Previously in class, we discussed R. Edward Freeman’s Stakeholder Theory. In the video provided, Freeman stated that no stakeholder must be looked at in isolation and that it is the managers responsibility to assure that all stakeholder’s interest must go together for a organization to be successful.
A popular topic in the news lately is the construction of the Site C hydro-electric dam project. Many news articles have addressed the benefits that will affect the province’s industries and the province as a whole. Although the negative environmental consequences were explained, no great effort was put into explaining the impact that the dam will have on First Nations communities and their dependency on natural resources for traditional, spiritual and physical sustainability. Despite their opposition, many industries and government sectors are promoting the construction. This shows that the interests and opinions of the First Nations as stakeholders are treated with less value because their views do not yield the government much revenue. With that being said, it is extremely difficult to halt the planning of this project due to a small group’s opposition because that the project as a whole will benefit the company, the government and a greater fraction of stakeholders. Although a decision has not yet been made, I anticipate that the dam will be built due to the lack of incentive for cancellation.
“The Site C Clean Energy Project (Site C) is a proposed third dam and hydroelectric generating station on the Peace River in northeast B.C. Site C would provide 1,100 megawatts (MW) of capacity, and produce about 5,100 gigawatt hours (GWh) of electricity each year — enough energy to power the equivalent of about 450,000 homes per year in B.C.” (Site C)
What is Stakeholder Theory: https://www.youtube.com/watch?v=bIRUaLcvPe8
With just a little over a year Vancouver’s local ice cream producer, Earnest Ice Cream, is preparing for the launch of their second location. Since their first store was opened in August 2013, the company continues to receive much recognition on social media sites, magazines and online news sites such as The Globe and Mail. Aside from their extremely delicious, hand made ice-cream, what makes Earnest Ice-cream so special and the line ups so long?
Before Earnest opened it’s first location, owners Benjamin Ernst & Erica Bernardi delivered jars of ice cream with hand written labels all across the city to costumers on their bicycles. By being directly involved with the delivery of the product and personalizing the labels, Ernst and Bernardi were able to establish valuable relationships with their customers and make their distribution channels personal. I trust that Earnest’s great success is due to their dedication to making their business model intimate. Even while planning their first store, Bernardi remained dedicated to personal customer service by stating that she wanted all the flavours to be explained by the staff instead of a glassed-in display because “having face-to-face interaction and seeing [customers] eyes light up is absolutely by far the best part…”
Owner’s Ernst and Bernardi
In early 2012, Lush, an ethical and anti-animal testing cosmetic company, launched a campaign to raise awareness of the cruelty of animal testing. As part of the campaign, Jacqueline Traide, 24 year old student, was subject to various animal testing practices in the window display of a Lush store in London, England. Some practices include being spooned food down her throat, clamping her mouth open and having her head shaved.
Lush’s window display was an extremely bold and brilliant marketing strategy. Although disturbing to watch, the demonstration allowed Lush to indirectly advertise its product. Most cosmetic companies, such as Clique, endorse their products directly, usually through commercials that show appealing celebrities using and recommending the products. Lush, however, took a more unconventional approach. By educating people on the cruelty of animal testing, Lush was able to put itself in a good light as it known to be a company that is strictly against animal testing. If consumers are able see the horror involved in the process of producing their cosmetics good, they are more likely to reconsider the products they use. This campaign bought forth more attention to Lush products without the company ever having to mention them.
Lush Fighting Animal Testing: Live Demonstration at Regents Street Video
Earlier this week, Walmart launched its first drive-through grocery store in Bentonville, AK. With Walmart’s drive-through service, customers can order their groceries online anywhere from two hours to three weeks in advance. Customers can then pick up their groceries whenever they please without waiting in line (given that they notify Walmart within two hours of coming in)
Walmart’s drive-through changes the grocery shopping experience immensely. Shoppers are now free from the torture that is waiting in endless lines and dealing with less than enthusiastic cashiers. One customer even described the trip as the “less painful shopping experience ever!”
Not only does this alter customer experience, it drastically effects the way Walmart functions. The company will be able to decrease various costs as they alter their processes. Since all shopping and transactions will be online, Walmart will no longer need cashiers and shelving workers, thus leaving hundreds unemployed. Instead, they will invest in efficient and easy to use online catalogues and safe online payment methods. Moreover, converting into more of a “warehouse setting” will allow Walmart to have a smaller amount of days of inventory. However, the impact of this will not be as great as Dell. In Walmart’s case, 4 days of inventory will not benefit them because of the vast amount of products they have and shorter delivery time when compared to Dell.
Walmart’s new drive-through system