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Cadbury Schweppes - Essay Example

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Cadbury Schweppes

Aside from pivoting around these two elements, its responsible role is backed by CSR vision and strategy. Additionally, Cadbury Schweppes responsible role comes from the systems it has in place along with the company's pledge to live by its values. Through these steps the company strives to promote a brand that people love.1
The idea of promoting a brand that people love is fuelled by the idea that the more people love the brand, the more likely it is for Cadbury Schweppes to retain their position and do even better. In order to promote a brand that people love, the company listens to what people want. The company also learns from its past experiences with products that people easily take to. Through this simple process, Cadbury Schweppes has managed to successfully launch many products in the global market, as they know what people want.2
Acting responsibly is one aspect that Cadbury Schweppes continues to emphasize on. This aspect has permitted the company to place great value on its shareowners. This has allowed the company to put further thought into its CSR strategy that has Five Pillars. These include:
Cadbury Schweppes continues to renew its commitments towards responsible growth of its business. Renewed commitments allows the company to be prepared for future CSR journey, which is termed as the company's 'Goals and Commitments on Sustainability.' Cadbury Schweppes has goals set for each of its Five Pillars for CSR strategy that is in sync with its approach to sustainability.3


The Problem Cadbury Faces Currently:
Until recently, Cadbury Schweppes had little problem with its reputation. However, in June 2006, questions were raised regarding the ethical standards and social responsibility that the company preached for so long. According to the health department, Cadbury Schweppes has circulated stock that was contaminated4. This was discovered because of few cases of food poisoning that were traced back to Cadbury Schweppes. It was discovered that there was a leaking waste pipe that dripped some contaminants into Cadbury Schweppes' chocolate fudge. This is one of the ingredients used in many Cadbury products. After the investigation, it was determined that Cadbury Schweppes stood to lose 20 m because they had to recall the stock that was affected by the contamination5. Aside from the financial loss, there is also a risk of the company losing the trust of many customers.

A Strategy to Counter Cadbury's Contamination Issue:
Given that there are other top companies in the market today that have suffered breakdowns in ethical procedures, Cadbury Schweppes can recover from its position. It must be remembered that there are two things that Cadbury Schweppes stands to lose with its contamination issue; 20 m in circulated stock, and the trust of its customers. By already delaying recalling this circulated stock Cadbury has done itself damage. The strategy that Cadbury needs to adopt is: saving the company from long-term damage.6

Strategy Implementation:
In order to save itself from long-term damage, Cadbury Schweppes ...Show more

Summary

Cadbury Schweppes is a company that is recognized throughout the world for its wonderful chocolate products. Over the years this company has managed to win the hearts of millions of people, and has had a long history of satisfying its customers. Satisfying customers over an extended period is driven by principles that companies like Cadbury Schweppes stick to…
Author : rtremblay
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