Consumer Boycotts Case Study

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Consumer Boycotts, was the only power a customer had over Transnational Corporations (TNC’s) to clearly state that a product isn’t welcome on the market due to it endangering people or the environment. How powerful are Consumer Boycotts? A popular definition of consumer boycotts states “an attempt by one or more parties to achieve certain objectives by urging individual consumers to refrain from making selected purchases in the marketplace” (Friedman, 1986, p. 97). Boycotts were a means for consumers to communicate products that are made by social injustices such as slavery. Through technology of today consumers are receiving more and more information on what large companies are doing to cut corners just to make a profit on humans, the environment or animal injustices. One of the longest running Boycotts is Nestlé a Swiss company started in 1866, this company is still a major TNC’s after 40 years of the public boycotting their products on the grounds of encouraging the replacement of their baby formula instead of breast milk and newly Palm Oil deforestation.

Consumer Boycotts, a radical means for customers to communicate to the companies by banning products on unethical grounds. Boycotts have a long history of giving the power of the market to the people in the name of progressive social change, with the earliest boycott recorded in England in 1791 on the slavery with sugar farming (Ethical Consumer, 2014). Boycotts have been a popular tool in history but became prominent in the 1970’s and onwards and the world started to revolutionise equality. For TNC’s who make billions of dollars a year, boycotts usually have minuscule effect on its annual revenue but from a marketing standpoint this incurs significant risk for the brand. F...

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...imals all in the name of a product. Companies are now held responsible for their actions on behalf of the consumers for the sake of maximising their annual revenue. Guerrilla warfare is used to catch the companies off guard striking quick; throughout the years organisations have been formed to create a unified body such as Greenpeace and IBFAN. To solve the problem of boycotts verse company’s honesty is needed opening operations of both side will remove the drastic need to ban a product due to misinformation, this is extremely unlikely to happen. In the case of Nestlé the boycotts have been effective to a degree although it hasn’t officially stops any misconduct it has tainted the company brand and is forcing the company to respond by slowly fixing these injustices, it’s a regular reminder for companies that consumers know about these abuses and won’t stand for it.

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