Business principles in action - nutritional labelling
A Nestlé case study

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Page 3: The need to be responsible

Nestlé's business principles are central to its framework for corporate responsibility. This framework also enables it to Create Shared Value with suppliers, partners, customers and consumers across the world. Corporate responsibility involves Nestlé doing more than the regulations and laws require. This means that the individuals and organisations it does business with have more trust and confidence in Nestlé. Using a series of business principles has helped Nestlé to link good practice with good business. Undertaking business responsibly is not always easy. There are many costs to consider. In the short term, providing consumers with accurate information in the form of front-of-pack GDAs could mean that consumers might choose another company's product. Competitors might look for chances to take sales from the company during this period of change.

Benefits of responsible business

However, Nestlé feels that it is important that the company is seen to act responsibly and is responsive to consumers' needs. Market research had clearly identified that consumers wanted more information, so they could make better decisions for themselves. By providing this information Nestlé has positioned itself favourably in the minds of consumers, which means that they will react favourably to its products. This has a long term positive impact on the company's reputation.

Nestlé | Business principles in action - nutritional labelling