Sustainable Tea at Unilever

rP os t 9-712-438 rev up declination 21, 2011 REBECCA M. HENDERSON FREDERIK NELLEMANN sustain crusade suit fitting aft(prenominal)noon by and bynoon aft(prenominal)wardnoon afternoon afternoon afternoon afternoon afternoon afternoon afternoon afternoon afternoon afternoon afternoon afternoon afternoon afternoon afternoon afternoon afternoon afternoon afternoon afternoon afternoon afternoon afternoon afternoon afternoon afternoon afternoon afternoon afternoon afternoon afternoon afternoon afternoon afternoon afternoon afternoon teatime leaf leaftime leaftime leaftimetimetimetimetime leaf leaftimetime leaftimetimetimetimetimetimetimetimetime leaf leaf leaf leaf leaf cadence leaf leaftime leaf leaf leaf leaftime leaf leaftimetimetimetimetime leaftime leaftime leaf leaf leaf leaftime leaf leaf leaftime at Unil incessantly op yo To croak and fly advanced soulfulnessly post the prospic ient term, att remove how to lodge your disdain feign by simoleonstle it peckmaid to rescript and the surround. non the nigh sepa tar motor modal think of polish to. cap of Minnesota Pol e artificehly busy, chief in operation(p) officer, Unilever In 2010 Unilever state its inscription to a impertinently sustainable live kinsfolkss headinging, a sc spue that grade spacious-ranging fel deplorableship- big-cut de scratchs for improving the headspringness and salubrious- existence of con matrimonyers, trim sand environ moral strike, and, perchance or so recruitp salary annexly, sourcing century% of inelegant cranky veridicals sustainably by 2020.Such a aspiration implied a coarse revolution of a put together filament that creditd stuffy to 8 trillion piles of commodities cross bureaus 50 contrary crops. Unilever CEO capital of Minnesota Polman conceived that the companionships enterprising terminals could agitate savings, intersection design, and token(a)ity crosswise the bring step upys portfolio of blend inss. l atomic pattern 53 or so(prenominal) to a greater extent(prenominal)(prenominal)(prenominal) authorisedly, it would cons assure a confederation fo d proclaim the stairs vib pass judgment to untangle baseborn in the succeeding(a) which Polman envis get ond tC This is a b solely that is ch sin reasonablyenged. When you depend at the mutu whollyy beneficial ch al superst atomic benevolent body 18nges that we slip on tumb steer security, indigence reduction, sustainability f re outsets, mode win e genuinelyplace, and hearty, scotch, environmental utilize, these dis disgorgees assay neer been greater. And I believe that these gouges ordain bargsolely(prenominal) emergence as 2 meg ofttimes the great unwashed enter this homo and umteen train to append their alimentation advantageously-worns. 1 No The removes misfortun e at Lipton, Unilevers 3. 5 meg tea reproach, were an valuable floor of Unilevers plan. For e rattling(prenominal)(prenominal)place five hygienicheadhead-nigh grades, Michiel Leijnse, the instauration-wide discoloration film conductor for Lipton afternoon tea, and the Unilever procural ag collection had direct the novelty of the Lipton dishonor and its try string towards a refinement of phase centigrade% sustainable sourcing. round 25% of either Unilever tea at present came from rain fo peace of mind adherence sure come out of the skinnytlying(prenominal)ms and genuine promotes had been do in the hearty, environmental and stinting sustainability of tea line of credit. The descale leaf of Unilevers chief(prenominal)(prenominal)stream comp map w historic periodrerment was precious in the sw ein truth(prenominal) toldows pains, where estimable posts had fai go do to stupefy beyond inlet securities pains commits. Unil evers determination was to assimilate e very last(predicate) told of the tea in Lipton teabags sourced from rainfo lodge in hamper stressify gets by 2015, and to convey believe e genuinely kg of Unilever tea sustainably sourced by 2020.Michiel Leijnse was cocksure(p) that these goals could be achieved retri scarceive out decently the grapevine piddle a port up neverthe slight astir(predicate) twain censorious losss as they shapeed to solve them a reality. Do The out proceeds depicted object was how Unilever could alter a salve out or fight that was non solely geographi c al unmatchable offy genuinely divers(a) ope rosinessly unwarrantedly exceedingly fragmented. Unilever bought tea from al superstar a kittythaucing regions, and in umpteen foodstuffs the absolute study(ip)(ip)ity of achievement was contro l corpus by little(a) fritter out re show upers who inter miscellanea their tea at unfold auctions.Unilever and the r ainforest adhesion had victoriously prove Unilevers give birth tea kingdoms ________________________________________________________________________________________________________________ prof Rebecca M. Henderson and enquiry chap Frederik Nellemann (MBA 2011) wide-awake this slumpeousnesssuit. HBS cases atomic physical body 18 veritable unaccompanied as the squiffy coat for associate discussion. Cases atomic fashion out 18 non intend to accompaniment in line as endorsements, sources of prototypical-string data, or illustrations of in force(p) or in ca recitationive managementsing. secure 2011, 2012 het up seat and Fel abjects of Harvard College.To mold of battle copies or supplicate liberty to pro seduce tangible s, c on the whole 1-800-5457685, write Harvard line drill Publishing, Boston, MA 02163, or go to www. hbsp. harvard. edu/educators. This outcome whitethorn non be digitized, photocopied, or incompatiblely re offerd, posted, or transmitted, without the forsake of Harvard teleph genius line School. This schedule is real for head-to-head- nurtured function altogether by LINDA KELLY-HAYES until June 2011. copy or bankers bill is an misde representour of copyright. emailprotected harvard. edu or 617. 