Ben and Jerry's Ethical Issues Essay Example
1. Were Ben Cohen and Jerry Greenfield right to accept Unilever’s takeover offer for Ben & Jerry’s in 2000? And what does this case imply about business ethics more generally?
Ben and Jerry’s is an ice cream producing company. The first shop opened in Burlington, Vermont in 1978. With a $12.000 ($4.000 were borrowed) investment, Ben and Jerry opened their first homemade ice-cream scoop shop. Each year the company celebrates its anniversary by having a free cone day. This has been a tradition since the very beginning. In 1981 the expansion begins and the company starts its first franchise. In 1984 sales begin to increase at an extremely high rate. At this time there was a 120% increase compared to the previous year. In 1985, the facility plant is build in Waterbury, Vermont. Together with the facility plant, the foundation is established where it provides 7.5% of the company's annual pre-tax profits. The first environmental actions begins here. Finally, in 1988 the company’s 3-part mission statement is introduced; the product, social and economical mission (History). The social mission statement is “To operate the company in a way that actively recognizes the role that business plays in society by initiating innovative ways to improve the quality of life locally, nationally and internationally”. The product mission is “to make, sell and distribute the finest quality all natural ice cream and euphoric concoctions with a continued commitment to incorporating wholesome, natural ingredients and promoting business practices that respect the Earth and the Environment”. The Economic mission is “to operate the company on a sustainable financial basis of profitable growth, increasing value for our stakeholders and expanding opportunities for development and career growth for our employees”. (Mission 1) From this time on, the company concentrates on its mission, which will be explored more in the following paper.
April 12, 2000 Ben and Jerry announce the
Ben and Jerry’s is an ice cream producing company. The first shop opened in Burlington, Vermont in 1978. With a $12.000 ($4.000 were borrowed) investment, Ben and Jerry opened their first homemade ice-cream scoop shop. Each year the company celebrates its anniversary by having a free cone day. This has been a tradition since the very beginning. In 1981 the expansion begins and the company starts its first franchise. In 1984 sales begin to increase at an extremely high rate. At this time there was a 120% increase compared to the previous year. In 1985, the facility plant is build in Waterbury, Vermont. Together with the facility plant, the foundation is established where it provides 7.5% of the company's annual pre-tax profits. The first environmental actions begins here. Finally, in 1988 the company’s 3-part mission statement is introduced; the product, social and economical mission (History). The social mission statement is “To operate the company in a way that actively recognizes the role that business plays in society by initiating innovative ways to improve the quality of life locally, nationally and internationally”. The product mission is “to make, sell and distribute the finest quality all natural ice cream and euphoric concoctions with a continued commitment to incorporating wholesome, natural ingredients and promoting business practices that respect the Earth and the Environment”. The Economic mission is “to operate the company on a sustainable financial basis of profitable growth, increasing value for our stakeholders and expanding opportunities for development and career growth for our employees”. (Mission 1) From this time on, the company concentrates on its mission, which will be explored more in the following paper.
April 12, 2000 Ben and Jerry announce the