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Corporate Social Responsibility
– A Discussion of CSR and the Components that may Contribute to Optimal CSR
Communication for Companies, With Analytical Focus on
By:
Lisbeth Stubager Mols
Miriam Milton Grooss Mølving
Supervisor: Eva Aas Søndergaard
5. May 2010
BA in Marketing and Management Communication
Aarhus School of Business
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TABLE OF CONTENTS
1. Introduction (L&M) ................................................................................................................... 4
1.1 Problem Statement ...................................................................................................................... 4
1.2 Method ........................................................................................................................................ 5
1.3 Theory and Structure .................................................................................................................. 6
1.4 Delimitation ................................................................................................................................ 8
2. The Concept of Corporate Social Responsibility (M) ............................................................. 9
2.1 The CSR History in Brief (M) .................................................................................................... 9
2.2. Defining CSR (M) ................................................................................................................... 10
2.2.1 The Triple Bottom Line (M) ............................................................................................. 11
2.3 Profits contra Social Responsibility (L) ................................................................................... 12
2.3.1 Milton Friedman (L) .......................................................................................................... 13
2.3.2 Michael Porter & Mark R. Kramer (L) ............................................................................. 13
2.3.3 Mads Øvlisen (L) .............................................................................................................. 14
2.4 Consumer Awareness (L) ......................................................................................................... 15
2.5 Preliminary Conclusion (L) ...................................................................................................... 16
3. CSR Communication (L) ......................................................................................................... 17
3.1 Persuasion (M) .......................................................................................................................... 19
3.1.1 Rhetorical Proofs (M) ........................................................................................................ 19
3.1.2 Toulmin‟s Model of Argumentation (L) ........................................................................... 21
3.1.3. Unity (M) .......................................................................................................................... 23
3.1.3.1 Unity in Communication (M) ......................................................................................... 23
3.1.3.1 Corporate Unity (M) ....................................................................................................... 24
3.2 A Model for Optimal Communication (L) ............................................................................... 25
3.2.1 The RAU Communication Model (M) .............................................................................. 25
3.3 Preliminary Conclusion (M) ..................................................................................................... 26
4. Nestlé Corporation and ‘The Cocoa Plan’ ............................................................................. 27
4.1 Nestlé Corporation (M) ............................................................................................................ 27
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4.2 „The Cocoa Plan‟ (L) ................................................................................................................ 27
4.3 Preliminary Conclusion (L) ...................................................................................................... 28
5. Analysis of Selected CSR Material from Nestlé (L) .............................................................. 29
5.1 Analysis of The Official Cocoa Plan Website (L) .................................................................... 29
5.1.1 Rhetorical Proofs ............................................................................................................... 31
5.1.2 Argumentation ................................................................................................................... 34
5.1.3 In Conclusion .................................................................................................................... 35
5.2 Analysis of The Video „How Kit Kat went Fairtrade‟ (M) ...................................................... 35
5.2.1 Rhetorical Proofs ............................................................................................................... 36
5.2.2 Argumentation ................................................................................................................... 39
5.2.3 In Conclusion .................................................................................................................... 40
5.3 Unity (M) .................................................................................................................................. 41
5.3.1 Unity in Nestlé‟s CSR Initiative „The Cocoa Plan‟ (M) ................................................... 41
5.3.2 Corporate Unity (L) ........................................................................................................... 43
5.4 Preliminary Conclusion (L) ...................................................................................................... 45
6. Does Your Favourite Chocolate Have a Bitter Taste? (L&M) ............................................ 47
6.1 The Documentary „The Dark Side of Chocolate‟ ..................................................................... 47
6.2 The Honesty of „The Cocoa Plan‟ ............................................................................................ 48
6.3 A 100 Percent Fairtrade Kit Kat? ............................................................................................. 49
6.4 Future Perspective .................................................................................................................... 50
7. Conclusion (L&M) ................................................................................................................... 51
8. Bibliography ............................................................................................................................. 54
9. Abstract ..................................................................................................................................... 60
APPENDIX
Total Number of Characters: 97.810
Lisbeth Stubager Mols (L): 49.010
Miriam Milton Grooss Mølving (M): 48.800
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1. INTRODUCTION (L&M)
Previously most companies competed either on price, quality, or service as their competitive
advantage. Today stakeholders as consumers, investors, governments and even employees have
become more attentive towards good corporate behaviour, or the absence of it. This new
tendency causes the need for companies to continuously work with their corporate identity and
the communication of it. Thus, intangible factors as Corporate Social Responsibility (CSR) have
become key elements of a corporate reputation (Singapore Compact, 2005). Today the majority
of companies publish either a Corporate Sustainability Report along with their Annual Report or
include a Corporate Sustainability section in their Annual Report (CSR Outsourcing). This
substantiates the increased focus on a corporate social reputation. However, it is not enough for a
company to act socially responsibly, its stakeholders must also be aware of the responsibility.
Hence, the communication of the CSR activities is essential and must be considered carefully to
be effective.
Among CSR initiatives Fairtrade is an increasing enterprise, and several major international
companies, e.g. Cadbury and Starbucks, have attained Fairtrade certification of several products
(Fairtrade Foundation, 2010). The latest newcomer is the Swiss company Nestlé, whose Kit Kat
bar has been Fairtrade certified from January 2010. This certification is part of Nestlé‟s CSR
initiative „The Cocoa Plan‟.
1.1 PROBLEM STATEMENT
In October 2009 the world‟s leading Nutrition, Health and Wellness Company Nestlé released
the CSR initiative „The Cocoa Plan‟, and in December 2009 it was expanded with the launch of
its Fairtrade Kit Kat bar (Nestlé, About US, 2010). The initiative has aroused attention
worldwide and is the basis for several interesting questions concerning CSR communication and
the commitment to it. Consequently, this has inspired us to focus our thesis on CSR and has led
to the following problem statement:
The purpose of this thesis is to discuss the concept of CSR from a theoretical point of view and to
discuss components that may contribute to optimal CSR communication for companies. From
this perspective, how does Nestlé communicate its CSR initiative ‗The Cocoa Plan‘ via the
official Cocoa Plan website and the video ‗How Kit Kat went Fairtrade‘?
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The overall purpose of this thesis is to explain the importance of CSR and to contribute to an
understanding of how companies can communicate CSR initiatives optimally.
1.2 METHOD
The focus of this thesis is on interpretation and analysis of credibility through qualitative data;
textual and visual materials from Nestlé‟s CSR initiative „The Cocoa Plan‟ and the launch of the
Fairtrade Kit Kat bar. Therefore, this thesis is based on the hermeneutic approach.
The hermeneutic approach means interpretation and understanding. Hermeneutics is a
humanistic approach within social science, and an essential suggestion on how interpretation and
understanding of meanings are perceived (Sherratt, 2005:59). Today the philosophical
hermeneutic is a well-known approach, because it considers the interpretation and the
understanding of texts, with the author‟s background and intellectual life in mind, as well as the
interpretation and the understanding of all human activities (Skinner, 1986:23).
An interpreter of a given text is therefore an important factor for the understanding of the text. It
is not possible to interpret texts independently of one‟s background, because people, according to
the hermeneutic approach, understand and interpret on behalf of their background. This results in
the fact that all texts, e.g. a thesis, will be influenced by the author‟s background (Skinner,
1986:25). We are aware of this in our thesis, and have selected material and interpreted it with
these thoughts in mind. Furthermore, we are aware that also Nestlé‟s background and values
have importance for the decisions it, as sender of the empirical texts, has chosen concerning
subjects, wordings etc. in connection with its CSR communication.
The hermeneutic circle is a central term within hermeneutics, because it indicates the interplay
between e.g. the single parts within a text and the text as a whole. This refers to the saying: ―The
whole is more than the sum of its parts‖, opposite the whole can only be understood through the
different parts (Palmer, 1969:118). As a result, a continuous interpretation appears, and the
interpreter can reach a deeper understanding of the projected meaning. In our thesis we have
selected parts from different areas and theories in order to answer our problem statement. The
parts we have chosen in the chapters „The Concept of CSR‟ and „CSR Communication‟ will
make up a whole which enables us to describe, discuss and analyse the concept of CSR and the
CSR communication, which will fulfil the purpose of our thesis.
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1.3 THEORY AND STRUCTURE
This thesis contains seven chapters, each divided into subcategories. The purpose is to make a
coherent structure which progresses from generality to concentricity and from theoretical
discussions to interpretative analyses. The structure of the thesis is illustrated below:
This chapter has described the content of the thesis, accounted for the methodological approach,
illustrated the structure, and will account for the delimitations we have chosen.
The second chapter „The Concept of CSR‟ discusses the CSR concept. A brief history of CSR
and the evolution of the concept is outlined, to introduce the concept and some of the most
conspicuous theorists within the area. This is followed by definitions and discussions of the term
CSR and the related concept the „Triple Bottom Line‟. Archie B. Carroll‟s definition of CSR
(Carroll, 1979) is discussed and contrasted to Marcel Van Marrewijk‟s definition (Marrewijk,
2003), which together create the foundation for how the CSR concept is perceived today. John
Elkington‟s „Triple Bottom Line‟ (Elkington, 1997) is a practical tool explaining how CSR can
be used as an accounting tool in companies‟ economic reporting. Then, an important discussion
follows on whether companies consider CSR to increase profit, or because they are socially
responsible. The focus in this section is the American economist Milton Friedman who back in
1970 argued that the purpose of social responsibility is to increase profit (Friedman, 1970). Even
though forty years have passed since Milton Friedman‟s famous article was published, his view
is still important today, and hence included. Next, Professor Michael Porter & Mark R Kramer‟s
view of CSR, or Corporate Philanthropy as they refer to, is incorporated in order to get a
different approach to the term (Porter & Kramer, 2002). Last, the opinions of the Danish
businessman and professor in Corporate Social Responsibility Mads Øvlisen are included, as he
has a different approach to CSR compared to Milton Friedman and Michael Porter & Mark R.
Kramer. In continuation of Mads Øvlisen‟s opinions of CSR, the focus is turned to consumer
awareness and the influence of CSR in buying decisions (Magasinet Penge, 2010). Finally, the
importance of CSR is discussed in the light of the present financial crisis.
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The third chapter „CSR Communication‟ centres on the importance of CSR communication. The
chapter begins by introducing the famous theorists James E. Grunig and Todd Hunt and their
„Four Models of Public Relations‟ from 1984 that were later expanded with a fifth one (Tench &
Yeomans, 2006). It is indicated why it is important for communication to be two-way because it
induces dialogue and thereby supports the importance of persuasive communication. Three
persuasive tools are gone through. The first persuasive tool concerns the importance of a
sender‟s credibility based upon Aristotle‟s rhetorical proofs; ethos, pathos, and logos (Aristotle c.
350 BC, „Rhetoric‟). The second persuasive tool is Toulmin‟s Model of Argumentation
illustrating the importance of valid arguments (Toulmin, 2003). The third persuasive tool is
unity, which explains the importance of consistency and corporate unity in a company‟s
communication based upon Elisabeth Hoff-Clausen‟s theory (Hoff-Clausen, 2002). Combined,
the three persuasive tools become components in „The RAU Communication Model‟. „The RAU
Communication Model‟ is applied in the analysis of selected material from Nestlé‟s CSR
initiative „The Cocoa Plan‟.
The fourth chapter „Nestlé Corporation and „The Cocoa Plan‟ briefly presents Nestlé as
Corporation and touches upon the critique Nestlé has been exposed to during the years.
Following Nestlé‟s CSR initiative; „The Cocoa Plan‟ and the launch of their Fairtrade Kit Kat
bar are presented.
The fifth chapter, „Analysis of Selected CSR Material from Nestlé‟, analyses selected material
from Nestlé‟s CSR initiative „The Cocoa Plan‟. First, the official Cocoa Plan website1 is
analysed followed by an analysis of the video „How Kit Kat went Fairtrade‟.2 The material are
analysed based on the R (rhetorical Proofs) and A (argumentation) from „The RAU
Communication Model‟, and finally combined in the U (unity). Together the components
determine the successfulness of Nestlé‟s communication of its CSR initiative.
The sixth chapter „Does Your Favourite Chocolate Have a Bitter Taste‟ takes a critical
perspective on Nestlé‟s CSR initiative „The Cocoa Plan‟ and the launch of the Fairtrade Kit Kat
bar. The critique is based on the documentary „The Dark Side of Chocolate‟ (appendix 6) and a
mail corresponding with the director of the documentary Miki Mistrati (appendix 7).
1 www.thecocoaplan.com
2 http://www.nestle.co.uk/PressOffice/UKPressContacts/PressContacts.htm
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The seventh chapter „Conclusion‟ concludes on the whole thesis.
1.4 DELIMITATION
As the focus of this thesis is on Nestlé‟s Coco Plan initiative, we will not include analyses of
other Nestlé CSR initiatives. „The Cocoa Plan‟ initiative will only be viewed from Nestlé‟s point
of interest, and not the NGO‟s e.g. Fairtrade, who can be seen as secondary senders of the
initiative.
We have chosen to analyse two different materials from Nestlé to provide an insight into its
online CSR communication. We have chosen not to include complex texts, as they reflect little
of Nestlé‟s general attitude towards CSR. The materials we have chosen are simple and aim at a
broad group of stakeholders. However, due to the limited amount of space, we have chosen not
to go into depth with stakeholder theories, well aware of its importance.
As a final comment, we have chosen to write all disturbing references e.g. websites as footnotes,
despite the inconsistency with other references.
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2. THE CONCEPT OF CORPORATE SOCIAL RESPONSIBILITY (M)
Corporate Social Responsibility has become an important part of a company‟s public activities.
Companies acting in a socially responsible way are often credited by a positively influenced
reputation, while companies ignoring their social responsibilities are less favourably positioned,
due to the public‟s expectations and awareness.
This chapter begins with a brief history of the concept of CSR. Next, it defines and discusses the
concept of CSR, followed by a discussion whether a company has responsibilities beyond
making profits. Finally, CSR in buying decisions is considered.
