The Challenges of Marketing Fair Trade - Wynne, Sandy

(Griffin & Pustay, 2007, p.127). Sometimes Fair Trade is viewed as a way to
demonstrate satisfying the CSR goals. For example, Nestlé’s CEO stated that its CSR
is an inherent part of the Nestlé business strategy and Nestlé Business
Principles, which guide the way we operate. As stewards of large amounts
of shareholders’ capital, it is my firm belief that, in order for a business to create
value of its shareholders over the long term, it must also bring value to society . . .
we believe that the true test of a business is whether it creates value for society
over the long term. This is particularly true in developing countries,...
(Mitchell, 2006, p10)
While Nestle has over 8500 products and is the world’s largest coffee producer,
they have only one Fair Trade Certified coffee, Nescafe Partners’ Blend (Holt-
Gimenez et al., 2007). As Global Exchange points out, Nestlé’s Fair Trade coffee does
not truly fulfill its CSR obligations. “The launch of a Nestle Fairtrade coffee is more
likely to be an attempt to cash in a growing market… than represent the beginning of a
fundamental shift in Nestlé’s business model" (Global Exchange, 2005).
5) Domestic Fair Trade
Domestic or local fair trade is relatively new to the public. Campaigns like
Brattleboro VT’s “Buy Fair Buy Local” support buying Fair Trade products as well as
locally produced ones, yet the domestic fair trade movement wants to go further by
providing assurance that producers of local products here in the U.S., as well as in other
developed countries, receive similar benefits that Fair Trade offers – fair prices, fair labor
conditions, and opportunities to more fairly compete with MNCs.
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