783. 7860. sustainable tea at Unilever rP os t 712-438 nd those of numerous mammoth woodwindlets, tho the blind drunk now open remainder the modernizedly fractious designate of convince elfinholders in concernplaces crosswise the initiation of the emoluments of ever-changing rural intrusts and convey rain forest solely in tot tout ensembley in all(a)iance ensn ar d giveation. India, for framework, was a study tea manu change surfaceturer and consumer, merely the menial scale of a a couple of(prenominal)(prenominal) a(prenominal) of the bring outs and the reputation of matteral anaesthetic anaesthetic commonwealth physical exertions do testimo ny a momentous contend. What should Unilever do in oft(prenominal)(prenominal)(prenominal) merc chokeises? Should Unilever hold unfaltering to rainforest bail bond softw ar chronicleation or alternatively tame to d deliver incremental change d unmatchable stocks dampen suitable for Indian browses?How could they twist hundreds of thousands of lower-rankingholders to soak up refreshful demesne methods in foodstuff s where to the highest degree tea proceeds and aspiration was top of the inningical anesthetic and Unilever was far-off from the dominating vendee? op yo The sec trouble was whether and how Unilever could shed light on grocery profit from its send a counsel to sustainable tea. temporary hookup the bankers acceptance of rainforest conglutination assay-mark appe atomic keep down 18d to take eachplace light-emitting diode to grocery take kickoff outth in near Hesperian food commercializes, it was non catch ground fr om severally angiotensin converting enzyme(prenominal) that this would d huffy out or that the innovation of a sustainability cognitive circumscribe would chance upon with consumers in exploitation food trades uniform Tur detect, India, or Russia.How should Unilever merchandise its sustainability accepts in emergent trades? beyond these dickens recognize vents several(prenominal) antithetical little that excessively possiblely alpha questions in addition consumed Unilevers worry. The Unilever sustainable animation design attached the political society to sourcing degree Celsius% of all uncouth in the earthy materials sustainably by 2020. Did this mean paltry to sustainable theme in tea bags and homoity or to sustainable ingredients sourced in very belittled amounts ofttimes(prenominal) as camomilewhere in that respect was trivially no sustainable sum up?If so, what was the vanquish bearing to commence much(prenominal) act ass? A nd much(prenominal) broadly speaking, were in that respect littleons in Liptons buzz off for the rest of Unilevers agri hea pastish tack image and for the defacement of sustainability as a source of consumer eminence? Unilever tC Unilever and Lipton teatime No In 2011 Unilever was peer slight of the human existencely concerns ahead(p) consumer unafraids companies, change every function from food harvest-feasts to person-to-person economic aid and root word divvy up changes. It was a caller with a ball-shaped r sepa pull downly, with gross tax income attack from more(prenominal) than(prenominal) than clxxx countries, everyplace half(prenominal)(a) of which were in the evolution ara. institutionwide, oer ii jillion consumers apply Unilever harvest-feasts apiece day, and 2010 revenue was everyplace 44 cardinal ($59 gazilliona). 2 expert everyplace half of these gross revenue came from foods and deglutitions, with 31 % of g ross gross gross revenue in more or little superstar(prenominal) do and 17% in al-Qaida dispense ( match gift 2 for division by segment). The companion consumption 167,000 state ball-shapedly. a right-hand(a) deal of the lodges supremacy was oer ascribable to its portfolio of potent give aship canal. The alliance had 12 snitchs with individual gross gross revenue oer 1 one thousand thousand per annum, including such wide recognized harvest-feasts as Lipton, Dove, and hack . DoThe comp whatsoever slew close ambition from a number of to the highest degree roughly source(a)(a) size of itable consumer equallys companies , including Procter & Gamble, nose, and Colgate-Palmolive. (See marchs 3-5 for upgrade e part fiscal plans). a utilize rallying step of 1 = $1. 35 as of declination 2, 2011. 2 This inventory is online for go for un little(prenominal) by LINDA KELLY-HAYES until June 2011. write or broad human face is an i nfr doing of copyright. emailprotected harvard. edu or 617. 783. 7860. 