2.1 THE CSR HISTORY IN BRIEF (M)
There are a number of terms that encompass the concept of CSR. Among them are Corporate
Governance, Corporate Citizenship, Business Ethics, and Sustainability, all relating to a
company‟s social responsibility towards its internal and external environment. However, in daily
speech the term Corporate Social Responsibility or the abbreviation CSR is used, and it will also
be the term referred to throughout this thesis. In simple terms, CSR means that a company is
responsible for providing more than just profit for its stakeholders; it has a role to play in the
social, economic, and environmental setting in which it operates (Kotler & Lee, 2005:1-2).
CSR is not a new concept. There is an extensive history associated with the evolution and the
definition. To give a brief overview; the concept was invented in the 1950s, and definitions
expanded during the 1960s and proliferated in the 1970s. At that time focus was on maximizing
financial return in order to satisfy shareholders, but a more societal approach emerged.
Connected with this time are economist Milton Friedman (1973), known for his theory about
profit-maximization, and theorist Arhie B. Carroll (1979), known for his CSR definition that
takes the legal, ethical, and discretionary responsibilities into account. In the 1980s, only a few
new definitions appeared, but more empirical research led to alternative themes evolved from
CSR. The themes included corporate social performance (CSP) and stakeholder theory.
Companies wanted to measure their CSR activities, to which the CSP became a solution. At the
same time, stakeholders incurred more attention, and Edward R. Freeman (1984) became known
for his theory concerning internal and external stakeholders. In the 1990s and around the
millennium, CSR was on the agenda in many boardrooms. Researchers argued that CSR would
help improve companies‟ reputation, and as a result, CSR would contribute to companies‟
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financial results. Today, the focus of CSR is around satisfying all stakeholders, and CSR has
been assigned a position in most companies‟ strategies. A growing number of companies put
great effort in appearing socially responsible and as good corporate citizens (Carroll, 1999: 268-
295).
2.2. DEFINING CSR (M)
Taking a further look at the definition of CSR, one of the most quoted definitions is Archie B.
Carroll‟s: “The social responsibility of business encompasses the economic, legal, ethical and
discretionary expectations that society has of organizations at a given point in time‖ (Carroll,
1979). Archie B. Carroll (Carroll) comes into view through the development of CSR. He was
one of the authors tracing the evolution of CSR from the beginning and gave the
abovementioned definition in 1979. The central part of Carroll‟s definition is the four
responsibilities of a company; a
company must be profitable, it must
obey the law, it must be ethically
concerned in its operations, and it must
be a good corporate citizen. In 1991
Carroll created „The Pyramid of
Corporate Social Responsibility‟
(Carroll, 1991) which illustrates the four layers of responsibilities that constitute the CSR
concept. The way the responsibilities are constructed seems straight-forward. The fundament in
the pyramid is the economic responsibility, which aims to maximize the long-term financial
purpose of the company. The second level is the legal responsibility, referring to national and
international laws which the company has to obey. The ethical and philanthropic responsibilities
are the third and fourth levels in the pyramid. The ethical responsibility is the obligation to do
what is right, just and fair, and treat stakeholders the best way possible. The philanthropic
responsibility expects the company to be a good corporate citizen and to contribute to the
community and its quality of life (Carroll & Buchholtz, 2003:39). The last two levels are more
flexible than the bottom levels. However, a company should not ignore these responsibilities
since they are the ones that fulfil a company‟s CSR. Carroll‟s pyramid illustrates a wider
perspective of the social responsibilities, indicating that a company should look beyond its own
interests and focus on the society and the environment, because each responsibility addresses
Figure 2.1: Carroll’s CSR Pyramid, 1991 (Carroll & Buchholtz, 2003:39)
Philanthropic Responsibilities
Ethical Responsibilities
Legal Responsibilities
Economic Responsibilities
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different stakeholders in terms of their varying priorities in which they are affected. Additionally,
the ethical and philanthropic responsibilities capture the essence of what people today generally
perceive as being a company‟s social responsibility (Carroll & Buchholtz, 2003:41). Examples
of the ethical responsibilities are Fairtrade, CO2 leak control, or the prevention of child labour in
third world countries. Examples of philanthropic responsibilities are charity and sponsorship
(Carroll & Buchholtz, 2003:37-39). This leads to the controversy about whether the two bottom
levels of the pyramid are part of CSR. Several theorists agree with this view of CSR and point
towards the fact that CSR is no longer seen as obligatory, but rather as a voluntary strategic tool
(Kotler & Lee, 2005:8-10). This is reflected in the following definition by Marcel Van
Marrewijk (Marrewijk): ―Corporate social responsibility refers to a company‘s activities –
voluntary by definition – demonstrating the inclusion of social and environmental concerns in
business operations and in interactions with stakeholders‖ (Marrewijk et al., 2003:107).
Marrewijk‟s definition emphasises the voluntary aspect of CSR, indicating the commitment that
a company has to demonstrate to be described as socially responsible. Furthermore, the
importance of interacting with stakeholders is illuminated, which is also a keystone in today‟s
conception of CSR. In this thesis it seems most appropriate to consider a definition that reflects
the most common view on today‟s CSR, as the analyses are carried out in present time.
However, this thesis centres on the ethical responsibility of companies and the interaction
between profits and CSR.
2.2.1 THE TRIPLE BOTTOM LINE (M)
When talking about CSR, the Triple Bottom Line (TBL) is essential. The term was invented by
economist John Elkington (Elkington) in 1997 (Johnelkington, 2010). Originally, a bottom line
refers to profit, but a triple bottom line differs as it also considers social and environmental
justice. In practical terms, the TBL means that a company expands its traditional economic
reporting by taking environmental and social performance into account in addition to the
financial performance (Henriques, 2005:29). Elkington writes on his website: ―I also came up
with the 3P tag (People, Planet and Profit) to make the TBL concept a little easier for people to
grasp‖(Johnelkington, 2010). Said in another way, the TBL integrates the social (people),
environmental (planet), and economic (profit) factors in a company‟s commitment to make profit
(Elkington, 2005:2). Elkington refers to the three bottom lines as interdependent, and therefore
they should be equally weighted in the company‟s economic reporting. Behind the idea of the
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TBL lies the fact that a company‟s success and health can and should be measured not just by the
traditional financial bottom line, but also by its social and environmental performance. The
strategy has gained great success, because the concept has managed to reflect a sustainable
philosophy for both companies and their stakeholders, who used to focus on the bottom line
(Quinn and Baltes, 2007:10). A visual comparison of Carroll‟s CSR Pyramid and Elkington‟s
TBL is illustrated below. The CSR pyramid measures each level of responsibility in a
hierarchical order, whereas the TBL has a flat structure where each responsibility is equally
measured.
Critics claim that you cannot calculate or measure social and environmental issues as you can
with profit, leading to the saying: “If you can‘t measure it, you can‘t manage it.‖ Consequently,
the TBL is said to create more confusion than good (Adams et al., 2005:18). However, the TBL-
accounting is a practical approach to CSR, and the sustainable strategy has had incredible impact
among business leaders, which should not be ignored.
In conclusion, CSR has developed during the years, as well as the definitions. CSR has moved
from being perceived as obligatory to voluntary activities. In practice though, CSR cannot be
separated from the economic perspective, seen in the TBL approach. In the following we will
look at CSR in the light of profits contra social responsibility.
2.3 PROFITS CONTRA SOCIAL RESPONSIBILITY (L)
For many years CSR has been exposed to various attitudes to whether the concept is sincere or
not. Is the perception an indication of responsible companies, or just a spin and a way for
Philanthropic Responsibilities
Ethical Responsibilities
Legal Responsibilities
Economic Responsibilities
Figure 2.2: Carroll’s CSR Pyramid, 1991 Figure 2.3: Elkington’s Triple Bottom Line, 1997
(Carroll, 2003:39 – our adaption) (Adams et al, 2005:29 - our adaption)
Social
Economic Environment
Sustainable
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companies to earn a larger profit? In the following three CSR approaches will be discussed, in
order to broaden the understanding of the concept.
2.3.1 MILTON FRIEDMAN (L)
Forty years have gone by, and still the economist Milton Friedman‟s (Friedman) article „The
Social Responsibility of Business is to Increase its Profits‟ (Friedman, 1970), and his attitudes
toward CSR are some of the most quoted. Essentially, Friedman argues that companies should
only employ initiatives that yield shareholder returns, otherwise: ―The corporate executive
would be spending someone else's money for a general social interest‖ (Friedman, 1970).
Despite Friedman‟s general view that CSR is a way to increase profit, he recognises that in a few
cases companies or organisations have other approaches than profit. Friedman also claims that
when attempting to increase profit as much as possible, it is important for companies to still
operate within ethical behaviour (Friedman, 1970) i.e. keep ethics and environmental rules and
regulations. Accordingly, Friedman questions whether companies will know how to spend
money correctly on CSR, and hence be profitable for themselves and their shareholders. In
general, Friedman questions companies‟ responsibility, as: ―There is one and only one social
responsibility of business – to use its resources and engage in activities designed to increase its
profits‖ (Friedman, 1970). With this statement Friedman points out that in his view CSR is about
the health and well-being of the company and not about social responsibility, which contradicts
Carroll‟s discretionary activities.
2.3.2 MICHAEL PORTER & MARK R. KRAMER (L)
Professor Michael Porter and Managing Director Mark R. Kramer‟s (Porter & Kramer) view on
CSR is slightly different from Friedman‟s. Porter & Kramer refer to the term corporate
philanthropy opposite corporate social responsibility. In the article „The Competitive Advantage
of Corporate Philanthropy‟ (Porter & Kramer, 2002), Porter & Kramer reject Friedman‟s view
that companies should not employ corporate responsible activities. In the article Porter and
Kramer state that: ―Using philanthropy to enhance context brings social and economic goals
into alignment and improves a company‘s long-term business prospects‖ (Porter & Kramer,
2002). Hence Porter & Kramer see the advantage of corporate philanthropy, opposite Friedman.
However, Porter & Kramer do not see every social benefit as an improvement of
competitiveness: ―It is only where corporate expenditures produce simultaneous social and
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economic gains that corporate philanthropy and shareholder interests converge‖ (Porter &
Kramer, 2002). Still they argue that: ―Philanthropy can often be the most cost-effective way —
and sometimes the only way — to improve competitive context‖ (Porter & Kramer, 2002). Thus
Porter & Kramer stress that the company‟s behaviour must be truly strategically philanthropic.
With this view Porter & Kramer also argue that CSR, or corporate philanthropy, is not only
about being corporately responsible, but also a question of profit. For this reason Porter &
Kramer can be placed in the middle of the „profit contra social responsibility scale‟ with their
view of CSR. After all, Porter‟s & Kramer‟s position on CSR is not very different from
Friedman‟s as they also acknowledge the aspect of profit.
2.3.3 MADS ØVLISEN (L)
The Danish businessman and professor of CSR, Mads Øvlisen (Øvlisen), has a very different
approach to CSR than Friedman and Porter & Kramer. Øvlisen, who is today chairman of the
Danish committee „Social Responsibility‟, states in an interview in Magasinet Penge 2010, on
the Danish channel DR1 (appendix 1), that CSR is the only right way to run a business, and also
an excellent way: ―CSR er den eneste rigtige måde at drive forretning på, og det har siden også
vist sig, at det er en god måde at drive forretning på‖ (appendix 1, part 15). With this statement,
Øvlisen places himself as a strong advocate of CSR and moves away from the question whether
CSR is a good idea or not; to him it is the only right thing for companies to do.
In the consideration whether CSR is about responsibility or profit, Øvlisen expresses that, in his
opinion, it is a way to run a business with great decency and responsibility. To Øvlisen, CSR is
not a way for a company to market itself, but if companies think so, something is misunderstood
(appendix 1, part 5) Hence, Øvlisen contradicts the notion that CSR is only about profit, but
instead about being socially responsible. Furthermore, Øvlisen argues that CSR cannot change a
bad product. CSR should be seen as an extension of a product, an element that fulfils the overall
values of the company; to be decent and responsible (appendix 1, part 3). Consequently, Øvlisen
has a different approach to CSR than that of Friedman and Porter & Kramer, as he believes that
the proper understanding of CSR is about being responsible, because it should be understood as
an integrated part of the whole company and its corporate values.
Øvlisen‟s opinions are also different from Friedman‟s and Porter & Kramer‟s as he takes the
notion of CSR a step further and considers the consumers in the discussion. To Øvlisen the
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consumers have an important influence on CSR in their buying decisions, as consumers should
be willing to pay a little extra for e.g. Fairtrade. Øvlisen also argues that the consumers should
move from being politically aware to actually making a deliberate decision in buying decisions.
Øvlisen concludes that consumers should focus more on quality than quantity (appendix 1, part
13).
The three approaches to CSR discussed above are diverse. However, during the last years CSR
has become an obvious part of most companies‟ way of doing business. Øvlisen‟s focus on
consumer awareness leads to the following section, consumer awareness.
2.4 CONSUMER AWARENESS (L)
This section looks into how CSR affects consumer awareness in buying decisions and discusses
whether the financial crisis has influenced companies‟ willingness to incorporate CSR.
In the article „Consumers Consider the Importance of Corporate Social Responsibility‟ (2006),
Professor Curtis C. Verschoor (Verschoor) accentuates the positive attitude consumers have
towards CSR and the importance of it. The article takes its starting point in an American
telephone survey including 800 American adults. Here, it was expressed that to most of the
interviewed people it was important to buy products from, or work for, a company whose values
are aligned with their personal values. 65 percent stated that it was extremely or very important
to buy products from companies with similar values and principles as their own (Verschoor,
2006). This gives an indication that the majority of people, in America, are interested in CSR and
take it into consideration in their buying decisions. However, in the article „The Missing Link
Between Corporate Social Responsibility and Consumer Trust: The Case of Fairtrade Products‟
(2008), Sandro Castaldo et.al (Castaldo et.al.) question the actual behaviour of the consumers as:
―[...]Only 42 percent of people who endorse the Fairtrade concept actually buy Fairtrade
products‖ (Gebben and Gitsham, 2007 in Sandro Castaldo et.al, 2006). Castaldo et.al further
comment that the most common reason is the high price of the products. This notion agrees with
the view Øvlisen expressed towards the Danish consumers who are aware of CSR but do not
always act upon it: ―I virkeligheden er danske forbrugeres bevidsthed om det her stor [CSR],
men når det gælder om at vælge de rigtige varer, er det ikke særlig imponerende‖ (appendix 1,
part 11). Still, Castaldo et.al. do not totally agree with the interpretation that people in general
are well-informed about the different aspects of CSR as: ―The second most frequent reason is
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ignorance of how and whether the Fairtrade system works: ‗I don‘t know enough about it‘, is a
typical justification‖ (Gebben and Gitsham, 2007). This indicates how consumers lack
information about the content of CSR initiatives. Hence, communication of CSR becomes
crucial in order for consumers to interpret and understand the purpose of CSR. This will be
further elaborated on in the next chapter „CSR Communication‟.
