The Body Shop Case Study

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Recommended: The significance of Corporate Social Responsibility

Case Study Review
Kukila N. Stanley
Webster University
MNGT-5990 Corporate Social Responsiblity
Instructor: Brian L. Craven
10/14/2014

Abstract
Corporate social responsibility (CSR), was initiated as companies began look beyond making a profit as their sole purpose existence. Industry leaders understood that relationships are established between their corporations and society and each party has a responsibility towards the other. Therefore, the CSR concept was established over the years. “CSR is about the economic, legal, ethical, and discretionary issues that stakeholders view as directly related to the firm’s plans and actions” (Werther, Chandler 2001, p. 9). This review of the case study on “The Body Shop” will focus on organizational …show more content…

For example, a company may believe that they have social responsibility to provide organic products to consumers, which will impact the cost to make the product and the funds needed for the company’s sustainability. This could lead to issue number one, “will consumers pay a “CSR premium for a product?” (Werther, Chandler 2001, p. 190). The second issue that is presented as it relates to social entrepreneurship is: how can a company continue with their mission and operating practices once the founder is no longer there or ownership in taken by a leader whose motivation is profit specific vs. social …show more content…

He further accused Roddick of lying about the formulas used by The Body Shop to create its products. As previously stated, The Body Shop claimed that the ingredients that they receive from suppliers were not tested on animals. However, Entine claims that this statement is a “façade via a five year rule”. (Body Shop Animal Testing Policy Alleged ‘A Sham’, n.d.).
Prior to the controversy, The Body Shop was considered a “social responsible” corporation. (The Body Shop, n.d.). Entine further alleged that The Body Shop’s product were not natural, but contained artifical colouring, scents, and preservatives (The Body Shop, n.d.). The company was subsequently accused of “greenwashing”, which means to mislead consumers concerning the environmental practices of a company. (Werther, Chandler 2001, p. 109). On September 6, 1989, The Body Shop switched their labels from “not tested on animals” to “against testing on animals” after a lawsuit in Dusseldorf,

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