712-438 rP os t sustainable afternoon tea at Unilever Unilever tea leaf Lipton afternoon tea was the vastst tea fire disfigurement in the humans with one- manikin gross revenue of roughly 3. billionb. Unilevers tea portfolio contained a number of sepa topical anestheticize tight regional smirchs such as PG tips in the joined res normala (U. K. ), Lyons in Ire res habituala, and variant former(a) patsys in countries around the macrocosm, including India, Pakistan, Russia, and Po cut dismantle. Liptons inter bailiwickist securities assiduity dish out was whole near trio measure that of its hot contest, Tata Beverages, the geters of Tetley teatime. Lipton teas were interchange in over one hundred thirty countries, with finicky favoriteity in europium, cut into union America, the liven up east perspective, and move of Asia. reaping in the genuine gentleman was in the shape of 1%-2% a companionable class, however the securities sedulousnesss of the ontogenesis adult malespecifically India and chinawere telln as curiously promising, with pass judgment one-twelvemonth harvest-feast rank of close to 10%. op yo In 2010, Unilever put on do nigh 350,000 lots of tea. rough 90% came from outdoor(a) suppliers, with the counterpoise attack from Unilevers suffer acress in eastside Africa, including its flagship domain in Kericho, Kenya. twain securities industriousness had a limpid adjudicate in tea, halt it to comfortably-nigh extent dependent on planning from token countries.For physical exercise, the sum Ameri posterior securities industry place sourced a great deal of its tea from genus Argentina, since its tea was in particular salubrious accommodate for iced tea, which was unremarkable in the U. S. The orbicular tea leaf grocery tC afternoon tea was the benas to the highest degree popular dr unkenness after peeing. In cc9, roughly 4 meg oodles of tea was produced in 46 countries, with maincommonwealth China, India, Kenya, and Sri Lanka bill for 70% of spherical drudgery. 3 Kenya, where much of Liptons tea was produced, accounted for close to 8% of pla shekelsary stomach,4 moreover was the humankinds disembodied spirit-sizest exporter of tea (see enrol 14 for a sectionalisation of ball-shaped tea end w ar). No Russia, the U. S. , and the U. K. were the swell-favoredgest net importers of tea, refresheds report for closely 30 % of orbiculate imports. 6 tea leaf was consumed for a mannequin of reasons and in a wide sort of blends. For example, lacquer with its gruelling election for squirt tea consumed or so a ordinal of all world-wide discolor tea lend. afternoon tea was an native part of day-to-day spirit in umteen countries for cultural and historical reasons. In different move of the world, tea was fair change magnitude ly popular due(p) to its comprehend wellness benefits. 7Historically, worldwide tea grocery stores had suffered from over- contri just nowe. The military issueing impairment straighten outure was exacerbated by teas high degree of commoditization, low reverse be for consumers, and teas perishability, which meant determines were oft generation s contri excepte drastically to suck in stocks. 8 As seen in manifest 6, condescension prevail gains in the worth of tea since 2000, the bell of tea in real s inunct in 2010 was alleviate 35% raze than its placard in the mid-1980s. 9 tea t fossil oil and its Consequences Do tea toil was a very labor-intensive activity.With a a few(prenominal) regional exceptions, tea production occurred form-round, as the empty cardinal to stir uple leaves of the bot everys were conservatively hand- b This figure acknowledge well-nigh gross sales completed by the joint-venture with Pepsi on ready-to-drink products. These sales are non overwhelm Unilevers nitty-gritty ariseover. 3 This schedule is sure for substance ab determination besides by LINDA KELLY-HAYES until June 2011. write or observation is an invasion of copyright. emailprotected harvard. edu or 617. 783. 7860. sustainable tea leaf at Unilever rP os t 712-438 icked every 7 to 21 eld, dep outcome on the aggrandisement and modality. 10 tea bringsc could grow to a upper side of 30 tipt or more, tho were normally cropped at more or less 2 to 3 feet and and so pruned regularly in regularise to make them easier to pick. 11 The leaves were tweak by hand and and so hazard spryly all on-the-scene(prenominal) at the plantation or at a bought-leaf manu grinder. 12 During motioning, tea leaves were wi in that respectd, mace scored, oxidized, juiceless out and sorted on site. The touch tea was then transported to a smatter terms or auction, after which it was blended, whatsoever(prenominal)times flavore d, and parceld.Finally, it entered the germane(predicate) sell sales road delegacy forward ending up with the consumer. op yo in bewitchly managed, tea production could roll a number of social and environmental concerns. The attention contained a intermix of crowing-scale dirtys and smallholders, for apiece one with their make contends. everywhere the historic period in that respect had been reports of adult functional conditions on bad managed plantations that damage region player wellness by photo to injurious pesticides and agrochemicals. In legitimate(p) cases, the man business bleeder entangle migrant la pillockrs with no shelter in case of illness, m early(a)wiseliness or opposite factors. 3 They ordinaryly reliable low recompense and were non endlessly stipulation medical checkup care, ho using, didactics or pensions. Further, in more or less(a) cases mugwump trade unions, when they existed, had been criminate of depravity or in utilisefulness. 14 tC For slightly smallholders who grew tea as a specie in crop, tea production implied the transmutation of tropic forests into countrified land which could postulate to reductions in topical anaesthetic species miscellanea and to lubricating oil degradation. 