Should L Oreal Become Cruelty Free And Adopt The Body Shop Ethical Purchasing Polices?

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Research Question:

Should L’Oreal become cruelty free and adopt its child company – the Body Shop – ethical purchasing polices? Background Information:

L’Oreal is known as worlds largest cosmetic company, selling over 63 billion products in 130 countries worldwide. In 2014 the European mega giant in the beauty and hair world has annual revenue of $149.4 million US dollars, along with $24.86 billion US of profits and $25.6 million US of profit loss. The business’ assets are $9368.9 million US and liabilities at $9910.2 million US. As of 2014 L’Oreal owns 28 international brands with annual sales of more that $54 million.

With over 77,500 employees L’Oreal distribute their products into cosmetic stores all over the world from 71 distribution
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L’Oreal is known as worlds largest cosmetic company, having over
L’Oreal has had ethical issues surrounding animal testing in the past and in 1993 signed PETA’s Statement of Assurance, declaring that it would stop once and for all its animal testing. However in 2000 statements from L’Oreal confirmed that it does not test its finished products on animals, and never mentioned testing ingredients on animals.
Then 20 years after signing the Statement of Assurance, L’Oreal pushed to have its cosmetics available for purchase in China. With this all products available must be tested on animals- typically rabbits and mice- as apart of the governments laws.
In 2006 L’Oreal purchased cosmetic company ‘The Body Shop’, which has built its company on ethical products. When L’Oreal purchased the Body Shop there were many claims that it was for social advantage due to the Body Shop placing ‘Cruelty Free’ products behind the L’Oreal brand name.
This article highlights L’Oreal’s unethical behavior and how they have attempted to cover their tracks without fixing the
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An Ethical business is pricey, using alternatives compared to cheap unethical procedures. This may be so however the first two articles found discussed how beneficial an ethical business is, it can create more trust between a buyer and a seller, better media and ultimately more money all for doing the correct thing.

Each year more and more people are becoming aware of ethical issues in businesses, such as animal rights in cosmetic company L’Oreal. Ethical products are becoming increasingly required as more countries are placing bans over animal tested products. China’s laws however state that any cosmetic product that is sold on Chinese soil must be tested on animals.
Although L’Oreal signed a statement of assurance for PETA in 1993, L’Oreal was only not testing their finished products on animals but nothing was said about the ingredients. This has been seen through L’Oreal pushing for its products to be sold in China and paid over $32 billion, however when L’Oreal was expanding their range a large protest occurred for animal rights.


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