Despite the various approaches toward CSR in buying decisions, there is a global tendency to
increase CSR activities due to the financial crisis. Doctor of Science, Vesela Veleva (Veleva)
describes, in the article „2009 State of Corporate Citizenship report shows corporate
responsibility weathering the economic storm‟ (2009), that in a recession, the tendency among
US companies is an increased focus on CSR. Veleva describes that: ―54 percent of business
leaders report that attention to corporate citizenship efforts is even more important in a
recession‖ (Veleva, 2009). This percentage could be an indication that most American
companies believe that CSR is taken into consideration in consumers‟ buying decisions. Veleva
further states that: ―Based on the current economic conditions, 15% of companies are increasing
R&D for new sustainable products; 11% are increasing corporate citizenship marketing and
communications; and 10% are increasing local and/or domestic sourcing or manufacturing‖
(Veleva, 2009). In this perspective, it can be concluded that many companies believe that CSR
has impact on their products‟ reputation and makes them appear more attractive.
2.5 PRELIMINARY CONCLUSION (L)
In the chapter „The Concept of CSR‟ we have explained and discussed CSR and viewed it from
various angles. CSR has been defined as a concept that mainly involves ethical and philanthropic
responsibilities. This has been compared to the related concept the TBL. In continuation „Profit
contra Social Responsibility‟ has been discussed with focus on three diverse approaches of CSR
indicating that CSR should be seen as a combination of profit and social responsibility.
„Consumer Awareness‟ showed that consumers consider CSR, however, statistics prove that few
consumers actually act upon this in their buying decisions, as they do not feel well-informed
about the CSR concept. This indicates a further need for well-structured and successful CSR
communication. The financial crisis has contributed to an increased focus on CSR among
companies, to appear more attractive. It is important to communicate CSR activities in a
professional way, which the next chapter deals with.
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3. CSR COMMUNICATION (L)
―At times communication seems even more important than the CSR effort itself‖
(Mette Morsing, 2003)
Acting with corporate social responsibility is one challenge, communicating it is another one.
The communication of CSR should in no way be accidental, as the communication aspect,
according to Mette Morsing, is just as important as the CSR itself (Morsing, 2003). Hence the
communication must be considered cautiously, because stakeholders need to be addressed
differently according to their varying priorities. In general, CSR communication must not be too
loud and hence subjective, but still visible, as the communication has the purpose of persuading
the stakeholders about the company‟s responsible activities. It is also important that a company
is consistent in its communication and in all ways considers and matches the corporate identity in
order to create corporate unity. According to Charles J. Fombrun: ―[...] A good name gives
substance to a company‘s reputation [...] A good reputation generates consistent, shared, and
factorable impression among observers about what a company is, what a company does, what a
company stands for. In this way, a company‘s reputation is itself identity defining. It helps us
assess our understanding of the companies with which we do business” (Charles J. Fombrun,
1996:56). Beyond a consistent reputation, a company must also consider whether its
communication is ethical. Grunig and Hunt take this aspect into account in their „Four Models of
Public Relations‟.
James E. Grunig and Todd Hunt (Grunig and Hunt) are some of the best known theorists within
the field of public relation. From their approach, public relation is the communication that takes
place between a company and its stakeholders: “We define public relation as the management of
communication between an organization and its publics‖ (Grunig and Hunt, 1984, in Grunig et
al 1992:4). Hence their approach to public relation – the management of communication – is
relevant to consider as an introduction to this chapter. In 1984 Grunig and Hunt published the
book „Managing Public Relation‟ where they introduced the „Four Models of Public Relations‟.
The models move from one-way persuasion to dialogue between the sender and the receiver, and
consist of four elements: Press agentry/publicity, Public information, Two-way asymmetric and
Two-way symmetric (Tench & Yeomans, 2006:146-147).
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In the work with these models it is important to mention that they are based on research carried
out in the US and therefore may not culturally adapt to other countries. In relation to the critique
of the four step model, Grunig and Hunt introduced a fifth model called the mixed-motive
model. This model is a mixture of the two-way asymmetric and the two-way symmetric models;
an alignment between the company and its publics, and hence a balanced communication process
with negotiation, persuasion and compromise (Tench & Yeomans, 2006:148-150).
Often CSR communication will be most effective through dialogue, i.e. a relationship between a
company and its stakeholders. Therefore, the two-way asymmetric model, the two-way
symmetric model, and the mixed-motive model are the most relevant for a company to employ.
The more companies use dialogue, the two-way symmetric model, the more ethical it will be.
This is essential when communicating CSR. However, since companies to some extent will be
profit-oriented, it could be argued that the mixed-motive model would be the most suitable as it
unifies profit and CSR (Tench & Yeomans, 2006:148-150).
The increased demand for companies acting socially responsibly has increased CSR
communication. Along with the increased CSR communication the modern and sceptical
consumer has appeared uncomprehending towards companies‟ intentions behind CSR
Figure 3.1: Grunig & Hunt’s Four Models of Public Relation (Tench & Yeomans 2006 – our adaption)
Two-way symmetric The purpose in two-way symmetric is to gain mutual understanding between the organisation and its publics.
The communication is characterised bydialogue on equal terms.
Two-way asymmetric In two-way asymmetric the communication appeals for feedback, though with a persuasive ulterior motive.
The feedback is used to improve communication strategies – not to change the organisation. The persuasion is scientific rather than propagandistic.
Public information In public information the communication is one-way. The truth is critical and thus has the purpose to inform
rather than persuade.
Press agentry/publicity In press agentry the purpose is propagandistic, i.e. to communicate one-way from sender to receiver
including a particular point of view that not necessarily includes the complete truth. This PR-model can be associated with the marketing aspect of advertisements.
19
commitment. CSR communication does no longer automatically create trust and respect, thus
companies need to legitimise their CSR initiatives to reach credibility among their stakeholders
(Baker, 2007). CSR needs to be an integrated part of a company‟s strategy for the CSR activities
to comply with the corporate values and mission (Porter and Kramer, 2002:66). This view is also
shared by Mads Øvlisen as mentioned in the section „Profit contra Social Responsibility‟.
Therefore, companies participating in CSR activities must be persuasive and credible in all their
communication. In practice a company should apply a two-way communication approach, as the
dialogic aspect benefits both the company as sender as well as its receivers. This indicates the
central element of persuasion in order for a company to obtain the desired response from the
receiver. Hence persuasion becomes the overall approach to this chapter concerning CSR
communication. In a communication context, it is important for a sender to be aware of the
persuasive tool of rhetoric. Aristotle bases persuasion on three rhetorical proofs, ethos, pathos,
and logos, which concern the sender‟s establishment of credibility. This persuasive tool will be
the first described below. In continuation, the sender also needs to be aware of including valid
arguments when persuading an audience. Therefore, the second persuasive tool is the concept of
argumentation founded on Toulmin‟s Model of Argumentation. To be persuaded successfully, a
receiver also needs to trust, not only the message communicated, but also the background of the
sender. Consequently, the final persuasive tool considers the unity of a sender and his
background, and will be based on Elisabeth Hoff-Clausen‟s theory concerning corporate
consistency.
3.1 PERSUASION (M)
3.1.1 RHETORICAL PROOFS (M)
The Greek philosopher Aristotle is the author of the book „Rhetoric‟, which today, more than
2,300 years later, still remains relevant. The focus of the book is public speaking; however the
theories presented can also be applied to written communication. Aristotle divided the means of
persuasion into three categories: ethos, pathos, and logos, also known as rhetorical proofs
(Ramage, 1998). Today these concepts have proven to be the most employed part of Aristotle‟s
work.
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ETHOS (M)
The first of Aristotle‟s three appeals is ethos. Ethos refers to the trustworthiness or credibility of
the sender (Aristotle c. 350 BC, „Rhetoric‟). It is therefore significant who the communicator is
(Mutphy & Katula, 2003). If, for example, Nestlé‟s CEO states his view on CSR, he will appear
more trustworthy than if the same expression was said by a factory worker. The CEO simply
possesses more credibility in his position; hence he has a stronger ethos. According to Aristotle
the importance of possessing ethos is invaluable. Ethos reflects authority, and authority has
proved to make a sender more likeable and respected. A receiver tends to believe more in an
expert, which makes credibility one of the most important qualities when persuading a receiver
(Ramage, 1998). When communicating it is crucial to give an impression that you are worth
listening to, because a receiver‟s confidence in the sender is the most convincing of all proofs
(Aristotle c. 350 BC, „Rhetoric‟). However, the definition of ethos has broadened, and today
something may be described as an ethos, even though the sender does not possess a strong ethos
himself. He might draw on the ethos of other sources to strengthen the credibility of his own
message (Osborn et al. 1993:457). An example is a sender who cites a person or company that is
high in estimation, which enhances his own argument.
PATHOS (M)
The second of Aristotle‟s three appeals is pathos; an appeal where the sender tries to persuade
the receiver by appealing to his emotions (Aristotle c. 350 BC, „Rhetoric‟). According to
Aristotle the purpose of pathos is: ―To bring the audience into a certain state of feeling
favourable to accept the argument made in the speech” (Mutphy & Katula, 2003). Additionally,
Aristotle claims that pathos is the contrast to ethos; because pathos appeals to spontaneous
emotions, where ethos appeals to the rational and long-term credibility. A receiver tends to
believe more in a sender who is flattering (especially indirectly) instead of insulting. Therefore,
senders can improve their persuasion by affecting the receiver‟s emotional response through the
choice of language and tone, thus the emotional appeal can be used to improve an argument
(Ramage, 1998). When communicating in business contexts, there needs to be a balance when
applying pathos. However, if pathos is supported by ethos, the credibility is strengthened, which
also proves effective in the right mixture of all three categories. The intention of pathos is to
make the receiver respond, not just emotionally, but to identify with the sender‟s point of view –
to feel what the sender feels (Ramage, 1998).
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LOGOS (M)
The last appeal is logos, a Greek word that relates to „logic‟. Here the sender uses a logical
appeal to persuade the receiver, and bases his arguments on data and statistics (Aristotle c. 350
BC, „Rhetoric‟). Whereas the pathos appeal intends to make the receiver reach a feeling
favourable to accepting the arguments, logos is an argument aiming to prove or disprove the
sender‟s conclusions. Logos can therefore be said to be „the argument‟ itself, because it can be
seen as objective and honest (Ramage, 1998). However, too much logos may leave the
impression that the sender tries to hide something, which is disliked in business contexts. The
advantage of applying logos is that it creates credibility through concrete expressions, while the
disadvantages may be monotony and tiresomeness.
It is vital to stress that even though all three appeals are categorised separately, they are
interconnected. They need to be combined correctly, dependent on the situation, in order to
generate the desired response from the receivers (Osborn et al. 1993:457). In the following we
will take a look at the second persuasive tool Toulmin‟s Model of Argumentation.
3.1.2 TOULMIN’S MODEL OF ARGUMENTATION (L)
When dealing with persuasion in CSR communication it is important that the sender argues for
the message in the right way and appears valid rather than invalid in the argument. This is what
an argument can help accomplish. Toulmin operates with six related elements in his structure of
an argument. The first three; claim, data, and warrant are mandatory in order for an argument to
exist, and if they are not present, basically, there would be no argument. Additionally, Toulmin
has three facultative elements; qualifier, rebuttal and backing, that each in their own way affect
the interpretation of the argument by their presence or non-presence.
The first mandatory element in Toulmin‟s model of argumentation is the claim. The claim is the
basis in the argumentation model. It is what the sender wants to convince the receiver of. At
times it is also referred to as the conclusion, because it concludes on the considerations that the
other elements of the argument represent (Toulmin, 2003:90-91). As an example, a claim could
be: ―Our chocolate beans are produced under decent working conditions‖.
The data, or the ground as some prefer to call it, is the information that supports the claim. The
data serves to convince the receiver of the claim (Toulmin, 2003:90-91). As an example, the data
22
Figure 3.1: Toulmin’s Model of Argumentation (Toulmin, 2003 – our adaption)
of: ―Our chocolate beans are produced under decent working conditions‖ could be: ―That is
seen through the Fairtrade label on our chocolate bar‖.
The warrant is the connection between the data and the claim. Often the warrant would be
stated implicitly because of its often obvious nature (Toulmin, 2003:91-92). A warrant to the
above example would be something corresponding to: ―A Fairtrade label requires a certain
standard and hence equals decent working conditions‖.
Continuing with the facultative elements, the first element is the qualifier. The qualifiers denote:
―The degree of force which our data confer on our claim in virtue of our warrant‖ (Toulmin,
2003:93). This means that the qualifier refers to the certainty of the sender‟s claim. Frequently a
qualifier includes words as „probably‟, „presumably‟, „maybe, and „sometimes‟. In our example
the qualifier is ―decent‖.
The rebuttal is the next facultative element and acknowledges exceptions or limitations to the
argument. The rebuttal signifies the validity of the warrant, and hence it carries the stipulation
which the qualifier stands for and additionally minimises the strength of the claim (Toulmin,
2003:95). The rebuttal in our argument could be: ―Unless the rules for Fairtrade are untrue‖.
The final element in Toulmin‟s model is backing. Backing has the function to support the
warrant, and thus it is an additional validation of the warrant. Further, it can be a way for the
sender to argue what the warrant is based upon (Toulmin, 2003:96-97). In our argument, the
backing could be: ―There is a stringent control when using the Fairtrade label‖.