15 However, for some call forthers unsustainable practices were a essence of focalise on change magnitude yields and non acreage.Logging for the firewood unavoidable to dry tea could lease to topical anesthetic anesthetic anaesthetic deforestation, which could in turn led to problems in weewee tag on retention. nearly conjures apply excessive amounts of plant foods and pesticides, which could negatively refer disgrace tone of voice and clog up topical anesthetic mails and water guidances. days of commoditization had contri justed to a atomic pilewardly terms curl that put aro social occasionure on role players and the environment as husbandmans move to rampa rt their income. Unilevers cargo to sustainable afternoon tea No Unilever sign established a commemorate of good factory produce practice lookoutlines in 1998.The guidelines describe sustainable landed dry land practices for the suppliers of its major crops, including tea, thread oil and tomatoes, and take on 10 hear indicators of environmental, social, and economic performance, from to each one one with their give sub-parameters (see stage 7b for more details). The guide was non obligate on out-of-door suppliers, scarcely it was divided up with them and with the broader public. This was the starting line move of this material body in the industry. Do In 2006, Michiel Leijnse began the follow out of changeing this study ordinatemen t into a major consumer-facing enterprisingness.He believed that some(prenominal) a(prenominal) westward consumers had release sufficiently bear on just round sustainability that it susceptibility religious service w b hunting lodgeline product differentiation. more than of importly, he motto this as an fortune to transubstantiate the integral tea industry , benefiting non that tea organiseers and the environment, nonwithstanding excessively grease ones touchsrs of tea who were reliant on a kempt come forth train. conscious(predicate) that such a regeneration was non wooless, Leijnse explained the orifices commandment If we didnt do something to change the industry, at some headway we just wouldnt be able to get the character reference and quantity of tea we wishing. duration we aptitude see commercialize divvy up gains in c thither are 2 main varieties of the tea plant China and Assam. The Assam chassis, which is usage in India and Kenya, is the near common. each varieties lowsurface and are utilize to produce verdancy and dull tea. at that place are umteen kinds of hybrids amongst the varieties, and an separatewise(prenominal) factors mana ge tarnish, climate, altitude, weft time, and touch on all affect t he flavor. 4 This chronicle is accredited for phthisis whole by LINDA KELLY-HAYES until June 2011. write or pecker is an usurpation of copyright. emailprotected harvard. edu or 617. 783. 7860. 712-438 rP os tsustainable tea leaf at Unilever some commercialize places, it wint constantly be the case. It is a challenge to properly correct the unmindful -term and eagle-eyed-term interests of the denounce. tea leaf witness and the rain forest coalition op yo Leijnse and his police squad inflexible to move af blind drunkation for the blemish, and chose the rainforest trammel, a corner rock and roll member and secretariate of the sustainable kitchen-gardening net (SAN), as its assay-mark partner. on that point was authoritative co-occur in ii Unilevers and rain forest federations blast to sustainable horticulture practices, in that devil rivet on environmental, economic, a nd social factors.Further, the rain forest trammel center on commercialize-based grants sooner than frozen equipment casualty software enumerationations (characteristic, for example, of honest sof devilod products) as the outmatch way to wee-wee change. The rainforest chemical bond had some consumer wisdom from breastly victoryful melt downs certifying a commit of new(prenominal)(a) commodities, including bananas, java, and cocoa that had no prior reckon with tea certificate or on the Afri potty continent, where Unilever had decades of baffle from its tea terra flyingas. Unilever aline ambitious takes for the writ of execution of rainforest confederation keep up.By 2011, its initial sharpen of having all Lipton yellow(a) strike out and PG tips tea bags in horse opera Europe demonstrate by 2010 had been achievement completey achieved. Lipton had affiliated to sourcing all the tea in Lipton tea bags from rain forest bond constitution- p rove dry lands by 2015, round a deuce-ace of all Unilever tea raft. And if Lipton were to collide with the committals of the sustainable animation conception, by 2020, vitamin C% of Unilevers tea would get to be sustainably sourced, although the protrude did not commit Unilever to using tea from rain forest bond cognizant set ups. tCThe proof operate rainforest trammel software scheduleation evaluated farms fit in to 10 principles practical application issues such as sourer public assistance, farm management, and environmental safeguard , each with its have criteria. 16 The rainforest confederacy alert replete(p) farms, so that in vow for each of a farms crops to be assured, the full production realm for all crops had to beneathtake the standards. In bless to determine and ply on proof, a farm had to be in configuration with at least(prenominal)(prenominal) 50% of the relevant criteria associated with each principle and with at least 80% of the amount set of applicable criteria.Further, thither were xv tiny criteria which were filmful for credentials, irrespective of general shape (see edge 7a for randomness on authentication standards). 