Edelman Global Trust Barometer Chris Deri May 16, 2006

2 The Instrument  First truly global trust survey for Edelman  Seven years of tracking data  3,100 opinion leaders  18 countries: 400 in the United States; 300 in China; 150 each in the United Kingdom, Germany, France, Italy, Spain, the Netherlands, Sweden, Poland, Russia, Ireland, Mexico, Brazil, Canada, Japan, South Korea, and India

3 Employee-oriented Social Responsibility Is The New Yardstick Of Credibility For Business  “Socially responsible activities” are key to building trust in global companies; more so than strong financial performance and fair pricing in many places.  “Ensuring that products meet accepted environmental/social standards” and “fair treatment of employees” are the most important activities for a socially responsible company to engage in.  In turn, “listening to employees” and “demonstrating social responsibility” are the keys to helping companies to build trust among employees.  “Unethical labor practices” and an “environmental crisis caused by a company” are the most undermining to trust in corporations.  Global warming is a top global issue for companies to address (ahead of security and AIDS).

4 Trust Builders: Doing Basics Well Is Important Social Responsibility More Important in Developed Countries Than Corporate Brand or Financial Performance Which ONE of the following factors is most important to building your trust in a global company?

5 Activities Socially Responsible Companies Engage In When you think of the major global companies that you trust, which are the three most important activities for a socially responsible company to engage in?

6 Factors for Building Trust Among Employees Which are the THREE most important actions for a global company seeking to build trust among its employees?

7 Breaches of Trust Driven by Labor Concerns Which 3 situations most undermine trust in a company EU NALA ASIA % % % Unethical labor practices 62(1)58(1)74(1)63(2) Environmental crisis caused by a company 58(2)3871(2)53(3) Defective products/ product liability 46(3)54(2)58(3)64(1) Accounting scandal 3652(3)2845 Excessively high CEO compensation Large-scale layoffs Investigation by a regulatory agency Other 1100 [None of these] 0020

8 Global Concerns Focused On Human Rights And Poverty 3 most important issues for global company you trust to address EU NALA ASIA % % % Poverty alleviation 60(2)42(3)68(2)57(1) Human rights 61(1)58(1)48(3)49(2) Global warming 56(3)43(2)74(1)49(2) Security (3) Natural disasters, such as hurricanes or earthquakes The AIDS epidemic Immigration Pandemic flu, e.g. bird flu 8148 [None of these] 3613