To demonstrate Toulmin‟s Model of Argumentation and the relations between the individual
elements, a model is illustrated below:
DATA
That is seen through the Fairtrade label
on our chocolate bar
CLAIM
Our chocolate beans are produced under
decent working conditions
WARRANT
A Fairtrade label requires a certain
standard, and hence equals decent
working conditions
QUALIFIER
Decent
REBUTTAL
Unless the rules for
Fairtrade are untrue
BACKING
There is a stringent
control when using the Fairtrade
label
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In this way, Toulmin presents his model of argumentation and hence the fundamental theory for
a structured argument. When dealing with Toulmin‟s model, it is important to be aware that
Toulmin focuses on micro arguments that exist on the level of individual sentences or paragraphs
(Toulmin, 2003:87). Despite that, it is important to bear in mind that these arguments may be
affected by a larger context, and therefore, at times, individual messages can vary from overall
messages (Toulmin, 2003:87). We will now take a look at the last persuasive tool when
communicating CSR; Unity combining sender and his background.
3.1.3. UNITY (M)
Companies participating in CSR activities must be consistent in all their communication and
corporate activities to reflect their identity in order to appear persuasive and credible in the eyes
of the stakeholders. This persuasive tool, Unity, considers the consistency between a company‟s
communication of a CSR initiative and its overall identity.
3.1.3.1 UNITY IN COMMUNICATION (M)
Elisabeth Hoff-Clausen (Hoff-Clausen) argues in her book „Seen through the network – The
credibility of websites‟ (appendix 2), that credibility on websites must be traced back to the heart
of a company (Hoff-Clausen, 2002:8). Websites are a normal part of a company‟s
communication, but sometimes the credibility is at risk. Hoff-Clausen draws up four subsections
of credibility, to prove that trustworthy communication reflects the company behind. She bases
the four sections on how credibility is supposed to work on the internet. However, there is no
indication that Hoff-Clausen‟s theory cannot be applied to other media.
The first subsection is the textual ethos, which is similar to Aristotle‟s definition of ethos,
dealing with the sender‟s credibility and trustworthiness in a given text (Hoff-Clausen, 2002:40).
The next subsection is the intertextual ethos, which involves the connection between the
different texts on a website, but it could as well be different texts as a company catalogue or a
CSR report. What Hoff-Clausen emphasises is that a company may seem competent in one text,
but incompetent in another, and because of the lack of consistency between the texts, the
company‟s overall credibility is at risk (Hoff-Clausen, 2002:40). The third subsection is the
exemplary ethos which concerns the relation between a company‟s saying and doing. It is not
always possible to find out if there is coherence in the self-portrait the company tries to reflect in
a text and how they really behave (Hoff-Clausen, 2002:41). The last subsection, ritual ethos,
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focuses on the relationship between the sender and the receiver. The company should share both
parties‟ interest in its communication and continuously establish and maintain the relationship to
the receiver. This is particularly focused on on the internet, due to the millions of websites and
the tough competition where relationships are difficult to preserve (Hoff-Clausen, 2002:41-42).
These sections of credibility should be understood as closely interconnected, because together
they reflect the unity in a company‟s communication in a given initiative. To determine the unity
of a company‟s general communication it is essential to look into a company‟s overall identity.
3.1.3.1 CORPORATE UNITY (M)
Corporate identity, image and reputation are three extensional aspects to consider when
determining the unity in a company‟s communication.
Corporate identity consists of the visual elements that a company communicates to its
stakeholders. In other words, a corporate identity is the picture of a company that is presented to
various stakeholder groups and is expressed through e.g. advertising and PR. The identity is
established through visual elements as company name, logo, colours, and product design
(Schultz et al., 2000:13-14). The creation of a strong corporate identity involves consistency in
the company‟s actions, behaviour, products, and brands, and often reflects the mission statement
of a company. The corporate identity is also found in the deeper patterns of meaning and sense-
making of people within the company and leads to shared values, identification, and belonging
(Dictionary Net, 2010). Corporate identity is the foundation for creating an image, as the identity
decides what to communicate to the external environment and how the external environment
perceives the company. In a business context image is the reflection of a company in the eyes
and minds of its publics, which can change from individual to individual and through time
(Tench & Yeomans, 2006:253). Over time corporate image transforms to corporate reputation
which is the sum of images that make an individual form an opinion about a company (Tench &
Yeomans, 2006:254). Companies depend to a large extent on their image and reputation among
relevant stakeholder groups, thus it is important for the company constantly to work with its
identity. A way of doing so is to create and use a consistent set of visual cues to express the
essence of the company. A standardised set of visual cues is presumed to have a positive effect
on consumers‟ awareness of the company and its products. The unity in the corporate identity is
a prerequisite for a clear and unambiguous perception of the company (Melewar & Saunders,
25
1998). In conclusion, a company needs to be aware of its overall communication as it reflects the
corporate identity, and derived from that image and reputation is created.
3.2 A MODEL FOR OPTIMAL COMMUNICATION (L)
In a communication context, persuasion can be seen as the foundation to attain successful
communication. The persuasive tools described above support each other in their purposes, and
each in their own way contributes to successful persuasion of receivers and hence optimal CSR
communication is attained. This leads to the construction of „The RAU Communication Model‟,
where each persuasive tool becomes a component. The combination of the components will help
analyse and determine how Nestlé communicates its CSR initiative „The Cocoa Plan‟ through
the official Cocoa Plan website and the video „How Kit Kat went Fairtrade‟.
3.2.1 THE RAU COMMUNICATION MODEL (M)
„The RAU Communication Model‟ in figure 3.2 shows a
funnel containing the three components; rhetorical proofs,
argumentation and unity. The funnel symbolises the process
from three individual components to a merged entity, with an
outcome of successful persuasion that further results in optimal
CSR communication. It is vital to stress the uniqueness of the
model, due to the equal weight and importance of each
component, and the fact that none can be omitted or
substituted. The outcome of the model depends on the amount
of each component. If a component is replaced or less weighted, the outcome will vary, and
might not reach its full potential of communicating a CSR initiative. Due to the simplicity of
„The RAU Communication Model‟ it should be rather uncomplicated to apply in different CSR
initiatives. The model can be used both as a template for composing CSR communication, and to
analyse existing CSR communication. When employing the model in an analysis, it is important
to follow a specific structure. The first step is to analyse the rhetorical proofs and the
argumentation in the selected CSR material. Based on these findings, unity can be analysed. The
rhetorical proofs and the argumentation need to be the first to analyse, as unity is anchored in the
results from these components. In the chapter „Analysis of Selected CSR Material from Nestlé‟
Figure 3.2: The RAU Communication Model
26
the model will be used to analyse Nestlé‟s communication of its CSR initiative „The Cocoa
Plan‟, where it will be applied both on written, oral, and visual communication.
3.3 PRELIMINARY CONCLUSION (M)
In this chapter we have introduced the importance of CSR communication. Grunig & Hunt
introduced the chapter explaining „Four Models of Public Relations‟. The two-way
communication models proved to be the most appropriate for a company to apply. Within this
communication process, persuasion stands out as the fundament for optimal CSR
communication. Three persuasive tools were gone through. The first persuasive tool was
Aristotle‟s rhetorical proofs; ethos, pathos, and logos. The second persuasive tool was Toulmin‟s
Model of Argumentation which illustrated the importance of valid arguments. A sender‟s claim
needs to be supported, proved and justified to be persuasive. The third persuasive tool was unity,
which explained the importance of consistency and corporate unity in a company‟s
communication. Combined, the three persuasive tools became components in the construction of
„The RAU Communication Model‟. The model is illustrated by a funnel containing the three
components that each supplement each other and are equally weighted. The model can be used to
compose CSR communication, and to analyse existing CSR communication. If the requirements
are fulfilled, the outcome should be successful persuasion and hence optimal CSR
communication. „The RAU Communication Model‟ will be used to analyse the selected CSR
material from „The Cocoa Plan‟. Before the analysis, Nestlé Corporation and „The Cocoa Plan‟
will briefly be presented.
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4. NESTLÉ CORPORATION AND ‘THE COCOA PLAN’
4.1 NESTLÉ CORPORATION (M)
Nestlé‟s roots can be traced back to 1866, and it became first known for its condensed milk-
based baby food and other infant products. The company grew significantly during the First
World War, and in the Second World War the company expanded its product portfolio. It went
beyond its early condensed milk and infant formula products, with launches of e.g. the well-
known Nescafé and several non-food products (Nestlé, About Us, 2010). Today Nestlé has
turned 144 years old and is the world‟s leading Nutrition, Health and Wellness Company. The
company has 278,000 employees, operates in 83 countries, and in 2009 had a consolidated sale
of CHF 107.6 billion, and a net profit of CHF 10.43 billion (Nestlé Annual Report, 2009).
During the years Nestlé has been exposed to various critiques and boycotts. Among others its
baby milk formula to third world countries, its use of palm oil in chocolate products, and critique
of working conditions for chocolate and coffee bean farmers, including child labour (Baby Milk
Action, 2010). In January 2005 Nestlé was even named the world‟s „least responsible company‟
by the World Economic Forum in Davos (Guardian, 2005). Due to the negative publicity, Nestlé
constantly tries to change their global status and improve their reputation. This has resulted in
Nestlé‟s focus on CSR, which is reflected on its corporate website. In December 2009 Nestlé
introduced their latest CSR initiative announcing that from January 2010 their leading
confectionery brand in the UK and Ireland, the Kit Kat bar, would be certified Fairtrade. This
Fairtrade certification is one of several initiatives made by Nestlé to exemplify their global
commitment to sustainable cocoa production. The initiative is called „The Cocoa Plan‟ and was
launched by Nestlé in October 2009 (Nestlé, Media Centre, 2010).
4.2 ‘THE COCOA PLAN’ (L)
Nestlé‟s initiative „The Cocoa Plan‟ aims to improve the livelihoods of cocoa farmers. Nestlé
wants to help cocoa farmers run profitable businesses, respect the environment and have a good
quality of life. Nestlé explains: ―This is our way of helping to tackle key issues facing cocoa
farmers, their families and communities to create a better future for cocoa farming‖ (Nestlé,
Creating Shared Value, 2010). „The Cocoa Plan‟ is already active in the world‟s largest cocoa
origins, the Ivory Coast, Ecuador and Venezuela. Nestlé intends to invest CHF 110 million in the
cocoa farming by creating shared value initiatives over the next decade. This is almost twice as
28
much as was spent over the past 15 years. „The Cocoa Plan‟ is communicated under „Creating
Shared Values‟ on Nestlé‟s corporate website to indicate that their business activities benefit
both cocoa farmers and Nestlé shareholders. Furthermore, „The Cocoa Plan‟ initiative includes
that Nestlé has made several partnerships with NGO‟s e.g. Red Cross and Fairtrade.3
4.3 PRELIMINARY CONCLUSION (L)
The history of Nestlé Corporation has briefly been explained along with the critique Nestlé has
been exposed to. Nestlé has launched the CSR initiative „The Cocoa Plan‟ followed by the
Fairtrade certification of its Kit Kat bar. In the following two selected materials from „The Cocoa
Plan‟ initiative will be analysed, to determine how Nestlé communicates its CSR initiative.
3 www.thecocoaplan.com
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5. ANALYSIS OF SELECTED CSR MATERIAL FROM NESTLÉ (L)
In the communication of the CSR initiative „The Cocoa Plan‟, Nestlé uses several different
media. To give a representative view of Nestlé‟s online CSR communication we have chosen to
analyse two different media; a website and a video. The website is the official Cocoa Plan
website, published in October 2009, and located at www.thecocoaplan.com. The video „How Kit
Kat went Fairtrade‟ was part of the publication of launching the Fairtrade Kit Kat in the UK and
Ireland. The video was published in December 2009. Kit Kat certifying Fairtrade followed the
launch of „The Cocoa Plan‟, thus the two materials are combined. The video is located at
http://www.youtube.com/NestleUKpressoffice with reference from Nestlé‟s corporate website
http://www.nestle.co.uk/PressOffice/UKPressContacts/PressContacts.htm. The materials have
been selected as they are relatively conspicuous and appeal to a large group of stakeholders.
Most likely the largest group of receivers would be „elite stakeholders‟ like investors and NGOs,
but also employees and engaged consumers are likely to be interested in the material. The group
of „elite stakeholders‟ will possibly desire more information about the initiative, hence they can
visit Nestlé‟s corporate website to get more specific information.
The analyses will be based on „The RAU Communication Model‟ presented in the chapter „CSR
Communication‟. The structures of the analyses of the website and the video are similar;
however, minor variations might occur due to the difference of the materials. Additionally, the
size of the thesis limits us to only accentuate the most conspicuous examples from the website
and the video. Both analyses will individually analyse the R (rhetorical proof) and the A
(argumentation) from „The RAU Communication Model‟. Eventually, the results of the two
analyses will be combined in the U (unity). Last, it will be determined whether Nestlé persuades
the receiver and communicates its CSR initiative optimally.
5.1 ANALYSIS OF THE OFFICIAL COCOA PLAN WEBSITE (L)
This analysis will focus on the official Cocoa Plan website (appendix 3). The website was
launched in October 2009 along with the initiative. The sender of the website is Nestlé, who has
developed the initiative. This is seen in the upper left corner of the website where Nestlé‟s logo
is connected with the writing: ―‗The Cocoa Plan‘, Working together, step by step‖. The receiver
of the website can be „elite stakeholders‟ as mentioned in the introduction of this chapter.
However, it is also clarified that the receivers are consumers as Nestlé writes: ―You, the
30
consumer, also have a role.‖4 More specifically it can be argued that the receivers are people
interested in the origins of the products and the circumstances in which they are produced.
Further Nestlé applies a two-way communication approach on the website: ―[...] let us know
what you think about the work we are doing [...],‖5 thus Nestlé adopts a dialogic approach to the
receivers. Throughout the analysis of the website, the receivers will be referred to as visitors, as
they are visitors of the website.
The website consists of 7 tab sheets: ―The Cocoa Plan, Our Action Plan, Where We Operate,
About Cocoa, Nestlé Chocolate, Latest News, and Contact Us.‖ The front page is a separate page
that can be returned to by pressing the logo ―Nestlé, The Cocoa Plan‖ in the upper left corner.
