Banning the Real Thing
1. Which ethical standards are being violated here?
To begin with, biosolid waste disposal in India: According to the lawsuit, bottling plant sludge
containing cadmium and other toxins was provided as fertilizer to local farmers. Second,
Coca Cola's use of groundwater in India has been critiqued for drawing down the ground water
by using deep bore wells; water quality has worsened; shallow wells used by local farmers have
dried up; and poor crop harvest near bottling plants has resulted from a lack of irrigation water.
Lastly, pesticides in Indian products. Pesticides in Coca-Cola drinks in India have been found to
be in excess of local and international standards, according to a study. Furthermore, there are
Colombian labor practices to consider.
2. Is the university being unreasonable in the high standards demanded in its Vendor Code
of Conduct?
It is reasonable since basic human rights are recognized and encouraged. Non-discrimination is
one of the most basic human rights. Vendor will not discriminate against anybody in the
workplace, including hiring, compensation, benefits, advancement, or discipline. Because
vendors must follow proper labor standards for employees, such as recognizing and respecting
employees' legal rights to minimum and prevailing wages, wage payments, and maximum hours
and overtime. Furthermore, it is reasonable because it can ensure a safe, healthy, and sustainable
working environment for workers, such as the vendor shall provide a safe and healthy working
environment to prevent accidents and injuries to health. Corporate Social Responsibility (CSR) is
a requirement that must be met by businesses.
3. Do you think the university would have developed the Vendor Code of conduct without
the aggressive campaign put forward by SOLE?
No. Without SOLE's aggressive campaign, the vendor code of conduct will not be implemented.
This is due to the fact that they would each have their own Corporate Social Responsibility. They
would have reacted differently if they had been accused of unethical behavior. They would have
been indifferent about accusations of unethical behavior if SOLE had not launched an aggressive
campaign. No one would care or pay attention to this topic if the campaign did not exist, and no
one wants to stop drinking Coca-Cola. After Coke declined to consent to an independent
examination by the deadline, the campaign by SOLE make New York University began
to withdraw all Coke products from its campus.
4. How should Coca-Cola respond in order to keep the University of Michigan
contracts?
Coca-Cola should use two approaches. First and foremost, meet SOLE's request as well as the
complaint. Second, Coca-Cola should embrace corporate social responsibility (CSR) and practice
ethical CSR. This is because ethical CSR may help a firm achieve a social benefit in addition to
maximizing revenues for shareholders and complying with all legal requirements. Coca-Cola
should work to improve its image in order to regain customer trust. Coca-Cola should take
corrective measures and form partnerships with non-governmental organizations. Last but not
least, Coca-Cola should develop innovative business concepts that are sustainable.
5. How would you relate the situation in the local environment?
Standardization of codes is necessary, which means the University of Michigan should cooperate
with other institutions in the developed world to establish codes that can be used by as many
colleges as possible. The code of conduct compliance was sent to all licensees or suppliers for
renewal, requiring them to commit to follow the code, which assures that the businesses can
supply licensed goods and be prepared to record the internal monitoring system. Furthermore,
the Coca-Cola Company should work to recover its image by offering high-quality goods and
services so that the local environment can apply global, demographic, economic, technical,
information, and other variables to which businesses must adapt.