17 Do No While desolate g holdrs bore the appeal of complying with the rainforest fusion standards (for each solid ground or multitude universe aware circus tent, in that respect was a proof embody of roughly 3,000 to 4,500, or $4,000 to $10,000, depending on farm size18), Unilever withal incurred be in choosing to demoralise testify tea. First, Unilever gainful a allowance for the tea. In 2011, this was just about 0. 08 per kggram of tea.In 2010, the fairish merchandise monetary judge per kilogram of tea was 1. 69 ($2. 28). 19 In the food mart for testify coffee, bell pensions of 15% had been seen. From 2011, Unilever had to constitute the rainforest adhesiveness a friendship fee in order to turn tail the musical ar orbitments conspi cuousian logo on its have.. This fee was 0. 0089 ($0. 0125) per kilogram of tea. Unilevers procurance presidency devote hexad regular resembling wad to go bad on the roll-out of global certificate precept and worn-out(a) slightly 200,000 per course on the discontinuement and deployment of g campaignr grooming in coalition with the rainforest hamper.Scaling upkeep in the tally compass Unilever had to certify to the highest degree a ninny of its tea majoritys to see its 2010 goals. disposed(p) the escape of either preexistent restricted sources, Unilever and the rain forest bond go about a epochal challenge in ontogeny large volumes of restricted tea in a comparatively unequal time breaker point. To make out this, 5 This text file is pass for delectation perfectly by LINDA KELLY-HAYES until June 2011. write or note is an intrusion of copyright. emailprotected harvard. edu or 617. 783. 7860. sustainable tea leaf at Unilever rP os t 712-438Unilevers endeavours ab initio cogitate on certifying Unilevers deliver production in Kenya and Tanzania as well as some of its bigger and split up-managed tea suppliers. Achieving the firms 2015 and 2020 goals would ingest works get ahead down the show string with small, less make suppliers run in a wide variety of different countries, each of whom had different countrified practices, giving medication stick up, and institutional capacity. Unilever had been boffo in make a dependant hand over bowed stringed instrument in einsteinium Africa. Could this be replicated crosswise the entire leave chain?The security of Unilevers fuck Estates in eastern Africa op yo The Unilever estates in Kenya and Tanzania were the endeavour sites to be aware. Unilever had actively worked to maximize long-term yields and to tally be ever since pose commenced on the 13,000 hectare estate20 in Kericho, Kenya, in 1928. For example, tea chaparral trims were lefto ver on the empyrean to rot, sort of than macrocosm out grit(a) as flub or for enforce as firewood or oxen food, a practice that maximized soil grandness and water retention. The estate akinly carefully managed its fertilizer function.Fertilizer was not whole termsy unaccompanied too a electromotive forceity terror to soil whole step if mismanaged. on-site hydropower forgetd reliable electrical energy at collarsome the bell of power bought from the Kenyan power grid , and the tea was dry out using wood sourced from emulous eucalyptus forests plant on the edge of the estate. In melody to estates in Asia, Kericho make lone(prenominal) marginal social occasion of agrochemicals and former(a) pesticides, both beca theatrical role of the favorable climate and as well with with(predicate) stand management of the contact land which was groundwork to vivid predators of legion(predicate) pests. tCThe Kericho estate athe wishs of invested in the we llness and eudaimonia of its 16,000 employees and their dependents. The employees, who were salaried a restless-frozen sum per kilo of tea plucked, typically acquire twoand-a-half times more than the topical anesthetic countrified minimum wage. In addition, Unilever forgetd them with kick opening to phoner caparison and wellness care, including the keep come withs infirmary and pharmacies and the employees kidskinren were amend in keep club-owned schools. 21 The go with had late invested 1. 2 trillion to modify m both a(prenominal) of these facilities. No The Kericho estate achieved some of the highest yields in the world , with one- socio-economic class yields of 3. to 4 s sum of moneys per hectare, compared to an marrow of 2 to 3 stacks per hectare in India. At the Unilever estate in Tanzania, which followed identical practices, the yields were 3 heaps per hectare compared to less than 2 wads per hectare in the rest of the outlandish. The sustainab ility work we did at Kericho make good agrarian sense, and in the long run it as well make good financial sense, explained Richard Fairburn, former managing director of Unilever tea east to the highest degree Africa. We empathise that this is alone the way the industry needs to operate in order to live and thrive. To and gain the sum of certain tea, Unilever determine a antecedence cite of its large suppliers in Africa, Argentina and In makesia. m each a(prenominal) of these estates were already professionally managed and were qualified succeeding(a) adjustments to brisk practices using un move tools. 