The front page welcomes the visitor and presents the 7 tab sheets that pass on information
concerning different subjects relating to „The Cocoa Plan‟. Moreover, the front page contains
three positive portraits; a man on the left, a boy at the bottom, and changing portraits on the
right. The tab sheet ―The Cocoa Plan‖ presents the initiative, what it involves, the vision, and
the commitments. ―Our Action Plan‖ gives a more detailed description of the content of „The
Cocoa Plan‟. It informs about how „The Cocoa Plan‟ helps farmers, nurtures a sustainable future,
focuses on better social conditions e.g. avoiding child labour, and says who their working
partners are. ―Where We Operate‖ presents Nestlé‟s new Research and Development Centre in
Abidjan in the Ivory Coast, as well as their cocoa operations in Ecuador and Venezuela. ―About
Cocoa‖ informs about the process from raw cocoa beans to chocolate; where the cocoa is
produced, the harvest of the cocoa beans, the different cocoa varieties and diseases, as well as the
history of cocoa. ―Nestlé Chocolate‖ presents information about Nestlé Company. ―Latest
News‖ contains updates regarding Nestlé and their cocoa production. As an example, December
7, 2009 the launch of the Fairtrade Kit Kat bar was presented including a short article and a link
to the press release that further links to the video „How Kit Kat went Fairtrade‟. ―Contact Us‖
encourages visitors to tell Nestlé what they think about „The Cocoa Plan‟ website, i.e. Nestlé
requests feedback.
The purpose of this analysis is to examine how Nestlé verbally and non-verbally communicates
the CSR initiative to its visitors through the website. The analysis will take its starting point in
4 www.thecocoaplan.com, tab sheet: „The Cocoa Plan‟
5 Ibid., tab sheet: „Contact Us‟
31
how the verbal and non-verbal elements contribute to persuading the visitors. Next, it will be
analysed how Nestlé sets up valid arguments.
5.1.1 RHETORICAL PROOFS
ETHOS
Often it can be argued that companies through their name and logo represent an ethos appeal in
themselves. However, this is not the case with Nestlé. As mentioned in the chapter presenting
Nestlé, they have been exposed to various critiques during the years. Hence, its credibility is
weakened. This can be the reason why Nestlé throughout the whole website persistently tries to
change this impression by using the ethos appeal, i.e. to strengthen its credibility. One of the
most obvious appeals to ethos is Nestlé‟s use of and reference to its partners, e.g. Fairtrade who
is a well-known and reputable foundation worldwide. By applying its logo on the website and
referring to its co-operation, Fairtrade‟s credibility rubs off on Nestlé. This is also the case when
Nestlé informs about its collaboration with the International Federation of Red Cross (IFRC) and
Red Crescent Societies (RCS). Globally people associate especially Red Cross with positive
attributes, and thus their relationship affects Nestlé‟s reputation. Also Nestlé‟s focus on its other
charitable initiatives has a clear ethos appeal: ―Nestlé is involved in a broad range of social and
environmental initiatives [...] Our commitment to [...] trusted products [...] will be tied to our
respect for the environment and the people we work with, including the farmers who supply us,
our employees, our consumers, and the communities where we operate.‖6 Here Nestlé clarifies
how it cares about general conditions, and hence gives the impression that it is an extraordinary
and trustworthy company. This is further supported by the articles enclosed in the tab sheet
―Latest News‖. As an example: ―Three coops benefit from Cocoa Plan farmer field schools,
World Bank President visits R&D Centre in Abidjan and Women‘s Coop helped by Nestlé.‖7
These headlines indicate the positive effect of „The Cocoa Plan‟ and thus add further credibility
to Nestlé.
On the website, Nestlé also tries to add credibility in a different way than through reference to
others. Nestlé focuses a lot on the quality of its products, and in the description of the production
of its chocolate it emphasises the control of the quality: ―We carry out a quality check (...) on
arrival they‘re checked again [...].‖8 This is a very different ethos appeal than the ones
6 www.thecocoaplan.com, tab sheet: Nestlé Chocolate; Quality Means More
7 Ibid., tab sheet: Latest News
8 Ibid., tab sheet: Nestlé Chocolate; How we make chocolate
32
emphasised before. Nevertheless, it is relevant, as it reflects Nestlé‟s awareness of creating
credibility in a broad perspective. Absolutely nothing on the website is left to chances. Neither
are the videos of the farmers that carry around heavy tubs with cocoa beans.9 In the western part
of the world this would not be allowed, but in West Africa the rules and circumstances are
different. By showing how the farmers‟ everyday life is, Nestlé maintains the authenticity and
tells the truth, which obviously adds to reliability.
All in all, Nestlé does a very successful job in using ethos appeals. Throughout the website, lots
of examples are present. Each in their own way they work as bricks that make a good fundament
for establishing credibility.
PATHOS
The pathos appeal is the least used rhetorical appeal on the website. However, some pathos
appeals are present. The first to be noticed is the boy on the front page. The smiling boy softens
most people, as he addresses people‟s emotions directly, and hence a pathos appeal is created.
By portraying the boy, Nestlé indicates that „The Cocoa Plan‟ makes children smile and feel
happy. In continuation, it can be said that all the portraits on the website contain pathos appeals.
The pages concerning child labour also induce pathos appeal.10
The topic of child labour is
sensible to include, in the light of the negative press concerning the matter. In continuation, it is
shrewd that Nestlé points out the credit it has received for its work with „The Cocoa Plan‟ by the
Executive Director of the International Cocoa Initiative Peter McAllister. This supports Nestlé as
a concerned and caring company, which can be seen as a clear pathos appeal.
On the front page other pathos appeals are present. E.g. through the sentences: ―Continuing to
build a better future and Helping the cocoa farmers.‖11
Especially: ―better future‖ and
―helping‖ are pathos appeals that create positive associations with Nestlé and inform that Nestlé
is the reason for the good cause. Additionally, the sentences also indicate that when buying
chocolate from Nestlé, opposite buying it from other chocolate manufacturers, you help support
a good cause. Throughout the website Nestlé manages to balance between being in control i.e.
informing about itself in a positive way, and being humble i.e. signifying that it is dependent on
9 www.thecocoaplan.com, tab sheet: About Cocoa; Harvesting cocoa beans
10 Ibid., tab sheet: Our Action Plan; Better Social Conditions
11 Ibid., tab sheet: Front page
33
others. As an example it writes: ―Without farmers, there‘d be no cocoa. Without cocoa, there‘d
be no chocolate. Cocoa farmers are the vital start-point and they can benefit considerably from
our help.‖12
Here Nestlé uses the pathos appeal to present itself as a modest company that is
dependent on others, the cocoa farmers, and hence sympathy is created. Also through „The
Cocoa Plan‟ slogan: ―Working together step by step‖13
pathos is used. Through this sentence,
Nestlé manages to create a feeling of solidarity, and thereby appear more equal and more „down
to earth‟.
Overall the use of pathos appeals creates positive connotations to Nestlé and may help convince
the visitors that Nestlé is a caring company and that „The Cocoa Plan‟ is a good initiative
improving quality of life for many people.
LOGOS
The most apparent logos appeal on the website is Nestlé‟s information concerning the financial
investment in the initiative: ―Nestlé will invest CHF 110million in the Plan to help improve the
livelihoods of farmers and their communities [...] This builds on the CHF 60 million invested in
cocoa sustainability initiatives over the last 15 years.‖14
Here, Nestlé states how much it will
spend on the initiative and proves that it is an initiative with content. By specifying the amount
of money invested, Nestlé adds to its responsibility. This is also the case with its specification of
its vision: ―The next 10 [years] we plan to train over 30,000 farmers helping to increase their
earnings from cocoa.‖15
Here, Nestlé tells about the range of the initiative and the quality.
Additionally, it gives the opportunity for stakeholders to follow the fulfilment of the promises.
Nestlé also uses the logos appeal to express what it has accomplished so far: ―We support The
Sustainable Tree Crops Programme that has increased income by over 20% for nearly 80,000
West African families.‖16
By this, Nestlé indicates that it could reach its goals for „The Cocoa
Plan‟.
All things considered Nestlé uses logos to further strengthen its credibility. Nestlé sets up
statements that help prove its intentions and the sincerity of „The Cocoa Plan‟ and hence
12
www.thecocoaplan.com, tab sheet: Our Action Plan; Helping Farmers 13
Ibid., tab sheet: Below the logo in the left upper corner 14
Ibid., tab sheet: „The Cocoa Plan‟; Our Commitments 15
Ibid. 16
Ibid.
34
persuade the visitor to feel good about Nestlé‟s products.
5.1.2 ARGUMENTATION
In this part Toulmin‟s Model of Argumentation will be used to analyse how Nestlé has structured
its arguments leading to its communicative goal. Based on ethos, pathos, and logos Nestlé‟s
communicative purpose can be determined as; the launch and the sincerity of „The Cocoa Plan‟
equals Nestlé as a socially responsible company. The focus of the analysis is on the most central
argument leading to the goal, being aware that other arguments are present.
Throughout the website several claims are present. However, the main claim is: ―The Cocoa
Plan is Nestlé‘s way of helping to tackle key issues facing cocoa farmers, their families and
communities in order to create a better future for cocoa farming.‖17
This leads to the overall
communicative goal. The claim is present both when entering the website and in the tab sheet
―The Cocoa Plan‖ on the page ―Our Vision.‖ When informing about how Nestlé takes action
Nestlé brings the data of the argument: ―With farmer training, Nestlé is helping farmers
increase yields, reduce diseases and produce a better quality crop which attracts higher
prices.‖18
This sentence serves to convince the receiver how Nestlé‟s initiative can actually help
cocoa farmers, their families and communities to obtain a better future. The warrant for the
argument, which has the function to combine the data and the claim and hence justify the claim,
is expressed explicitly with the sentence: ―By providing better quality, higher yielding cocoa
trees which can be used to replace old, low-yielding, diseased trees we can help farmers to
improve their cocoa quality and their income, bringing benefits to themselves and their
families.‖19
With this sentence Nestlé explains why „The Cocoa Plan‟ can improve the life of the
cocoa farmers. The argument has one qualifier: ―better‖. The qualifier is a facultative element,
and in this case the qualifier provides strength to the argument emphasising that Nestlé is certain
that „The Cocoa Plan‟ provides an improved future for the cocoa farmers. Nestlé also makes use
of backing in its argument: ―The main way we help train farmers is by supporting and investing
in a programme of farmer field schools in West Africa. This initiative [...] has already benefited
over 80,000 farmers.‖20
The backing further justifies the warrant, as Nestlé states how many
17
www.thecocoaplan.com, tab sheet: „The Cocoa Plan‟; Our Vision 18
Ibid., tab sheet: „The Cocoa Plan‟; Our Commitments 19
Ibid. 20
Ibid., tab sheet: Our Action Plan; Helping Farmers; Farmer Field Schools
35
farmers have already benefited from farmer schools and greater knowledge about producing
quality beans. The only one of Toulmin‟s six elements not present is the rebuttal. However, it is
not imaginable that it is really missed since we, as visitors, are likely to believe what is said,
especially because of the strong ethos appeal. All in all, Nestlé argues successfully for its
communicative purpose because of the well-tailored argument.
5.1.3 IN CONCLUSION
In this section, the official Cocoa Plan website has been analysed. The purpose of the analysis
was to study how Nestlé communicated its CSR initiative to its visitors. By employing
Aristotle‟s persuasive appeals ethos, pathos, and logos, it was seen how Nestlé tries to establish
ethos by including its partners e.g. Fairtrade, and thus improve credibility. Through pathos,
positive connotations were associated with Nestlé, which helped convince the visitors that Nestlé
is a caring company. Nestlé uses the logos appeal to set up statements that help prove its
intentions and the sincerity of „The Cocoa Plan‟, and persuade the visitors to feel good about
Nestlé‟s products. Finally, the argumentation showed how the website argues for Nestlé‟s
communicative goal. The argument was plausible and well-structured.
5.2 ANALYSIS OF THE VIDEO ‘HOW KIT KAT WENT FAIRTRADE’ (M)
This analysis deals with the video „How Kit Kat went Fairtrade‟ (appendix 4), which centres
around Nestlé‟s Kit Kat bar that has been Fairtrade certified in the UK and Ireland. The video
was produced in connection with Nestlé‟s global Cocoa Plan initiative and was released in
December 2009 along with the announcement of Kit Kat going Fairtrade. As mentioned the
video can be found on Nestlé‟s private channel on YouTube. Due to the large audience that
YouTube possesses, the video can be seen as an important part of Nestlé‟s communication of the
CSR initiative. Nestlé is the sender of the video, which is reflected in the beginning and the end
of the video, where Nestlé‟s logo is presented along with contact information to the Nestlé and
Kit Kat websites. The primary receivers of the video are „elite stakeholders‟, as mentioned in the
introduction to this chapter. This is seen as the link to the video can be found on Nestlé‟s
corporate website, under the tab sheet ―Online Press Office‖. Here stakeholders can request and
follow new Nestlé initiatives on their own. The secondary receivers of the video will be the
audience of YouTube, with reference to people interested in Fairtrade, Kit Kat and Nestlé.
Further Nestlé applies a two-way communication approach in the video: ―For more information
36
about Kit Kat and Fairtrade visit: www.nestle.co.uk and www.kitkat.co.uk‖ (appendix 4). Thus
Nestlé adopts a dialogic approach to the receivers. Throughout the analysis the receivers will be
referred to as viewers, as they view the video.
The video takes the viewer on a short journey demonstrating „How Kit Kat went Fairtrade‟. First,
the Managing Director of Nestlé in the UK and Ireland, David Rennie, announces that the 4-
finger Kit Kat will be certified Fairtrade in the UK and Ireland. Second, the Executive Director
of the Fairtrade Foundation, Harriet Lamb, expresses her excitement about the Fairtrade
certification of Kit Kat, as it is the best selling chocolate bar in the UK and Ireland. Third, the
Factory Manager of Nestlé Confectionary in York, Richard Martin, explains how the Fairtrade
cocoa beans are converted into a Fairtrade Kit Kat bar, ready for the consumers to buy in the
shops. Last, the Archbishop of York, Dr. John Sentamu, explains how amazed he is about the
Fairtrade project and Nestlé‟s visit to the Ivory Coast. The four interviews are supported by
small videos and pictures of the Fairtrade Kit Kat, the cocoa farmers in the Ivory Coast, and the
Nestlé Factory in York.
