After reading chapter 3 of Kreitner (2008) and the case study at the end, there are several reasons why Chiquita did the right thing in cleaning up its business. Corporate social responsibility is defined as “a company's sense of responsibility towards the community and environment (both ecological and social) in which it operates. Businesses express this citizenship (1) through waste and pollution reduction processes, (2) contributing to educational and social programs, and (3) obtaining adequate returns on the resources employed” (BusinessDictionary.com, n.d.). The arguments for corporate social responsibility evident in Chiquita's case are (1) that social action will prevent government intervention and (2) a better society means a better environment for doing business. An example of social action that prevents government intervention is how Dave McLaughlin worked with the environmentalist nonprofit Rainforest Alliance to get their opinions and suggestions. Instead of working against them, McLaughlin worked with them (Kreitner, 2008). Farm workers who have worked long hours in dangerous and dirty conditions can probably vouch for the fact that Chiquita has invested in the company by creating a cleaner and safer work environment for its workers. The reduction in pesticides resulted in healthier workers and $5 million in savings (Kreitner, 2008). When Standard Oil Company founder John D. Rockefeller distributed pennies to starving children more than a hundred years ago, he “believed he was accomplishing some kind of social responsibility” (Kreitner, 2008, p.55). Rockefeller may have been the pioneer of enlightened self-interest. When Chiquita partnered with the nonprofit environmental group Rainforest Alliance to clean up its farms and working conditions, Chiquita ultimately helped itself by helping its brand image and profits, not corporate philanthropy with a non-profit organization. This form of enlightened self-interest is different from other partnerships with nonprofit organizations because Rainforest Alliance “does not accept donations from companies it certifies” (Kreitner, 2008, p. 71). Chiquita helped its brand image; however, it didn't help Rainforest Alliance's bank account. In enlightened self-interest, also called cause-related marketing, the goal is money for the company and nonprofit. “Cause-related marketing is the lexicon used by American companies to work in financial concert with a charity. It's marketing that ties a company and its product to a cause.
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