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Mountain Brewing Essay

1060 words - 5 pages

Since sustainability reporting was implemented, there have been numerous changes to how companies operate and how they affect the communities they are a part of. These changes vary from labour to environment to accountability (Vogel, 2005). The people that are affected by these changes also vary from the shareholders to the stakeholders and the consumers. The reason for some of these changes can be simply improving the way a company’s product is made to improving the quality of life for the workers and their community (Kramer, 2006). In turn the company can experience an increase in performance, product quality and social perception (Kramer, 2006).
With sustainability ...view middle of the document...

If the reason could mean affecting the environment in a negative way, the loan could be declined (Vogel, 2005). For whatever reason, companies are making it clearer that they don’t want to contribute to the slow deteriorating pace of the Earth and are trying to show stakeholders how they are doing their part.
The economy is still recovering from the downturn faced a few years ago and therefore, more people are conscientious of what products they buy and who they support financially. Companies are still feeling the crunch from the slower market and therefore have to do what is necessary to stay in business and maintain their customer base. The recession has probably affected the smaller companies and individual suppliers the most. Unable to keep up with their larger competitors and the cheaper prices they offer for goods and services, the small companies are finding it more difficult to keep their heads afloat. Starbucks coffee chains have always been a supporter of fair trade coffee and are giving the farmers of their coffee beans a chance to stay in the market. Starbucks along with other coffee distributors, proudly show their support by branding their coffee with the Fair trade symbol, thus let customers know they support these farmers. By offering above market prices to their coffee beans farmers in developing countries, they are providing the opportunity for these farmers to continue to offer their exceptional products when otherwise they might have not been able to (Vogel, 2005).
Social reporting is probably the most pressured report to produce not only for shareholders but for consumers and the communities the companies are involved in. Human rights and ethical treatment of employees and animals have always been a major concern for the public but now it is so much more than that. Social pressure is making companies not only look at their business and what they are doing wrong but are now looking much further down the line at the companies that they are associated with. By knowing that one company supports another that is involved in something that is not socially acceptable by society standard; this can be just as damaging to the company as if they were doing the wrong themselves. Clothing and footwear...

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