Establishing a culture of sound business ethics within an organization is challe

Question

Establishing a culture of sound business ethics within an organization is challenging, to say the least. Companies that market products that are not considered to be “healthy” for consumers have additional challenges. Research Anheuser-Busch InBev In one of the largest alcohol companies in the world. Respond to the following questions.

1.Briefly describe the company and its product and the ethical dilemma associated with the production and distribution of its products.

2.Describe how the perception of the product differs within cultures both within the United States and globally.

3.How has this company handled the ethical implications of its product with a focus on social responsibility, integrity and business ethics?

4.Explain how leadership within the organization can instill a culture of ethics within the marketing department as they strive to advertise a product that is not healthy for the customer.

Your response should be a minimum of two double-spaced pages

Explanation / Answer

Answer 1 :

a. It is the largest beer company in the world, which was build to bring people together for a better world by new friendships, experiences and connections on a shared love for beer.

b. They offer over 500 brands and countless beer varieties. For example

1. Aguila.

2. Beck's Brewery

3. Corona

4. Leffe

5. Stella Artois

6. Castle Lager, etc.

c. Following are the ethical dilemma associated with their products :

1. Encouraging Underage drinking by marketing their new product 'Fan Cans' targeting the school colors of colleges and universities across the country.

2. Trying to encourage illegal purchases, transport, consumption of alcohol on the reserved borders of Pine Ridge Indian Reservations.

Answer 2 :

a. Brand image influences the customers perception regarding the company. They promote the positive brand image by sponsoring the events like festivals and fairs, Super bowl etc.

b. Advertisements created by this company created purchase intentions amongst the customers and affected the customers attitude by correct advertisements and representation of their brand.

c. Heritage and background of the company is playing a major role in customer loyalty towards the brand.

Answer 3 :

a. Encouraging Responsible Drinking : They promote responsible enjoyment of their products. They have a policy regarding the expectations, commitments, and standards to respect human rights.

b. To ensure compliance with antitrust laws and competitions AB InBev follows :

1. Not participating in a cartel

2. Not to reach understandings or agreements with their competitors which will restrict the competition.

3. By not imposing fixed resale or minimum prices on customers.

4. Not exchanging confidential information with the competitors.

c. AB InBev believes in honest, objective and diligent in the responsibility and duties of their employees.

Answer 4 :

a. Creating a awareness message within the marketing campaign and putting endnote to their adversitements, for example : Alcohol consumption is injurious to health.

b. Encouraging responsible consumption of their products by implementing educational programs, campaigns and community based initiatives that promote responsibility and harmfulness of use of alcohol.

c. Encouraging corporate social responsibilities not from just business prospective but from personal prospective and carrying about the issue by putting both combined efforts from management as well as employees.

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