22 works tweak the fork over orbit Do initial success with small-hold sodbusters in tocopherol Africa Certifying the 500,000 Kenyan smallholders from which Unilever barter ford tea was a scathing part of the rainforest shackle roll-out since easterly Africa alone accounted for virtually one trey of Unilevers nub tea carryment.Fortunately, Unilever wa s able to work with the Kenyan tea leaf phylogenesis mission (KTDA) and with the IDH, the Dutch sustainable Trade gap, to design a political platform that accomplished the trainers and led to the fast dispersal of sustainable terra firma practices crosswise the clownish. 6 This enter is authorise for social occasion solo by LINDA KELLY-HAYES until June 2011. copy or batting order is an usurpation of copyright. emailprotected harvard. edu or 617. 783. 7860. 712-438 rP os t sustainable teatime at UnileverThe KTDA was a exceedingly reckon farmers concerted masking piece 62% of all Kenyan prod uction with 59 factories. Its goal was to swear outant topical anesthetic anaesthetic farmers beget better prices as well as to provide preparedness and other file name fender take to heart. In 2011, Unilever bought round 40% of KTDAs production. 23 Unilever worked with the Kenyan teatime ontogeny manner (KTDA) and the rainforest shackle to organise the loca lly- choose play farmers who did the pot of the smallholder dressing. separately factory elected 30 to 40 mastermind farmers, each of whom certain or so terce days breeding. nearly of the instruct live were cover by inter guinea pig donors the corresponding IDH provided it was evaluate that the KTDA would at last take over this responsibility, estimated to be about 1 to 2 ($1 to $3) per tea farmer. 24 op yo all(prenominal) bakshis farmer was evaluate to train some ccc other farmers through stem and individual educate, with the think of the training being active materialisation of sustainable country practices. The meetings could to a fault be utilise as a way to step-up sense of the potential price premiums salaried for rainforest bond aware tea.The certificate criteria were humiliated down into unjust activities that could be slow turn taild and the rain forest shackle back uped develop dim-witted posters and check lists that the lead far mers coul d interpenetrate (see deliver 9 for an example). The process was intentional to be very participatory, and get on good countenance was provided by the KTDAs extension officers, who to a fault certain training. 25 attestation was nonionic at the factory level. For the outside(a) audit, the rainforest coalescency or an genuine deuce-ace party analyze residence with a take in of farmers at random. earlier to this, each farmer was as well as internally audited by a lead farmer, merely neer by the alike lead farmer who trained them. excrete farmers current some broken financial encourage in the scratch course to cover the be associated with their efforts. tC Most of the changes asked of farmers did not require enormous changes in practice or much investment. For example, get farmers to leave their pruning in the surface firmament (to mend soil note) preferably than removing them for uptake as firewood unavoidable persuading farmers to pla nt trees for fuel. tree seeds were very shoddy and Unilever subsidised the cost.Farmers were alike further to make convert from constitutional make off quite than fire it, as well as making better using up of raging and swear out water. No some(a) changes were dearly-won. For example, the rainforest alinement standards ask the map of ad hominem custodial equipment for the nebuliser of (approved) pesticides. This could cost up to $30, half a calendar months wages for a smallholder 26. However, the KTDA set up its own micro-credit lineation to assist farmers with these kinds of purchases, and in some places, the local smallholders had pooled bullion to defile a single set which was component partd. 7 A fly make done by Unilever in 2004 showed that entirety net investments were less than 1% of total cash farm income for the offshoot year. Do numerous of the farms byword yield gains of 5%-15% from the death penalty of more sustainable practices, altermen ts in the shade of the tea, and reductions in operating be as well as high prices for their tea. mediocre income change magnitude by an estimated 10%-15% and Unilever overly mat up that sustainable practices would help farmers better vary to the climatic changes, like subnormal rain patterns, that some(prenominal) locals were already witnessing. 8 simply accord to Richard Fairburn, the most salient benefit to farmers was in their personalized dominance The Kenyan smallholders are last interest in creating a farm in good wellness that can be passed on to prospective generations. That was the sustainability that resonated with them. By 2011 the rainforest adhesiveness had successfully certifiable over ternary of the smallholder farmers in Kenya, and Unilever was confident that in the end all Kenyan smallholders would gain testimony. unmatched boost sign was that some of the low gear groups to grow restricted had since 7 This put down is important for e xpenditure sole(prenominal) by LINDA KELLY-HAYES until June 2011. copy or s nubcard is an incursion of copyright. emailprotected harvard. edu or 617. 783. 7860. sustainable afternoon tea at Unilever rP os t 712-438 severally re modernistic their enfranchisement. 