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1. What are the responsibilities of companies in this or similar situations?
-A company going international and selling products that may, in one way or another, become a threat to the human health by the misuse of it have to take a series of serious measures in order to prevent this things from happening.Responsibilities of company in this situation. Find a way to become involved with the Baby-Friendly Hospital Initiative, like sending in donations or even working with the organization to help. Remain a member of Infant Food Manufactures (IFM). Keep its internal Nestlé instructions to Nestlé employees updated and up to standards to avoid any more problems. Continue their efforts on social responsibility by sponsoring events at international medical and nutrition conferences, and events like celebrating the Vietnam Year of the Family, and funding research on infant feeding. Be careful with their pricing strategy and make sure they are selling their products in third world countries for reasonable and affordable prices for the people, and they should maybe consider selling the products for even less in these places. • Nestlé also needs to learn from its mistakes and not be so neglectful and they should respond to issues in a reasonable amount of time, because when they do not, they look irresponsible and careless. • Do whatever it can to reposition itself as a force of good.
2. What could Nestlé have done to have avoided the accusations of “killing Third World babies” and still market its product?
– Avoiding the accusations. Learn about countries‟ culture they market. Support breastfeeding and its benefit . Encourage using formula for special situations. Offer testing HIV
3. After Nestlé’s experience, how do you suggest it, or any other company, can protect itself in the future?
-Suggesting to protect company on the future Before nestle or any enterprise enter to the new market, they have to understand well about the tradition, life style, economic status, natural conditions…they should do more study
about medical effects of their product and services because they provide such an important for human beings. When they do business, they should not only care about making profit but also their consumer. For people in third country, this company should do promoting in healthy eating habit for mothers during her pregnancy and then baby. A doctor is really needed for some urgent situations.
4. Assume you are the one who had to make the ﬁnal decision on whether or not to promote and market Nestlé’s baby formula in Third World countries. Read the section titled “Ethical and Socially Responsible Decisions” in Chapter 5 as a guide to examine the social responsibility and ethical issues regarding the marketing approach and the promotion used. Were the decisions socially responsible? Were they ethical?
-Difficulties arise in making decisions, establishing policies, and engaging in business operations in five broad areas – Employment practices and policies – Consumer protection – Environmental protection – Political payments and involvement in political affairs of the country – Basic human rights and fundamental freedoms. Laws are the markers of past behavior that society has deemed unethical or socially irresponsible. Ethical principles to help the marketer distinguish between right and wrong, determine what ought to be done, and justify actions Utilitarian Ethics Rights of the Parties Justice or Fairness unqualified sales girls the distribution of free samples marketed to people who were incapable to fulfill the minimum requirements for giving formula safely to the baby the association of bottle-feeding with healthy babies to promote the use of infant formula to mothers who would have been better off breast-feeding their babies. Global Marketing (MKT 690) Professor Godwin Ariguzo Presented by: Jillian DeSousa Kerri Levesque Aziza Akilah Williams August 6th, 2008.
5. What advice would you give to Nestlé now in light of the new problem of HIV infection being spread via mothers’ milk?