Marketing: Brands Creating Shared Value - Assignment Example

? Marketing: Brands Creating Shared Value Brands Creating Shared Value Introduction One of the key problems that is experienced in our societies is the based on how business is carried out. For example, the capitalist system is currently under scrutiny due to its nature. When promoting a brand in a society, the company related to the sales should incorporate the social, environmental and the financial/economic impact of the brand. A brand introduced to a society should impact positively to the individuals. The economic value that is given by a brand should always consider creating of values for a society involved. This should be geared towards addressing most of the challenges and needs that the society may be n need of. Therefore, through incorporating the triple bottom line theory, this paper will explore on how brands should create shared value (Junge 2011). Triple bottom line principles Social structure of the society One of the main characteristics of triple bottom line is the social structure that a brand is exposed too. For any social structure, the individuals expect that, a business that is being carried out should be beneficial to all the individuals involved and contributing to its success. This involves the laborers in the fields, the region and community in which a business is being conducted by a corporation. Therefore, for a good social structure, a corporate must consider the stakeholder and the labor interest to be interdependent (Cunningham&Cunningham 2004). Part of the social structure consideration is that a corporation should make profits that are based on the raw product and labor considerations. The raw material producer should not be given what they deserve. Some companies ensure that the raw material producer always has very little to benefit from. For example, the cement processing companies should consider the raw material value and give enough returns for the extraction of the raw material. The final product matters but if it was not for the raw material then, there would be no cement being produced. It is thus important that all the social aspects are put into consideration (Cunningham&Cunningham 2004). The labor department should also ensure that, there is no child labor in the company. The use of child labor is a form of exploitation and child abuse. More so, there should be fair wages given to the laborers of a company. The wages should match the type of work they do. Some companies undermine fair wages to their employees. This includes extra working hours under extremely tough conditions with very minimal wages provided to the employees. Some laborers even go the whole day without any allowance for food and water (Rauch 2012). It is thus vital that, considering the social structure, a company considers fair wages and also fair working hours. Providing facilities for health care of the community which is part of a business is vital and offering of education in relation to the products and their impacts is also important. For example, if the use of a certain brand of soap has side effects to the animals, then, there should be precautions on how to handle this type of soap and keep it away from pets kept at home. If all these practices are put into place, it is likely that a business will flourish with the customers and employees put into consideration hence, positive outcomes (Rauch 2012). Environmentally friendly Creation of value also entails considering practices that are sustainable in relation to the environment. The products that are produced by a company should ensure that there are minimal negative environmental impacts. Environmentally friendly and sustainable practices involve incorporating of minimal consumptions of energy resources. This should be carried out with the intention of conserving environmental resources. Better options of energy use like the use of renewable forms of energy should be encouraged (Ganesan 2012). Through this, a company involved in a business should be able to incorporate the reduction of waste materials that are disposed. More so, they should incorporate treatment of toxic wastes before they are disposed. This is because, the toxic wastes like sulfur fumes or chloride fumes have detrimental health effects on the human population. The waste disposal procedure of a company’s products should be considered legal and safe. This should be done in accordance with law regulating the waste disposal procedures. Through this, it is possible that economic value is integrated to fit into creating a shared value for any brand (Ganesan 2012). The cycle of life assessment should be considered so that from the period that the raw material is extracted to the period that it is manufactured and used like batteries eventual disposal should be considered. For a triple bottom line organization, it is not appropriate to manufacture dangerous materials with toxic chemicals that can easily lead to death penalties like weapons that have heavy metals like that can be dangerous to human health (Schweisfurth 2013). It is thus, the company that should bear the costs related to the disposal of non-biodegradable products. Any product that can result to creation of problems during disposal should not be welcomed by the society. The business involved should become part of the costs and even waste disposal of their product. This mainly applies to companies that are manufacturing weapons based on nuclear products and the alkaline batteries. Alkaline batteries companies should include the methods that should be used while disposing of this product (Schweisfurth 2013). Ecologically practices that can lead to over extraction of the natural resources should be discouraged. Over-fishing, over-extraction of timber products and over-extraction of mines should be regulated. An environmentally sustainable business is likely to be more profitable when considered for the future generation. Over a long period of time, individuals and companies are able to gain the concept of fair environmental practices that involves conservation methods (Devinney&Tihanyi 2010).  Economic value Profit is what gives a business its name. A business cannot be said to successful if it is not gaining any profit. Whenever a business is established, the key aim should always be to make a profit from the products and brands that a company is producing. A real economic profit should also benefit the society. The benefits should not be limited only to the company but should extend to the community involved in the consumption of a brand of product. It is thus important to consider eco-capitalism which is friendly practice of gaining profits with the social structure and the environment put into consideration (Daw 2011). Value creation in relation to the finance and economic include the customers and employees demands being met. The well-being of the clients and the employees is what determines the success of a business. The exploration of natural resources should be carried out with the conservation measures put in place. If a company for example, is to extract close to half the forest product resources in a single day, then what about in a year? The company should be logical enough to take only that which it needs currently for its business other than over-harvesting of resources (Daw 2011). More so, there should be policies put in place for controlling the amount of wages that is given to the employees. The wages should be given in relation to the work that is being done by a worker and not being deprived off the opportunity of their sweat (Ulrich&Smallwood 2007).  Examples of companies that have embraced creation of shared values Nestle and Unilever are part of the companies that have incorporated the principle of shared value creation. They have achieved this through incorporating the social values into their corporate performances. These two companies are enforcing the notion of appreciating the needs of a society and understanding more of their challenges in acquiring some of their products. The companies have also been able to have collaborative events with their customers based on both profitable and non-profitable boundaries (Eriksson 2013). Within a business, part of the creation of shared values should be giving access to employment opportunities to the companies. Some of the steps that have been taken by Unilever are to ensure that its employees have good shelter by constructing houses near most of the industries that produce its products. This ensures that the working hours for the employees are considerable and the distance for transport is partly taken care of by the company. The products are also made not to be environmentally damaging and they have measures and methods for disposing off the end products of their waste products (Schweisfurth 2013). This is in compliance with the demand of environmentally friendly products. In addition, these two companies have products that are not harmful to human health since their brands have always been tested in laboratories. It is thus important to consider creation of shared values so that a business is able to flourish (Eriksson 2013). Conclusion Creating of shared value should be encouraged in all types of businesses. This should incorporate the triple bottom line principles which include the social structure, environmental and the economic structure. This should be done to all global brands that have been introduced in a global perspective. For a business to thrive globally, it is necessary that the social structure and the environmental factors are put into consideration when manufacturing any of its products. Reference LEVITT, T. (1983). The globalization of markets. Boston, Mass, Harvard Business Review. CUNNINGHAM, P., & CUNNINGHAM, M. (2004). EAdoption and the knowledge economy: issues, applications, case studies. Amsterdam, IOS Press. JUNGE, N. (2011). The contribution of Michael Porter and Mark Kramer's concept of Creating Shared Value to CSR theory: MBA dissertation. Norderstedt, Grin Verl. ERIKSSON LUNDSTRO?M, J. S. Z. (2013). Managing open innovation technologies. 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