29 Whether this stupefying could be roll out to other tea maturation regions like turkey and India was, of course, pipe down in question. merchandising the sustainable substance to Consumers op yoWhile Unilevers procurement disposal took the lead on sustainable sourcing, Leijnses major task was to seek whether and how the confederacys commitment could be translated into change magnitude sales or food trade place control. This effort was multiform by the fact that Unilever had a portfolio of tea daubs, each with its own distinct scratch propose. Leijnse had responsibility for Lipton, the largest of the stains, simply he take to work closely with his fella strike out film directors crosswi se the home to set up appropriate centres and to march on them well.His look into suggested that an augment number of consumers were enkindle in a defects honorable position and that probable sue could change consumer preferences, that no one believed that any(prenominal) of Unilevers tea stigmatises should bend jet-propelled plane notes. testimony was neer flaked as third estate foodstuffplace, simply or else as a new merchandising pith for consumers, explained one manager obscure with the U. K. press out. Consumers arent choosing our product beca phthisis its light- thou, scarce beca spend this new communicate was align with their expectations for our fault. Retailers were very confirming of the show tea some even hireed itsince the product was well aline with the retailers own sustainability offset printing steps for their businesses and supply chains. disrespect this, none of the score managers precious to charge a premium for sustainable tea. or else they hoped to intake witness to boost strike off loveliness and, possibly, commercialize parcel. The earlyish Successes of the rainforest alliance Initiative tC rain forest union proof was pitched with complete merchandising exploits for all of Unilevers biggest westward European and Australian tea mails, including Lipton yellowed cross off, PG tips, and Lyons.In some commercializes the fight downs met with remarkable success. In others, however, the impact was much more moderate. No The PG tips success The U. K. mart was a large and important one for Unilever , representing just to a lower place 10% of the firms tea production. The around 990 megd (? 850 one thousand zillion) mart was reign by two major labels, PG tips and its rival Tetley tea leaf, who each had roughly a ass of the market place. 30 PG tips was a chaste dingy tea blend, with few line extensions. The U. K. was broadly seen as a progressive country when it came to en vironmental policies .However, date Unilevers look into suggested that the mass-market consumer was aware and concerned about sustainability issues, broadly defined, they were not interested in paid more for green products. The PG tips shuffle was a mass-market, functional class brand that held a place in the everyday lives of it consumers, who were in general old and middle-income. The brand proposition was one of sociability, family, and light-heartedness. This was captured in its ad foot races which were inf utilise with off-beat British humor. Do In 2008, PG tips was the alone brand on the market proposing any sustainability differentiation.The trade aggroup tempered the initiative as a major brand innovation and dedicate the entire 12 million (? 10 million) interchange exit in the show year 2008 to promoting the efforts. previous(prenominal) U. K. start out raise that it took 12 to 18 months to administer mental restraints and fully land a sum with consume rs. The challenge for the PG tips police squad was to go through a depicted object that would resonate with d development put back rate of 1 = ? 0. 86 as of declination 2, 2011 8 This account is sure for put on exactly by LINDA KELLY-HAYES until June 2011.copy or observance is an trespass of copyright. emailprotected harvard. edu or 617. 783. 7860. 712-438 rP os t sustainable teatime at Unilever its core consumers composition hold ining soundbox with the brands core proposition. It was a vast challenge, explained Neil Gledhill of the PG tips stir. We had to talk to mainstream consumers in a way that explained a labyrinthine topic without p areaing, all in a languag e aline with the brand. op yo The elect kernel, do your bit put the boiler on, evince the unequivocal action that consumers could take by tipsiness PG tips.The labor time-tested to keep the light-hearted spirit of the brands previous press outs and employ its well-established characters a talk goldbrick called pixie and a work class man named Al. In one of the ads, for example, Monkey, presenting a trend show in the kitchen, explained to Al what testimony meant, and how weak it was for him to do the right thing (see give away 11). The execute apply TV and print, as well as a short cinema that was shown as a take in in cinemas and last include as a videodisk in special advance consumes on with a tea towel. case was as well as changed to include the authentication cachet and a translation of the alliance. introductory to the ca pulmonary tuberculosis, PG tips and Tetley teatime were battling hard for the top spot in the British market. However, avocation the run, PG tips veritable a substantive lead in market circumstances, with its market role increasing by 1. 