Butler, S., 2017. Can end of unhappy marriage with L’Oréal breathe new life into Body Shop?. [Online] Available at: https://www.theguardian.com/business/2017/apr/08/body-shop-divorce-from-loreal-looms-closer [Accessed 13 04 2017].
The report, “Can end of unhappy marriage with L’Oreal breathe new life into Body Shop?’, has been written by Sarah Butler. The article was published in The Guardian on 10 April 2017. The article gives an account of the Body Shop and its ups and downs after its association with L’Oreal. The Body Shop performed poorly during the time when the beauty industry grows rapidly. The estimation shows that The Body Shop has lost its ethical consumers after it was associated with L’Oreal (Santos, 2012). The company worked hard to continue its ethical credentials and last year the company launched a series of initiatives based on the community and environment. The company found it difficult to offer the young consumers transparent and integrated products. The result shows that The Body Shop has lost keeping the ethical consumers after it was associated with L’Oreal (Butler, 2017). The shoppers are not aware of the brand. The Body Shop lost its credibility in the market due to the dull stores, no exciting online & social media presence and moreover no new innovation in its products. Thus the company lost its brand value and it found its revenue started declining (cosmeticsdesign-europe.com, 2006).
The news article has raised two important ethical issues here. Firstly, the article defines the idea of ownership and the responsibilities of the management. Secondly, the article also highlights the ethical responsibilities that are associated with the top management.
The ownership of an organisation refers to the entrepreneur who starts the business in the beginning. The entrepreneur starts its business with innovative products after making research in the market. The success of the organisation depends upon the strategies formulated by the entrepreneur of the company (businesscasestudies.co.u, n.d.). The case study discussed here focuses on The Body Shop and the establishment of the company and its owner. The company was a Sussex based retailer and was founded by Dame Anita Roddick. The retailer got associated with L’Oreal, the largest cosmetic company of the world. The association was not a correct move for the company as The Body Shop found its declining status in future days. The condition became so weak that the company saw a serious blow and thought of selling to a South Korean company. This shows that the owner of the company could not make it out and the ownership of the brand was not preserved by the owner. Due to the association L’Oreal dominated the company and The Body Shop lost its importance in the market.
The responsibility of the management of the company was to retain the same business ethics and continued with similar kind of business pattern so that the ethical consumers would not leave procuring the product (kalyan-city.blogspot.com, 2011). The role of the management is to see the trend of the market and to study the demand of the market. The decline of the operating profits is just a warning for the management of The Body Shop to make an analysis of the mistakes made by the company. The responsibility of managing the issues is bestowed upon the management of the company. The management did not execute the responsibility sincerely. The ethical customers left procuring the products of the company as The Body Shop was associated with L’Oreal.
This issue shows that ownership of the organisation is not related to only profit making. It requires continuing the business with strategies. The success of the company depends upon the strategies that are required to keep the brand image intact.
The second ethical issue was related to the ethical issues related to the senior position of the company. The association of The Body Shop with L’Oreal was not a correct move. The company faced many difficult situations. The company lost its brand image and it just remained under the shadow of L’Oreal which was one of the largest cosmetic companies of the world (Debapratim Purkayastha & Fernando, 213). The core values and core business principles were lost its importance as the company was directed by L’Oreal. This resulted a huge loss in terms of revenue to the company. The company also lost the ethical consumers who depend on the brand. The association made the company remains very casual for two decades. This shows that the management of the company did not create new customers for the company. The company lost its brand value and became unsuccessful (icmrindia.org, 017).
The ethical responsibility of the top level people of the company is to offer the customers the best products in the industry. The Body Shop was a good brand earlier. But due to lack of innovation the company could not create new market. The new market and the young customers demand for new and innovative products. The customers are very educated and they know the quality and originality of the products. Thus transparency is very much important in the creation of the product. But the executive of the company did not bother to innovate new and quality products (businessgreen.com, 2014). This resulted in losing the new and young customers. The company could not retain the old customers and even did not find the new customers. The estimation of its revenue and the customer’s choice of the product show that the company is declining its brand image day by day. This resulted bad image to the company.