The purpose of this analysis is to investigate how Nestlé verbally and non-verbally
communicates the video as part of its CSR initiative. The analysis begins with the verbal and
non-verbal elements that contribute to persuading the viewers, followed by an analysis of the
elements that set up valid arguments.
5.2.1 RHETORICAL PROOFS
ETHOS
Ethos is the most frequently used appeal throughout the video. It manifests itself in two
prominent ways; through the personal ethos of the four main characters, and through references
to the Fairtrade logo.
The four main characters presented in the video all contain a large amount of ethos appeal. As
mentioned the main characters are David Rennie, Managing Director of Nestlé in the UK and
Ireland, Harriet Lamb, Executive Director of the Fairtrade Foundation, Richard Martin, Factory
Manager of Nestlé Confectionary in York, and Dr. John Sentamu, Archbishop of York. They all
represent titles with status, which adds credibility to them. Together they constitute a
professional group of people with high authority in their statements. It is obvious that Nestlé has
37
selected each person specifically to participate in the video, because they appear reliable and
simultaneously add credibility to Nestlé as the sender. The way the video is recorded is also a
way for Nestlé to gain trustworthiness from the viewer. All four persons are filmed in close-up
shots, where only head and shoulders are seen. They also remain in direct eye-contact with the
viewer. This type of recording is done to minimize the distance between the viewer and the
persons in the video, and enhance confidence and relationship. Worth mentioning is that Dr.
John Sentamu is filmed in an extreme close-up shot, thus the distance to the viewer is very short,
which could indicate his importance in the video. All verbal elements in the video are said by the
four main characters and supported by small video clips reinforcing their messages, which
contribute to persuading the viewer. Individually each person is presented as an expert within his
or her field of work, seen through their appearance in the interview and the attributes connected
to them. This way credibility is added to each person. The attributes connected to David Rennie
reflect his position as Managing Director. He is portrayed as a man with high authority, seen
through the formal office setting, his dress and his eloquence. Harriet Lamb is linked with
Fairtrade. The background picturing a Fairtrade Kit Kat bar and the Fairtrade gadget on her
blouse connote that she is dedicated to Fairtrade. Fairtrade in itself reflects credibility, thus
Harriet Lamb‟s trustworthiness is enhanced. Richard Martin as Factory Manager is standing in
Nestlé‟s factory. The Kit Kat poster in the background and the Nestlé logo on his t-shirt are
visual attributes set up to support his credibility as a spokesperson. Archbishop Dr. John
Sentamu reflects a religious aspect, which positions him with a high level of reliability. The use
of these four persons can be seen as a tactical and manipulative step for Nestlé, in order to
enhance its credibility on behalf of the characters‟ credibility. This links to the previous chapter
explaining how Nestlé has been exposed to various critiques and boycotts, and hence needs to
strengthen its credibility. However, the approach is clever and helps persuade the viewer.
The second way in which the ethos appeal is proved is through the countless references to the
Fairtrade logo. The Fairtrade logo represents in itself a large amount of ethos, as Fairtrade is an
internationally recognized foundation. Due to the repeated references, and Harriet Lamb‟s
position in the video, it seems as if most of the credibility in the video is maintained by Fairtrade
rather than Nestlé itself, well aware that Fairtrade is the pivotal point in the video. An example
where the Fairtrade logo is conspicuous is the shot of Harriet and her colleague holding the
Fairtrade sign. The angle in this shot is predominantly a worm‟s eye view, exaggerating the
38
Fairtrade logo. The references to the Fairtrade logo again exemplify how Nestlé relies on a
source high in estimation, to enhance its own credibility. However, there is a reciprocal effect as
the Fairtrade Foundation also benefits in a marketing perspective reflected in Harriet Lamb‟s
statement: ―For Fairtrade this is brand breaking in scale‖ (appendix 4, shot 7-8).
In general, Nestlé is capable of applying the ethos appeal in a convincing manner. Throughout
the video Nestlé repeatedly uses the ethos appeal to strengthen its credibility. This is seen
through the use of four high-ranking people and references to the Fairtrade logo.
PATHOS
One of the prominent pathos appeals in the video is Harriet Lamb‟s personal appearance, seen
through her enthusiastic expressions like: ―So I think the public are gonna be cheering that they
now can buy a Fairtrade Kit Kat, and [...] But it is also going to be welcomed by the public here,
who have been asking their favourite chocolate brand to go Fairtrade‖ (appendix 4, shot 11).
Harriet Lamb emphasises positive words to indicate the meaning of her message. Her positive
appearance and her tone of voice are contagious and hence inspire confidence to the viewers and
make them identify with her point of view. Another example is: ―Millions of cocoa farmers need
to sell their cocoa on fair terms; this will open up opportunities for them‖ (appendix 4, shot 9).
Again Harriet Lamb emphasises a word, because the cocoa farmers are compelled to sell their
cocoa, and with Fairtrade conditions they will have new opportunities. This sentence and Harriet
Lamb‟s expressions make the viewer sympathise with the farmers; hence the awareness of
supporting Nestlé‟s Fairtrade Kit Kat bar is being improved. Through Harriet Lamb‟s presence
Nestlé is presented as a responsible company, taking its ethical commitment seriously. Another
example is the pictures of the happy cocoa farmers cutting cocoa beans. The smiling cocoa
farmers arouse positive feelings, which illuminate Nestlé as the good company. The last example
is the people from the R&D centre planting a cocoa-tree. This scene is a metaphor for how
Nestlé, through their CSR initiative, is planting new life on the Ivory Coast. The tree indicates a
better future for the cocoa farmers and their families. The voice-over narrator in this scene is
Archbishop Dr. John Sentamu who is an appropriate person to comment on this. This adds
meaning and coherence to the video and is another example of how Nestlé persuades the viewer.
Nestlé manages to apply the pathos appeal to an extent where the viewer‟s emotions are touched.
39
This is seen in various examples where positive connotations are linked to Nestlé, portraying the
company as socially responsible.
LOGOS
Logos is the least used rhetorical appeal in the video. The first example of the logos appeal is
David Rennie‟s statements: ―And it has latest been announced that Kit Kat is going Fairtrade in
January 2010‖, and ―What that means, is that on Kit Kat 4-finger, initially, all of the cocoa we
buy from the Ivory Coast is going to be Fairtrade certified‖ (appendix 4, shot 5). The sentences
contain important and concrete facts about the launch of the Fairtrade Kit Kat, and therefore it is
a logos appeal. The second example is the picture of a Kit Kat box with a ―BEST SELLER‖
mark. This is a fact that cannot be argued against as it might be based on statistics carried out in
the UK and Ireland. This fact can be supported by the headline of the video: ―Kit Kat, the UK‘s
most popular chocolate biscuit bar, will soon be going Fairtrade‖ (appendix 4, shot 5). The
words ―BEST SELLER‖ and ―UK‘s most popular chocolate biscuit bar‖ leave no doubt about
Kit Kat‟s status. The last logos appeal is the connection between the verbal and the visual
elements in the video. The verbal statements in the video are constantly supported by visual
elements reinforcing or documenting the statement or message. An example is Harriet Lamb
saying: ―Millions of cocoa farmers need to sell their cocoa on fair terms; this will open up
opportunities for them‖ (appendix 4, shot 9-10). Simultaneously, a video clip from the Ivory
Coast shows cocoa farmers working with cocoa beans. This well-documented coherence is
demonstrated in all aspects of the video, creating a simple and logically coherent video.
Nestlé uses the logos appeal to further strengthen its credibility, reflected by the statements, facts
and logical coherence in the video. Nestlé manages to communicate a simple message about the
Fairtrade Kit Kat, which positions the company as socially responsible.
5.2.2 ARGUMENTATION
In this part Toulmin‟s model is applied to analyse the structure of Nestlé‟s arguments in the
video. Based on ethos, pathos, and logos Nestlé‟s communicative purpose can be determined as;
Kit Kat is certified Fairtrade, thus Nestlé is a socially responsible company. The analysis focuses
on the most prominent argument, well aware that other arguments exist.
40
The overall argument in the video is based on the claim: ―Kit Kat, the UK‘s most popular
chocolate biscuit bar, will soon be going Fairtrade‖(appendix 4, shot 5). This sentence
introduces the video and leads to the overall communicative goal. The data of the overall
argument explains how the claim will be realised, seen in David Rennie‟s expression: ―What that
means is that on Kit Kat 4-finger, initially, all of the cocoa we buy from the Ivory Coast is going
to be Fairtrade certified‖ (appendix 4, shot 6). This sentence clarifies to the viewer how Nestlé
attains the Fairtrade mark, and with Kit Kat as a benchmark product, more products are to come.
This leads to the warrant for the argument, which serves to combine the data and the claim, and
justify the claim. The warrant is brought by Harriet Lamb: ―Millions of cocoa farmers need to
sell their cocoa on fair terms, this will open up opportunities for them‖ (appendix 4, shot 9-10).
What Nestlé implicitly communicates here is that ―this‖, their launch of a Fairtrade Kit Kat, will
help improve the life of the cocoa farmers. The qualifier of the argument is ―most‖. As a
facultative element, the qualifier refers to Kit Kat‟s degree of popularity in the UK, which
strengthens the argument and positions Nestlé favourably. The backing in the video is a non-
verbal element; the picture of smiling cocoa farmers cutting cocoa beans. This picture backs up
and justifies the warrant, because the smiles can be seen as a result of the new opportunities
Nestlé has brought to them through the Fairtrade certification. The rebuttal is the only element
not present in the video, however, due to a strong argument, we as viewers believe what is
communicated.
Nestlé has managed to create a well-structured argument which informs the viewer that because
Kit Kat is being Fairtrade certified, the cocoa farmers on the Ivory Coast will face a better future.
As a result Nestlé is positioned as a company that takes its ethical responsibility seriously, which
concurs to the overall communicative purpose.
5.2.3 IN CONCLUSION
This part has analysed the video „How Kit Kat went Fairtrade‟. Nestlé‟s communication in the
video was examined, with focus on its persuasive and argumentative tools used to convince the
viewer that, through its Fairtrade Kit Kat, Nestlé is a socially responsible company. The ethos
appeal was reflected through four main characters in the video and the Fairtrade logo. The pathos
appeal was reflected through Harriet Lamb‟s enthusiasm, pictures of smiling cocoa farmers, and
the planting of a tree. The logos appeal was seen through statements, facts and logical coherence
41
in the video. The analysis of the argument proved that Nestlé‟s claim concurs with the overall
communicative purpose. This positions Nestlé as a socially responsible company. Generally,
Nestlé‟s communication in the video is considered and professional.
5.3 UNITY (M)
Based on the R (rhetorical proofs) and the A (argumentation) from „The RAU Communication
Model‟ the previous sections have analysed Nestlé‟s official Cocoa Plan website and the video
„How Kit Kat went Fairtrade‟. This part will combine the two analyses in the last component U
(unity), in order to analyse the consistency within Nestlé‟s persuasion and CSR communication,
and finally determine if it is optimal. Throughout this section we will use the term „receivers‟
that covers both visitors and viewers.
First, the unity in the communication on the website and in the video will be analysed based on
Elisabeth Hoff-Clausen‟s four subsections of credibility. Second, the results from the four
subsections will be combined with Nestlé‟s overall identity to determine its corporate unity. This
will be based on the communication from Nestlé‟s corporate website. Finally, Nestlé‟s
successfulness in persuading and communicating will be determined.
5.3.1 UNITY IN NESTLÉ’S CSR INITIATIVE ‘THE COCOA PLAN’ (M)
The textual ethos concerning the sender‟s credibility has already been analysed in the previous
parts of „Rhetorical Proofs‟. Both parts concluded that a strong ethos appeal was present both on
the website and in the video. This will therefore not be elaborated further on.
An interesting subsection to look into is the intertextual ethos, which involves the consistency
between „The Cocoa Plan‟ website and the video „How Kit Kat went Fairtrade‟ sent out by
Nestlé. Nestlé uses a significant amount of intertextual ethos within the website and the video. In
other words Nestlé strives to create consistency in its communication, particularly reflected
through visual elements. A prominent example is Nestlé‟s logo that is seen on the front page of
the website and presented as the first shot in the video (appendix 5, ex.1). At an early stage,
Nestlé makes sure that the receiver is aware who the sender of the materials is. Another example
is the Fairtrade logo. On the website Nestlé presents its partners under the tab sheet ―Our Action
Plan‖ where the Fairtrade logo appears, indicating the partnership with the Fairtrade Foundation.
In the video Nestlé repeatedly emphasises the Fairtrade logo on the Kit Kat bar, to indicate the
successfulness of „The Cocoa Plan‟. This also connects the website and the video. Other visual
42
elements enhancing the unity are the visual and verbal elements attached to the launch of the
Fairtrade Kit Kat bar. As the Fairtrade Kit Kat bar is a result of „The Cocoa Plan‟, and not the
main focus on the website, the information about Kit Kat is limited. However, the images on the
website are still concordant with the images in the video. Here the Kit Kat name, the Fairtrade
logo and the sticker of best-seller are present (appendix 5, ex.2). Furthermore, the text belonging
to the Fairtrade Kit Kat on the website is almost identical with the headline of the video:
(Website) ―Nestlé UK has announced that Kit Kat, its leading confectionery brand and the UK‘s
favourite chocolate biscuit, will be certified Fairtrade in the UK and Ireland‖21
vs. (Video) ―Kit
Kat, the UK‘s most popular chocolate biscuit bar, will soon be going Fairtrade‖ (appendix 4,
shot 5). It is evident that the headline of the video is an extraction from the website‟s description
or other descriptions of the launch. The receiver is again met with cross-references in the
materials, strengthening the coherence in Nestlé‟s communication. Among countless visual and
verbal similarities on the website and in the video, still a few examples are worth mentioning.
