code of Business Principles which are constantly reviewed and improved due to challenges that company faces as it operates globally. In the past Unilever has been accused by the UK…show more content…
Additionally, company decided to do not target children under six years old and do not use size zero models in advertising which reflected in one of the Unilever’s brand- Dove and its very well received by consumers ‘Campaign for Real Beauty’ (Moriarty, Mitchell, and Wells, 2015). According to Kant, freedom, honesty as well as rational decision making is highly valued. He points that individuals have a right to make decisions and company need to respect that. Moreover, he believes that organisation has a duty to deliver all information to its consumers about products even if it is adverse. It can be stated therefore that company cannot undertake decisions which are mainly based on the consequences that may occur, it need to make them due to the good will of the business. It is also not considered as an ethical if organisation provides all the information to consumers only because of not wanting to receive bad reputation. According to Kant, company need to provide information to all consumers as it is the right thing to do (Fisher, Lovell, and Valero-Silva, 2013). Another ethical issue took a place in Unilever’s Thermometer Factory in India where company has been accused by Greenpeace in 2001 of health and environmental damage caused by dumped highly toxic mercury waste in the tourist resort area (SOMO, 2009). However, in current operations Unilever aims to avoid aforementioned events and achieved of 96% per tonne of production of total waste which were sent for

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