Unilever Case Study

Brilliant Essays
Register to read the introduction… One of the greatest challenges confronted by farmers in developing countries is unfair trade practices, such as subsidies granted to farmers by developed states, coupled with high import tariffs. Bureau, Jean and Matthews (2005: 7) found that unfair trade practice negatively impact farmers in developing countries to the extent that they are unable to compete with their counterparts in the developed world, thus leading to agricultural economies failing to provide in the basic necessities of …show more content…
Companies such as Unilever have embraced the motto of “Doing Well, by doing Good.” Ellison, Moller and Rodriguez (2003) conducted a case study about the Indian subsidiary of Unilever and found that by applying community-centered corporate social responsibility practices Hindustan Lever Limited (HLL) has transformed itself into India’s largest “fast moving consumer goods” (FMCG) company. The company, for example, requires all employees to live in rural villages for up to six weeks to get an understanding of the needs, values and cultural practices of their consumers. HLL has further set up Research and Development facilities, focusing exclusively on technology and product development which serves the needs of the poor. By collaborating with local partners in the development and distribution of products, the company has succeeded in embedding itself in the communities it operates in, and in so doing they have received the support of local communities. Knowledge of the local conditions also allowed HLL to exploit low-income segments of the market, where other FMCG companies are unable to …show more content…


Amnesty International. 2010. First convictions for 1984 Union Carbide disaster in Bhopal - Too little, too late. [Online] Retrieved from:

http://www.amnesty.org/en/news-and-updates/first-convictions-1984-union-carbide-disaster-bhopal-too-little-too-late-2010-06-07 30 August 2010

Bureau, J., Jean, S. and A Matthews. 2005. The Consequences of Agricultural Trade Liberalization for Developing Countries: Distinguishing Between Genuine Benefits and False Hopes. ECONPAPERS no. 25

Burke. J., 2000. Child labour scandal hits Adidas. The Observer. Guardian online [Online] Retrieved from: http://www.guardian.co.uk/uk/2000/nov/19/jasonburke.theobserver 30 August 2010

Ellison, B, Moller, D and M. A. Rodrigues. 2003. Hindustan Lever: Reinventing the Wheel. Barcelona, Spain, IESE Business School.

Hart, SL. 2010. Capitalism at the Crossroads (3rd Edition). Upper Saddle River, New Jersey: Wharton School

Related Documents