The second important ethical issues related to the top management people of the company were that they remained silent for the promotion of the products. The decline of the company was due to its dull shops. The company has an unexciting online presence (ethicalcorp.com, 2016). The social media presence of the company was not appropriate. The management did not bother to promote the key products through the different digital media. The vision of the top management became less. Instead of focusing on the ethical history of The Body Shop, the social media should focus on the innovative products of the company.
In the conclusion this is to sum up that the article addresses two important ethical issues. The focus is on the responsibility of the management and the responsibility of the senior people of the organisation. The management lost its brand value and the ethical customers for its association with L’Oreal. With an expectation of getting benefits from the association, The Body Shop lost its ethical values and even the new initiatives became failure and were not accepted by the new customers. The company also lost its brand image and popularity among the customers. The company did not attract new customers and failed miserably. The company is now in the verge of sale.
Sakzewski, E., 2017. United Airlines: What can we learn from company’s ‘breathtakingly bad’ crisis management?. [Online] Available at: https://www.abc.net.au/news/2017-04-13/united-airlines-what-went-so-wrong-pr/8441796?section=business [Accessed 13 04 2017].
The present article, “United Airlines: What can we learn from Company’s ‘breathtakingly bad’ crisis management?” has been written by E.Sakzewski and has been posted on the website called “ABC News” on 13 April 2017. The news report discusses the issues faced by the United Airlines, related to a viral video. It was related to the video of an aged man, David Dao who was being dragged forcibly from the United Flight by the police and the man was seriously wounded. The incident took place when Dao was dragged off a flight in order to accommodate employees of the United Airlines (Sakzewski, 2017). This was one of the offenses created by the United Airlines. The United Airlines was alleged that it does not obey the fairly common practices for the airlines. The incident was a very serious concern for the Australian government and it reacted seriously against the wrong practice of the United Airlines. The officials of the United Airlines issue an apology over the removal of the passenger from the aircraft. The CEO of the United Airlines has made a statement that this kind of incident will not be repeated and there will be no police to set in the passenger’s aircraft.
The new report discussed in this assignment discusses two important ethical issues. The first ethical issue is about the role of the government of the country to regulate and control the business. The second ethical issue is related to the responsibility of the business organisation and the expectation of making them socially responsible.
The government of a country plays an important role in formulating rules and regulations for the business organisation. The government issues legal rules and regulations for every organisation to follow. As per the law of the country, violation of any law results in severe punishment. The business license of the company is withdrawn and the company authority is adjudged as per the law by the apex court of the country. The present article discusses the misconduct of the United Airlines that caused damage to the passengers. The United Airlines violated the laws and forcibly attacked the passenger when the old passenger was supposed to use the aircraft to travel. The article discusses that a passenger was dragged off a flight to make room for the employees of the United Airline.
The serious ethical issue focuses on the responsibility of the government to see how the business organisation of the country is following the business ethics and how it si following the rules and the regulations of the country. The law was seriously violated and the government has the responsibility to declare the compensation that it is offering to Dao for the damage the United Airlines has brought for him. The responsibility of the government of the United States to take stringent action against the high officials for not complying with the legal formalities of the business. The public perception was against the country. It was stated that the government of the country does not bother about the dangers of misconduct in public and the consequences for that. This ultimately creates a problem for the company. The incident brought immediate consequences and the United Continental Holdings Inc’ stock price saw a decline from $73.80 to $ 69.93. The company of the country also faced a legal action as the passenger lodged a complaint against the company.
In this context, this has been clear that the business organisation requires following the rules as per the standards of the government. The violation of the laws should be dealt seriously by the government of the company. The country will lose its reputation and will be seriously criticized for wrong practice if any law is violated. This has happened with United Airlines and it has created an ethical issue.
The second ethical issue is related to the social responsibility of the business organisation. Apart from doing the business for the commercial benefits, the company also has some responsibility to function socially. The business organisation is also a social institution and all the members of the society expect a good response from the company. In the present article, this has been found that the United Airlines has violated the social principles and worked beyond the ethical principles. This is a major issue when the incident is assessed (Ward, 2007).
