Example: Avon Breast Cancer Crusade

Avon's desired position, as well as their mission, is made clear in their slogan,

"AVON—the company for women." Their association for more than a decade with the cause of women's breast cancer has certainly assisted in securing and affirming this position. Their corporate vision is "to be the company that best understands and satisfies the product, service, and self-fulfillment needs of women globally. Our dedication to supporting women touches not only beauty—but health, fitness, self-empowerment, and financial independence"³.

The Avon Breast Cancer Crusade was founded in the United Kingdom in 1992 and launched in the United States in 1993 with a mission to fund access to care and help find a cure for breast cancer, and includes a focus on medically underserved women. The cause has resonated well with the company's market as well as with sales representatives.

The Avon Foundation awards funds for medical research, screening and diagnosis, clinical care for cancer patients, support services for patients and their families, educational seminars, and early detection programs.

 

 

¹The case study was developed on the basis of the Information from the following book: Philip Kotler and Nancy Lee, Corporate Social Responsibilty. Doing the Most Good for Your Company and Your Cause, John Wiley & Sons, Inc. 2005.

²Hamish Pringle, Marjorie Thompson, Brand Spirit: How Cause Related Marketing Builds Brands, John Wiley and Sons Ltd, 2001.

³Avon Foundation, "Avon Foundation Welcome: Help Make Us Obsolete-Suppot the Cause", in Hamish Pringle, Marjorie Thompson, Brand Spirit: How Cause Related Marketing Builds Brands, John Wiley and Sons Ltd, 2001.

In addition, Avon supports programs for breast cancer and other vital women's health issues in more than 50 countries worldwide. Funds raised by all corporate and foundation initiatives in the United States are managed and disbursed by the Avon Foundation.

The Avon Breast Cancer Crusade raises funds through many social initiatives. They support cause promotions, including local fundraising programs, direct online donations, and a national series of fundraising walks. Their philanthropic initiatives include providing grants to beneficiaries ranging from leading national cancer centers to community-based breast health organizations. Of special interest in this [...] - case study - is their cause-related initiative, the year-round sale of special "pink ribbon" products.

Pink ribbon products, marketed by Avon Products, Inc., over the decade have included lipsticks, pens, mugs, candles, stuffed bears, cosmetic cases, umbrellas, [...]. Net proceeds (above cost of goods) donated to the breast cancer cause range from 50 to 83 percent of the purchase price. Most products are priced low, at $7.00 or under; each is gift-boxed and accompanied by an informational brochure, "Guide to Better Breast Health".

Since 1993, 600,000 independent Avon sales representatives in the United States alone have generated over $55 million from sales of pink ribbon products. Total net funds raised worldwide exceed $300 million.

 

 

Task 1 - answer the question:

What are the major areas of EU consumer policy protection with which business should be concerned?

Task 2:

Based on the attached text and other available sources identify specific ethical and social responsibility issues that might be face by AVON company in each of the following areas; environment, customers, employee and investors.

Task 3:

Using newspapers, magazines and other business references, identify and describe three EU states that take a proactive stance to standards, tools and methodologies on CSR.

 

Task 1 - answer the question:

What are the major areas of EU consumer policy protection with which business should be concerned?