Source: http://www.confectionerynews.com/Commodities/Setting-certified-cocoa-goals-makes-ethical-and-business-sense
A notable issue in the world of business ethics can be seen in Nestle’s neglect to recognize how their supply of cocoa is being produced, when in fact it is being produced illegally. The sad reality is that children in West Africa, specifically the Ivory Coast, are taken away from their families and are forced to work illegally and inhumanely, in horrible working conditions. The Fair Labor Association (FLA), created a report that stated that the children are not allowed to go to school and often suffer from injuries caused by “… machetes that slice into the children’s legs” while harvesting cocoa pods. The children and sometimes adult workers, are forced to work hours in the fields without pay. As stated by the BBC News, Nestle is not doing enough to stop the brutal child labor in the chocolate industry. There is much speculation that Nestle purposely turned a blind eye or kept quiet just to be able to pay less to exporters, thus profiting more.
If this speculation is true, what Nestle did was not only unethical in the business world, but was also morally wrong, as powerful businesses in first world countries should never take advantage of third world countries. Regardless of “providing jobs and opportunities” to people in West Africa, innocent children should never be expected or forced to work for free in dangerous working conditions. As a result of all of this, many consumers chose to boycott purchasing any Nestle products, until Nestle agreed to sell Fairtrade certified cocoa. This was a huge stepping-stone for the company as farmers in Ivory Coast were now provided incomes, given that Nestle paid more than they were originally paying. To me, this shows that ethical decisions and actions go a long way. Companies that choose to take shortcuts are putting their brand name at risk, and will most likely be caught in the end. Companies only cheat themselves in the end if they do.
Sources:
http://www.bbc.co.uk/news/world-africa-18644870
http://www.theguardian.com/sustainable-business/nestle-fairtrade-kit-kat-ivory-coast
https://www.youtube.com/watch?v=7Vfbv6hNeng