The pivotal point of Kit Kat going Fairtrade is not the only thing which connects the materials,
but also the outcome of the CSR initiative as a whole. The outcome of „The Cocoa Plan‟ is
reflected through authentic pictures of smiling working cocoa farmers, newly harvested cocoa
beans, the planting of cocoa trees, and employees from Nestlé‟s R&D centre (appendix 5, ex.3).
Examples of related images and cross-references are found throughout the website and the video,
emphasising the lucid coherence that exists in the materials. The use of repetition as a cohesive
device makes Nestlé appear competent and benevolent towards the receiver. Consequently,
Nestlé‟s credibility is strengthened, and the receiver is persuaded of its trustworthiness, due to
the unity in the material.
The third subsection exemplary ethos concerns the consistency between Nestlé‟s saying and
doing. Here the communicative purposes from „The Cocoa Plan‟ website and from the video
„How Kit Kat went Fairtrade‟ will be compared to Nestlé‟s corporate website to find valid
evidence that corresponds to these purposes. The communicative purpose on the website is; the
launch and the sincerity of „The Cocoa Plan‟ equal Nestlé as a socially responsible company, and
in the video; Kit Kat is certified Fairtrade, thus Nestlé is a socially responsible company. Both
purposes are structured by means of initiatives that illuminate Nestlé as a socially responsible
company. Nestlé‟s corporate website links to two important websites concerning social
responsibility. These websites are entitled: ―Creating Shared Value‖ (Creating Shared Value,
21
http://www.thecocoaplan.com – tab sheet: latest news
43
2010) and ―Creating Shared Value – Nestlé in the Community‖ (In the Community, 2010).
These websites can be seen as the epitome of Nestlé being corporate socially responsible. An
additional example supporting the communicative purposes is Nestlé‟s Annual Report that
contains a section of social responsibility (Nestlé, Annual Report, 2009). Together these
examples prove to the receiver the coherence in the self-portrait Nestlé fosters on „The Cocoa
Plan‟ website, in the video „How Kit Kat went Fairtrade‟, and in the behavioural pattern reflected
on the corporate website.
The last subsection, ritual ethos, concerns the sender‟s ability to create relationship to the
receiver and maintain it. Examples of this are seen on the website through countless references to
‗you‘ e.g.: ―You, the consumer, also have a role‖.22
This sentence is a good example of how
Nestlé attempts to create relationship with the receiver. In the video an example is the
encouragement to visit Nestlé‟s websites: ―For more information about Kit Kat and Fairtrade
[You can] visit: www.nestle.co.uk and www.kitkat.co.uk‖ (appendix 4, shot 33). Without saying
‗you‘, Nestlé still manages to address the receiver, and indirectly create relation.
With the four subsections completed, Nestlé cannot be criticised for inconsistency in its
communication of this CSR initiative. Nestlé appears very successful in its communication. The
unity in the material becomes visible through a strategy of repetition, supporting elements from
the corporate websites, and the creation of relationship with the receiver. As a result Nestlé
manages to successfully persuade the receiver and strengthen its trustworthiness.
5.3.2 CORPORATE UNITY (L)
In this section the results from the analysis of the four subsections above will be combined with
Nestlé‟s general communication on its corporate website to analyse Nestlé‟s overall unity. Nestlé
managed to create consistent communication on „The Cocoa Plan‟ website, in the video „How
Kit Kat went Fairtrade‟, and between the two materials. This consistency is a prerequisite for
Nestlé to attain corporate unity, as it needs to speak with one voice through all its different
channels. In the following it will be examined whether Nestlé attains unity in its overall
corporate communication.
22
www.thecocoaplan.com, tab sheet; „The Cocoa Plan‟; Welcome to „The Cocoa Plan‟
44
Both „The Cocoa Plan‟ website and the video „How Kit Kat went Fairtrade‟ concluded that
Nestlé appears trustworthy. On the corporate website Nestlé emphasises its credibility through
positive attributes e.g.: ―Nestlé is the world's leading Nutrition, Health and Wellness company‖
(Nestlé, About Us, 2010) and ―Creating Shared Value is a fundamental part of Nestlé's way of
doing business [...]‖ (Nestlé, Creating Shared Value, 2010). The first example connotes the size
of Nestlé Company and its status worldwide. The second example explains how Nestlé operates
and its caring for society. Together they create ethos and correspond to the company‟s overall
identity of being a responsible company.
„The Cocoa Plan‟ website and the video „How Kit Kat went Fairtrade‟ had a clear repetition
strategy, which is further reflected on the corporate website. Here Nestlé also uses several visual
cues. An example is the logo Nestlé. This is Nestlé‟s main logo which appears on all
communication material sent out by Nestlé, and hence becomes a core element in Nestlé‟s
identity. This is despite the small adjustments that occur e.g. on their various products (appendix
5, ex.4). Another example of repetition is the structure on Nestlé‟s various websites. The
structure on Nestlé‟s corporate website is repeated throughout all Nestlé‟s separate websites, e.g.
the tab sheets used on both the „Nestlé in the Community‟23
and „The Cocoa Plan‟24
websites. On
both sites the structure is simple and reflects the connection to the corporate website. This
creates clear links between the websites and unites Nestlé‟s overall communication.
Nestlé‟s communicative purposes on „The Cocoa Plan‟ website and in the video „How Kit Kat
went Fairtrade‟ have already been compared to Nestlé‟s behaviour on the corporate website.
Overall Nestlé perceives itself as a concerned company, reflected in the quote: ―Our basic
foundation is unchanged from the time of the origins of our Company, and reflects the basic
ideas of fairness, honesty, and a general concern for people‖ (Nestlé, About Us, 2010). Nestlé‟s
concern for people is also reflected in the tab sheet: „Creating Shared Values‟ where several CSR
initiatives are presented. This is also a core element in Nestlé‟s identity, which adds to Nestlé‟s
overall appearance as a responsible company.
Nestlé‟s eagerness to create relations with the receiver on „The Cocoa Plan‟ website and in the
video „How Kit Kat went Fairtrade‟ is also present on the corporate website. Several places
Nestlé invites the receiver to interact, e.g.: ―Sign up for CSV news, sign up to receive press
releases, sign in, contact us‖, to mention a few (Nestle Corporate website, 2010). This request
23
http://www.community.nestle.com/Pages/home.aspx 24
www.thecocoaplan.com
45
for feedback is also a core element in Nestlé‟s identity, as it is active in creating relations with
the receiver, building trust, and hence creates a good corporate reputation.
The results from the four subsections have, in this section, been compared to Nestlé‟s corporate
website. This proved Nestlé‟s overall unity seen through a strong ethos, a strategy of repetition,
coherence in saying and doing, and enhanced relationship to the receiver, which together
strengthen Nestlé‟s corporate reputation. Conclusion-wise, Nestlé has fulfilled the U (unity) in
„The RAU Communication Model‟, leading to the fact that Nestlé has attained corporate unity
and persuades the receiver in a successful and unified way.
5.4 PRELIMINARY CONCLUSION (L)
In this chapter selected materials from Nestlé‟s CSR initiative have been analysed based on „The
RAU Communication Model‟. On „The Cocoa Plan‟ website it was seen, through Aristotle‟s
persuasive appeals; ethos, pathos, and logos, how Nestlé established credibility through its
partners e.g. Fairtrade. Through pathos, positive connotations were associated with Nestlé, and
helped improve the credibility and hence persuade the visitors of the website. Nestlé used logos
to set up statements that proved its intentions and the sincerity of „The Cocoa Plan‟. Finally,
Toulmin‟s Model of Argumentation clarified how „The Cocoa Plan‟ website in a well-structured
way argued for Nestlé‟s communicative goal; to present the company as socially responsible.
In the video „How Kit Kat went Fairtrade‟ it was examined how the ethos appeal was reflected
through four main characters and references to Fairtrade. The pathos appeal was seen through
Harriet Lamb‟s enthusiasm, pictures of smiling cocoa farmers, and the planting of trees. Logos
was seen through statements, facts, and logical coherence in the video. The analysis of the
argument proved that Nestlé through a well-structured argument professionally informs about its
Fairtrade initiative.
In unity, the two analyses were combined. Through a strong ethos, a strategy of repetition,
coherence in saying and doing, and enhanced relationship to the receiver Nestlé proved that its
communication was carefully considered. Moreover, Nestlé‟s overall consistency, based on
Nestlé‟s corporate website, concluded that Nestlé fulfilled the U (unity) in „The RAU
Communication Model‟. This leads to the conclusion that Nestlé attains corporate unity and
persuades the receiver in a successful and unified way, which enhances its corporate reputation.
Everything considered, Nestlé appears very professional in its communication of both the
46
website „The Cocoa Plan‟, the video „How Kit Kat went Fairtrade‟ and its overall
communication. As Nestlé meets all components in „The RAU Communication Model‟, it must
be concluded that Nestlé is persuasive, and hence optimal in its CSR communication.
47
6. DOES YOUR FAVOURITE CHOCOLATE HAVE A BITTER TASTE? (L&M)
In the previous chapter it was analysed how Nestlé, through the website „The Cocoa Plan‟, and
the video „How Kit Kat went Fairtrade‟, successfully attained all letters in „The RAU
Communication Model‟. Nestlé is persuasive towards the receiver, sets up valid arguments to
support its claims, and is unified in its overall communication. Nestlé seems very positive and
glamorous, but what could be questioned is whether „Your favourite chocolate has a bitter taste?‟
In this chapter we will take a critical perspective on Nestlé and the sincerity of the CSR
initiative. The diverse perception of Nestlé is based on the documentary ―The Dark Side of
Chocolate‖ (appendix 6), as well as a mail correspondence with the director of the documentary,
Miki Mistrati (appendix 7). The documentary was first shown on the Danish channel DR2 March
16, 2010, and subsequently eleven channels have shown or will show the documentary.25
The
critical perspective will only include the most important and sensational critical items. First, the
documentary is outlined, second, the honesty of „The Cocoa Plan‟ and the Fairtrade Kit Kat is
questioned. Last, a future perspective is considered.
6.1 THE DOCUMENTARY ‘THE DARK SIDE OF CHOCOLATE’
The documentary proves how the world‟s largest chocolate producers purchase cocoa beans that
are produced under circumstances making use of child labour and trafficking of children. The
documentary takes its starting point in the Cocoa Protocol that the Chocolate Manufacturers
Association signed in 2001. In here the producers of chocolate, e.g. Nestlé, clarified that child
labour and trafficking of children should not occur in the cocoa industry by the end of 2008
(appendix 8, image 1/ Chocolate Manufacturers Association, 2001). However, the documentary
has evident proofs that the exploitation still occurred in the fall of 2009 (appendix 6-7), almost a
year after the clause of the cocoa protocol, and simultaneously with Nestlé‟s launch of its Cocoa
Plan initiative. Taking the documentary into account, it is important to consider the credibility of
the documentary. It appears somewhat objective, as it includes both positions from people who
dismiss and people who confirm the accusations. Even Ali Lakiss, CEO and owner of SAF-
Cocoa, the company who supplies cocoa beans to among others Nestlé, rejects the accusations in
the beginning, but ends up acknowledging them in the end of the documentary. Another
trustworthy authority is Henri Blémin, police investigator from Interpol, who also concedes the
accusations. Shortly before the visit from Miki Mistrati, Interpol carried out the BIA operation
25
http://www.thedarksideofchocolate.org/; tab sheet; About
48
where they saved 54 children from cocoa plantations (appendix 6/Interpol, 2009). Hence, the
proofs against the chocolate industry, e.g. Nestlé, are many and obvious. Neither Nestlé nor any
other chocolate company chose to be a part of the documentary and hence disprove the
accusations against them. Only a letter from a shared spokesperson was received. Here it was
stated that: ―The vast majority of cocoa farms are not owned by the companies that make
chocolate or supply cocoa, and we therefore don‘t have direct control over cocoa farming and
labour practices (appendix 6). By this, Nestlé together with other chocolate companies indicate
that child labour is not their responsibility. The documentary gives a different view on Nestlé
and its responsibility than what has been illustrated in the thesis so far. This is food for thought.
The documentary and the mail correspondence with director Miki Mistrati lead to two heavy
accusations against Nestlé and its trustworthiness. First, its honesty in „The Cocoa Plan‟ is
questioned. Second, the matter whether Nestlé‟s Fairtrade Kit Kat actually is Fairtrade is
questioned. In the following, we will take a further look at these two considerations.
6.2 THE HONESTY OF ‘THE COCOA PLAN’
In the analysis of the website „The Cocoa Plan‟, everything seemed truthful. In all ways, Nestlé
dissociates itself from child labour, and is as well very firm about not using suppliers that do not
meet these demands: ―All our suppliers and partners are required to abide by our Supplier Code
including no use or benefit from forced or compulsory labour, no use of child labour or work
that is mentally, physically, socially or morally dangerous or harmful to children, or improperly
interferes with their schooling needs.‖26
If this is true, how can Nestlé have SAF-Cacao as their
suppliers in the Ivory Coast? The proofs of child labour and trafficking of children are so
obvious on SAF-Cacao‟s cocoa plantations (appendix 8, image 3-5). Nestlé could, if they had
chosen to comment on the documentary, argue for its unawareness of the facts. But how can
Nestlé not know about this, when it has had a large department in Abidjan for 50 years, not far
from the cocoa plantations where children have worked (appendix 8, image 2).
In the fall of 2009, close to Nestlé‟s launch of „The Cocoa Plan‟, the research on the
documentary ended, and in June, a few months before, Interpol‟s BIA operation took place. This
indicates that while Nestlé made its last adjustments and wrote the above quote, child labour and
trafficking of children took place. More or less at the same time, Miki Mistrati was standing in
front of Nestlé‟s headquarters in Vevey trying to get in contact with Nestlé and make the
26
www.thecocoaplan.com, tab sheet: Our Action Plan; Better Social Conditions; Tackling Child Labour
49
company comment on the accusations (appendix 8, image 6-7). Does this dissociation from the
accusations mean that Nestlé lied when making its Cocoa Plan? After all, does Nestlé not believe
that child labour and trafficking of children are its responsibility? It expresses in „The Cocoa
Plan‟ that it is, and in the letter that it is not; what is the truth? If Nestlé is so sure about what it
writes in „The Cocoa Plan‟, why does it not defend itself and explain the misunderstandings?