The incident discusses the viral video that brought huge loss to the company and the company faced serious economic blow within a very short period of time. Dao, an old passenger was dragged off from the flight of the United Airlines due to the officials of the United Airlines wanted an official to sit in the airlines. The issue was quite unethical and is beyond the ethical rules of the business. The business organisation has to perform some ethical rules and work to promote the social well-being of the customers (Grant, 2013). The United Airlines is a service provider. For the service provider company it is very much important to offer the customers the satisfaction. The service sector depends on the satisfaction of the customers (businessnewsdaily.com, 2015). The customer’s satisfaction enhances goodwill of the company. The more satisfaction of the customers will bring a huge amount of profits to the company. The nationalized companies and the companies those who serve internationally require being very sincere in offering quality service to the customers (Anon., 2017).
In the present article, this has been found that the United Airlines has failed miserably to work socially. The incident related to Dao was quite unsocial and the United Airlines should have avoided the incident by offering Dao service. The old man was required to given seat from the humanitarian point of view (Gentile, 2012). Thus the company did not work ethically and lost the social value. The incident was seriously reacted by the people and complaint was lodged for the misconduct of the company. The management of the United Airlines should read the expression of the people and they should respect to the sentiment of the people. The company should remain aware of the consequences of such kind of incidents (McCallum, 2013). The misconduct will lead to the ban of the organisation and it cannot do business in Australia.
The company like United Airlines does wrong by violating fair practices of the airlines. They sell more tickets than the seats they have to offer. Due to this kind of situation slot of passengers suffer. The conflicting situation arises and this is very unethical. This unethical situation is required to be avoided (businessinsider.com, 2017).
The United Airlines should accept the facts and should take immediate steps to avoid such incidents in the future. The CEO of the company should issue immediate steps and apologise publicly to avoid wrong customers’ feedback. Mr. Munoz has stated that this has resulted due to the failure of the system. The officials will be very responsible and there will be no withdrawal of the passenger once the passenger has booked the ticket (fortune.com, 2017).
The article has studied two important ethical issues related the business of the organisation. The responsibility of the government for the monitoring of the rules and regulation is very important (Kannair, 2007). The business organisation has to follow the standards as per the law of the government. The United Airlines should be monitored by the government and it should not violate the laws. The second issue is related to the social responsibility of the company. The company violated the moral law of the social responsibility (Walton, 2008). It has brought lots of damage to the society by not offering a seat to 69 years old man. Thus the article deals with two important business ethics here.
Anon., 2017. United Airlines incident: what are the rules for airlines ‘bumping. [Online]
Available at: www.telegraph.co.uk › News
[Accessed 13 04 2017].
businesscasestudies.co.u, n.d. What are business ethics? – Business ethics and corporate social …. [Online]
Available at: businesscasestudies.co.uk › … › Business ethics and corporate social responsibility
[Accessed 13 04 2017].
businessgreen.com, 2014. The Body Shop gives L’Oreal a lesson in ethical … – Business Green. [Online]
Available at: www.businessgreen.com/bg/…/the-body-shop-gives-loreal-a-lesson-in-ethical-sourcin..
[Accessed 13 04 2017].
businessinsider.com, 2017. There’s a simple economic reason why the United Airlines incident…. [Online]
Available at: www.businessinsider.com/united-airlines-passenger-dragged-from-plane-economic-re.
[Accessed 13 04 2017].
businessnewsdaily.com, 2015. Value Chain: Analysis, Definition & Management – Business News Daily. [Online]
Available at: www.businessnewsdaily.com/5678-value-chain-analysis.htm
[Accessed 13 04 2017].
