1) Describe the issues, the action led by (Pepsi Co, GSK and the World Bank), you have to answer the following question
Unhealthy food
- Cheap / Bad quality of its raw material
- It has any product alternatives before its study
- Its marketing was based on sugar products -> Bad image of PepsiCo
- Its products lead to a severe obesity
Health Audit has allowed:
- The creation of healthy snacks
- Targeting teenagers in order to improve their food education
-The improvement of its products with the use of healthy raw materials
- A new marketing based especially on their new and healthiest products
Disparity between rich and poor countries in the access of GSK products
- Same price worldwide; refused to drop prices of HIV drugs
- Need an equity problem
- It fights the generic alternatives in order to keep the monopoly
Ethical problem
- People think that is unfair that everybody doesn't have the same access to medecines
News investments
- Reduce its prices in the 50 least developed countries
- Re-invest 20% of its profits in hospitals, clinics and staff
- Share its knowledge about current potential drugs
Reputation and Image issues
- Fear of the customers to invest and trust banks since the 2008 crisis
- Selfish image of the banks who want make only benefits and don't care to fideslize their customers anymore
New interests
- Invest $80 billion to build a dam in the Democratic Republic of Congo which allows to feed other African countries in electricity
All these companies met problems with the bad image they spread before. They got a bad reputation and they lose profits because of that. They needed to engage their company to the sustainable development and Corporate Social Responsibility.
PepsiCo and World Bank have based their strategies in a socio-environmental tendency. PepsiCo has created new healthy products in order to have communities accessing to natural resources such as