How can Nestlé‟s suppliers still make use of child labour and trafficking of children without any
consequences, when Nestlé signed the cocoa protocol in 2001 i.e. promising improvements, and
has been in the Ivory Coast for more than 50 years?
6.3 A 100 PERCENT FAIRTRADE KIT KAT?
The worst accusation against Nestlé is in fact the one against the honesty of the Fairtrade Kit
Kat. Here the consumers expect the cocoa beans to be produced under decent working
conditions, and now warnings indicate that they might not be. In the analysis of the video „How
Kit Kat went Fairtrade‟, Managing Director of Nestlé Confectionery in the UK and Ireland
David Rennie states that: ―[...] What that means is, that on Kit Kat 4-finger, initially, all of the
cocoa we buy from the Ivory Coast is going to be Fairtrade certified [...]‖ (appendix 4, shot 6).
By this, he says that the cocoa beans used for its Fairtrade Kit Kat come from the Ivory Coast.
This is remarkable, as Miki Mistrati argues that no suppliers from the Ivory Coast can guarantee
that the cocoa beans have not been in the hands of children or children who have been exposed
to human trafficking. Miki Mistrati further comments that only 1 percent of the cocoa beans
produced in the Ivory Coast, or around 13,000 tons a year, come from certified sustainable farms
(appendix 7). This signifies that it almost seems unlikely that the Fairtrade Kit Kat only uses
Fairtrade cocoa beans, knowing that 3 million Kit Kat bars are sold every day in the UK and
Ireland.27
The only element that can disprove this claim is that Nestlé gets its Fairtrade Kit Kat
cocoa beans from one of the few farmers in the Ivory Coast who are certified (Sustainable Farm
Certification, 2007-2010). On the Fairtrade Foundation website it is stated that the Fairtrade label
guarantees that the farmers get an extra price for their cocoa beans and hence get a better deal.
Moreover, the Fairtrade Foundation clarifies that they dissociate themselves from child labour
(Fairtrade Foundation, 2009). But how can we be sure that the Fairtrade Foundation knows with
certainty that there are no children in the bush from where they purchase their cocoa beans? No
one else seemed to be aware, when they were first accused. No matter what, if Miki Mastrati‟s
27
http://thecocoaplan.com/ tab sheet: The Cocoa Plan, Welcome to The Cocoa Plan
50
claims are true, i.e. all cocoa beans produced on the Ivory Coast get in touch with child labour,
Nestlé has another difficult accusation to disprove and justify.
6.4 FUTURE PERSPECTIVE
In the documentary Miki Mistrati interviews Frank Hagemann, CEO, ILO‟s department of
fighting child labour (FN). Frank Hagemann argues that some progress has taken place since the
signing of the cocoa protocol in 2001. However, he states, no real change has occurred. The
question is then whether the cocoa industry does enough to fight child labour. According to the
cocoa industry themselves, they have over the last 9 years spent 6 million Euros each year on
projects. This might seem as a lot of money, but for Nestlé that is just a matter of writing a
cheque, as it had a turnover of 12 billion Euros last year (appendix 6). So, why has nothing
changed since 2001 and in the last 50 years Nestlé has been on the Ivory Coast? Simply, Nestlé
cannot have done enough. According to Miki Mistrati, Nestlé should, if Nestlé wanted to avoid
child labour, own the plantations on the Ivory Coast itself. Or Nestlé should pay a much higher
price for the cocoa beans than what it does today in order to avoid illegal child labour. According
to „The Cocoa Plan‟, Nestlé will spend CHF 110 million the next ten years, which of course is a
step in the right direction. Still, the question is; can we believe this, when everything else seems
to be a lie?
After all, Nestlé‟s commitment to CSR is doubtful. Its overall unity is weakened, because its
identity is in conflict with the outside communication provided, e.g. the information from the
documentary. In other words, unified CSR communication is a process which Nestlé does not
manage to control.
51
7. CONCLUSION (L&M)
As the world‟s leading Nutrition, Health and Wellness Company, Nestlé is one of the best known
and most powerful companies worldwide. Nestlé has been exposed to massive critiques during
the years, and as a result CSR has become a vital element in the company‟s identity. This is seen
in the CSR initiative „The Cocoa Plan‟, which has been the empirical material within this thesis.
„The Cocoa Plan‟ is an initiative aiming towards improving the livelihoods of cocoa farmers in
third world countries. The outcome of „The Cocoa Plan‟ is among others Nestlé‟s famous 4-
finger Kit Kat bar that has been recently certified Fairtrade in the UK and Ireland.
The focus within this thesis has been on basic knowledge about CSR, which has served as the
foundation for the thesis. The importance of CSR in a company was illuminated and discussed,
as well as how to communicate CSR optimally. Persuasion proved to be the overall approach to
several important CSR communication tools. These tools were discussed and led to the creation
of „The RAU Communication Model‟. „The RAU Communication Model‟ contains the three
components rhetorical proofs, argumentation, and unity that together constitute persuasive and
optimal CSR communication.
Based on „The RAU Communication Model‟ Nestlé‟s communication of its CSR initiative „The
Cocoa Plan‟ was examined, through the official Cocoa Plan website and the video „How Kit Kat
went Fairtrade‟. „The Cocoa Plan‟ initiative was interesting to investigate from a CSR
perspective as it gives an impression of how Nestlé wants to be perceived by its stakeholders.
The analysis of „The Cocoa Plan‟ website reflected Nestlé as a persuasive sender. This was
mainly illustrated through a strong ethos appeal, where NGO‟s like Fairtrade were connected
with Nestlé. The pathos appeal was used to add positive connotations to Nestlé and hence
convince the visitor that Nestlé is a caring company. Logos was used to set up statements that
proved Nestlé‟s intentions and the sincerity of „The Cocoa Plan‟. Through a well-structured
argument Nestlé managed to argue for its claim, and hence persuade the receiver of its
communicative goal. Consequently, the website fulfilled the R (rhetorical proofs) and the A
(argumentation) in „The RAU Communication Model‟.
The analysis of the video „How Kit Kat went Fairtrade‟ showed how Nestlé persuaded and built
credibility through the personal ethos of four main characters and the Fairtrade logo. The pathos
52
appeal was reflected through Harriet Lamb‟s enthusiasm, pictures of smiling cocoa farmers, and
the planting of a tree. The logos appeal was seen through statements, facts and logical coherence
in the video. The well-structured argument in the video positioned Nestlé as a socially
responsible company, which persuaded the viewer of the communicative purpose. Generally,
Nestlé‟s communication appeared considered and professional in the video. As a result, the video
completed the R (rhetorical proofs) and the A (argumentation) in „The RAU Communication
Model‟.
The two analyses were combined in the last component the U (unity). Here Nestlé‟s CSR
communication and its overall communication revealed that the company is united. „The Cocoa
Plan‟ website, the video „How Kit Kat went Fairtrade‟ and the corporate website have been
successfully combined. This was seen through a strong ethos, a strategy of repetition, coherence
in saying and doing, and enhanced relationship to the receiver. Conclusion-wise, Nestlé fulfilled
the U (unity) in „The RAU Communication Model‟, leading to the conclusion that Nestlé has
attained corporate unity, and persuades the receiver in a successful and unified way, which
strengthens its corporate reputation.
Generally, Nestlé appears very professional in its communication on both the website „The
Cocoa Plan‟, in the video „How Kit Kat went Fairtrade‟ and in its overall communication. As
Nestlé meets all components in „The RAU Communication Model‟ it must be concluded that
Nestlé is persuasive, and hence communicates its CSR initiative in an optimal manner.
However, in the chapter „Does Your Favourite Chocolate Have a Bitter Taste‟ which was based
on the documentary „The Dark Side of Chocolate‟ Nestlé‟s credibility and its overall unity were
questioned. The information provided in the documentary indirectly questions Nestlé‟s
communicative purposes in „The Cocoa Plan‟ and in the video „How Kit Kat went Fairtrade‟.
The documentary proves how Nestlé buys cocoa beans from suppliers that make use of child
labour as well as trafficking of children. The director of the documentary Miki Mistrati further
states that only 1 percent of the farmers on the Ivory Coast are certified, which is suspicious as
Nestlé purchases its Faritrade Kit Kat cocoa beans here. The allegations against Nestlé are
distinct, and because Nestlé ignores the documentary and the accusations, its trustworthiness is
extremely weakened. Conclusion-wise, Nestlé fosters an identity through its CSR
communication and professionally communicates it to its stakeholders. However, when
53
compared to outside communication doubt is raised about Nestlé‟s commitment to the CSR
concept, because the unity is weakened, hence its true identity is challenged.
Lisbeth Stubager Mols:_________________________________________
Miriam Milton Grooss Mølving:__________________________________
54
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http://www.public.iastate.edu/~honeyl/Rhetoric/rhet1-2.html
Ramage, John D. & Bean, John C., Writing Arguments, 4th
Edition, Needham Heights, MA:
Allyn & Bacon, pp. 81-82, 1998
http://www.asdk12.org/homeworkdetails.asp?num=102499&ClassID=10198&AssignNum=
132290
Unity related websites:
Dictionary Net: Corporate identity, 2010
http://dictionary.bnet.com/definition/corporate+identity.html
The Free Dictionary: Corporate identity
http://www.thefreedictionary.com/corporate+identity
Various:
Interviews:
Interview with Mads Øvlisen in Magasinet Penge, DR1 Wednesday 10. March 2010
http://www.dr.dk/DR1/penge/arkiv/index.htm
(Appendix 1)
Mail correspondence with Miki Mistrati
(Appendix 7)
Films:
Video „How Kit Kat went Fairtrade‟
http://www.youtube.com/watch?v=Bw1mWZhJD5w
(Appendix 4)
Documentary „The Dark Side of Chocolate‟
(Appendix 6)
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9. ABSTRACT
Corporate Social Responsibility (CSR) has become an important part of most companies‟
activities, and the need for knowledge about the concept and the communication of it has
increased. The communication of CSR is vital as it is the relation between a company and its
stakeholders, and hence the way the stakeholders are persuaded about the companies‟ CSR
efforts. This thesis is based on the hermeneutic approach, as it focuses on interpretation and
analysis of qualitative data. The thesis discusses the concept of CSR, which serves as a
foundation for communicating CSR in the right way. The discussion concerning CSR
communication turns to the development of the RAU Communication Model that further is
applied in the empirical analysis of Nestlé‟s CSR initiative „The Cocoa Plan‟. The first half of
the thesis concerns theory and discussions about CSR and CSR communication that are applied
in the next half, which analyses Nestlé‟s Cocoa Plan website and the video „How Kit Kat went
Fairtrade‟. Before the conclusion a discussion is presented concerning Nestlé‟s overall credibility
based on the documentary „The Dark Side of Chocolate‟.
CSR is not a new concept. It was known back in the 1950s, but had its breakthrough in the
1970s. Caroll (1979) believes that CSR consist of four social responsibilities; economic, legal,
ethical, and philanthropic responsibilities, in hierarchical order. Marrewijk (2003) questions this
approach by emphasising the voluntary aspect of CSR. A practical approach to CSR is the
„Triple Bottom Line‟, which measures the social, environmental, and financial factors within
companies‟ economic reporting. The thesis concentrates on the blend between the profit and the
social aspects, and includes Friedman (1973) who interprets CSR as totally profit oriented, Porter
and Kramer (2002) who consider the advantage of corporate philanthropy, and Øvlisen (2010)
who sees CSR as the only right way to run a business. CSR has also become a more integrated
part in consumers‟ buying decisions and an important way for companies to differentiate
themselves in the present financial crisis. However, there is a tendency to confusion among
consumers about CSR; hence the communication becomes even more relevant.
According to Mette Morsing (2003) the communication of CSR is essential, and it is often more
important than the CSR itself. Grunig and Hunt (1984) present their „Four Models of Public
Relations‟, which were later expanded with a fifth model. In a business context a dialogic two-
way communication is suggested, to reach and persuade stakeholders best possibly and obtain
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the intended response. When communicating it is important to be aware of persuasive tools like
Aristotle‟s rhetorical proofs; ethos, pathos, and logos (Aristotles, 350BC, „Rhetoric‟), Toulmin‟s
Model of Argumentation (Toulmin, 2003), and Elisabeth Hoff-Clausen‟s four subsections of
credibility (Hoff-Clausen, 2002). These persuasive tools are effective for analysing CSR
communication. Together the tools become components in the RAU Communication Model,
which is used to analyse selected material from Nestlé.
Both the website „The Cocoa Plan‟ and the video „How Kit Kat went Fairtrade‟ are generally
considered and professionally communicated. The R (rhetorical proofs) in the RAU
Communication model is, both in the analysis of the website and the video, mainly seen through
very strong ethos appeals that indirectly present Nestlé as a trustworthy company. The pathos
and logos appeals in both analyses strengthen the credibility and support the purpose of
presenting Nestlé as a caring company. The persuasive communication is further maintained in
the A (argumentation) of the model. The well-structured arguments in the two analyses both
support Nestlé‟s overall communicative purpose, which is to present Nestlé as a socially
responsible company. The last component in the RAU Communication Model is the U (unity),
which proves that Nestlé‟s overall communication is carefully considered. The fulfilment of the
unity demonstrates that Nestlé is capable of persuading the receivers in a successful and unified
way.
Everything considered Nestlé appears very professional and persuasive in its communication as
it meets all components in the RAU Communication Model, and hence Nestlé‟s communication
of its CSR initiative is optimal.
Despite the fulfilment of each component in the RAU Communication Model Nestlé has a
vulnerable Achilles' tendon. In the documentary „Does Your Favourite Chocolate Have a Bitter
Taste‟ Nestlé‟s credibility is tested, as the documentary proves how Nestlé buys cocoa beans
from suppliers that make use of child labour and trafficking of children. This proves that a
company can foster an identity, and professionally communicate it to its stakeholders, but in this
case Nestlé‟s true commitment to CSR is challenged.
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