Butler, S., 2017. Can end of unhappy marriage with L’Oréal breathe new life into Body Shop?. [Online]
Available at: https://www.theguardian.com/business/2017/apr/08/body-shop-divorce-from-loreal-looms-closer
[Accessed 13 04 2017].
cosmeticsdesign-europe.com, 2006. L’Oreal body shop acquistion meets with mixed reaction. [Online]
Available at: https://www.cosmeticsdesign-europe.com/Business-Financial/L-Oreal-s-Body-Shop-acquisition-meets-with-mixed-reaction
[Accessed 13 04 2017].
Debapratim Purkayastha, D. & Fernando, R., 213. The Body Shop: Social Responsibility or Sustained Greenwashing?. oikos Case Writing Competition 2007.
ethicalcorp.com, 2016. Corporate case study: Body Shop heads back to the rainforest | Ethical …. [Online]
Available at: ethicalcorp.com/corporate-case-study-body-shop-heads-back-rainforest
[Accessed 13 04 2017].
fortune.com, 2017. United Airlines: Officer on Leave After Passenger Incident | Fortune.com. [Online]
Available at: fortune.com/2017/04/10/united-airlines-passenger-incident-investigation/
[Accessed 13 04 2017].
Gentile, M. C., 2012. Values-driven leadership development: Where we have been and where we could could go. Organisation management Journal, pp. 188-196.
Grant, R. M., 2013. Contemporary Strategy Analysis. 7th ed. s.l.:John Wiley & Sons,.
icmrindia.org, 017. The Body Shop: Social Responsibility or Sustained … – Case Studies. [Online]
Available at: www.icmrindia.org/casestudies/…/Business%20Ethics/Body%20Shop-Social%20Resp..
[Accessed 13 04 2017].
kalyan-city.blogspot.com, 2011. What are Business Ethics? Meaning Definition Features. [Online]
Available at: kalyan-city.blogspot.com/2011/09/what-are-business-ethics-meaning.html
[Accessed 13 04 2017].
Kannair, J., 2007. The Ethical Mind. Harvard Business Review, 85(3), pp. 51-56.
McCallum, J. S., 2013. FOLLOWERSHIP: THE OTHER SIDE OF LEADERSHIP. [Online]
Available at: https://iveybusinessjournal.com/publication/followership-the-other-side-of-leadership/
[Accessed 13 04 2017].
Sakzewski, E., 2017. United Airlines: What can we learn from company’s ‘breathtakingly bad’ crisis management?. [Online]
Available at: https://www.abc.net.au/news/2017-04-13/united-airlines-what-went-so-wrong-pr/8441796?section=business
[Accessed 13 04 2017].
Santos, A. F. E. F., 2012. Evaluation of the impact of L’Oréal’s acquisition of The Body Shop on both brands. [Online]
Available at: https://run.unl.pt/bitstream/10362/9577/1/Santos_2012.pdf
[Accessed 13 04 2017].
Walton, B., 2008. The ethical executive. Library Journal, 133(19), pp. 79-80.
Ward, R., 2007. Understanding ethical failures in leadership. Current Reviews for Academic Libraries, p. 1417.
Essay Writing Service Features
Our Experience
No matter how complex your assignment is, we can find the right professional for your specific task. Contact Essay is an essay writing company that hires only the smartest minds to help you with your projects. Our expertise allows us to provide students with high-quality academic writing, editing & proofreading services.
Free Features
Free revision policy
$10Free bibliography & reference
$8Free title page
$8Free formatting
$8How Our Essay Writing Service Works
First, you will need to complete an order form. It's not difficult but, in case there is anything you find not to be clear, you may always call us so that we can guide you through it. On the order form, you will need to include some basic information concerning your order: subject, topic, number of pages, etc. We also encourage our clients to upload any relevant information or sources that will help.
Complete the order form
Once we have all the information and instructions that we need, we select the most suitable writer for your assignment. While everything seems to be clear, the writer, who has complete knowledge of the subject, may need clarification from you. It is at that point that you would receive a call or email from us.
Writer’s assignment
As soon as the writer has finished, it will be delivered both to the website and to your email address so that you will not miss it. If your deadline is close at hand, we will place a call to you to make sure that you receive the paper on time.
Completing the order and download