Business ethics Nestlé infant formula Imot Algma

Problem Nestle´s breast milk substitutes agressively marketed in 3rd world countries in the 1970s. Given for free in hospitals and nursing centres, had to buy after that. Humanitarian aid or feeding in the market? Substitute created from powder, needs clean water. Lacks antibodies etc.

Result 5-10 times greater infant mortality rates compared to breast-fed children. Created a need where none existed. Poor mothers used less powder than neccesary, resulting malnutrition. Nestlé boycott starting 1977

Stakeholders Nestle corporation Mothers (and children) Society

Issues Legal and ethical if Nestle gave food as aid Legal and Unethical if Nestle gave food for feeding in the market

Utilitarianism Winner: Nestle Losers: mothers and children society as a whole

Deontology Golden Rule – unexpected results? Rights and Duties: Nestle – duty for the shareholders. Society must protect its people. Mothers must do what is best for the children.

Kantian ethics Principle of consistency Agressive marketing widespread, but is this what we want? Principle of respect Manufacturer should respect its clients.

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