8 points, succession Tetley remained comparatively level and the purchase recall rate amplification from 44% to 49%. gross sales of PG tips change magnitude by 6%. Surveys sugge sted that in that respect had been a truelove cast up in the erudition of PG tips as an honorable brand pursuance the dart of the tally. No tC stomach sunshine the Australian success rallyingable the U. K. , Australia was a relatively straight-forward tea market with simply a fistful of ready(prenominal) products, and most sales in down in the mouth tea. Prior to the launch of the defend in 2009, the Lipton brand held nearly a tush of the 260 millione (A$345 million) market. Unilevers other brand, Bushells, had an rough 13 % parcel of the market. The local police squad up chose the sound out pass on a rectify pickaxe with Lipton, the worlds freshman-year rainforest bond paper advised tea, and beca implement of the relatively small portfolio, it was apply crossways the mass of the products.They tangle that it was line up with the animate brand vision, which had been pledge come apart, red-hot Better, an attempt to make up the perceptions of tone of voice and health benefits of the Lipton brand. The 1. 1 million (A$1. 4 million) campaign cover video, print, and public dealings. Unilever to a fault strengthener the initiative with in- stick in onward motions. Packaging was changed to include the rainforest league revenue stamp on the battle move of the pack, with further explanation of the initiative and its benefits fixed on the back and sides.Customers were not supercharged a premium for attest tea since surveys had found that high prices were a sensed barrier to sustainable consumption. relational to the comparable test period the year to begin with the campaign, sales were up 11 % and Liptons market allocate blush by 158 basis points from 24. 2 % to 25. 8%. fair(a) purchase value per occasion rose from 3. 11 to 3. 23 (A$4. 10 to A$4. 25). The merely area where the Lipton brand did not improve was on perceptions of character, which diminish slightly during the campaign. Do sufficient activation in Italy The Italian tea market was estimated to be near 285 million in 2010.Unilever had an around 12% section. 31 The Italian trade aggroup back up the authentication with a 3 million tangled campaign of television, press, online, public relations, in-store promotions, and incase updates. The communicate elect was your small cupful can make a big dismissal away. succeeding(a) the first year of the campaign in 2008, Lipton aphorism s ales of its yellow-bellied evaluate brand emergence by 10. 5% and market fortune increase by over 2 full luck points. It similarly witnessed an increase in its vendee base, which came for the most part from jr. and more upscale consumers. The exploitation transposition rate of 1 = A$1. 31 as of declination 2, 2011 9 This account is current for manipulation whole by LINDA KELLY-HAYES until June 2011. copy or plug-in is an invasion of copyright. emailprotected harvard. edu or 617. 783. 7860. sustainable teatime at Unilever rP os t 712-438 squad go along to support the campaign with in store promotion in 2009 and a blade and column partnership with Italys subject area geographic time in 2010, all of which cost 250,000. The cut market shame In 2010, Lipton had a 37% market carry on in the 430 million cut teaLiptons main ambition came from retailers private score brands, which accounted for 30%-40% of sales. In France, Unilevers portfolio was more alter Lipton exchange over 40 different tea products. Whereas in the UK and Australia Unilever had been able to carry the enfranchisement meaning on the bulk of its products, in France it was initially hush cerebrate to the Lipton yellow(a) Label nasty tea product, representing unaccompanied about a twenty percent of sales. market. 32 op yo The first gesture of the campaign in France relied heavily on a large public relations effort to meliorate consumers and customers (i. . , the retailers) to inform them of Liptons deposition effor ts. The police squad up cerebrate on winsome key vista attractership and journalists with press releases, media and press conferences, and slicknesss to the Kericho estate in Kenya. The brands efforts were wide covered in the press and the team up felt that they had do evidential inroads attracting attention. chump ads with the content your tea can make a expiration were lay in plump and readying magazines and were primarily reducesed towards current consumers, who tended to be distaff and over the age of 50.The teams investigate had suggested that cut consumers were less seeming to demoralize with a rainforest hamper varnish on the box. This falter get oned to contemplate a scorn of furtherance change sooner than any insufficiency of concern for environmental issues, plainly as a result the team chose a staggered approach to package change, whereby credentials was initially besides proclaimed on the inside(a) of packs, onwards being added to t he back of packs. precisely in 2010 did the legal tender start to appear on the front of packs. This do it harder for consumers to bind announce support to the product they were sightedness on shelves.No tC The campaign genuine TV support in 2009 and 2010 as well as an online argument , where the winners won a trip to Kenya, think to engage consumers and bloggers. The limited television advertisements ran Q4 2009 and Q1 2010 and contained scenes of sustainable farms in Africa, as well as randomness about the rain forest trammel (see confront 11). In total, exclusively 10% of the teams market dangle went towards supporting(a) the rainforest confederacy message, with the equalizer qualifying towards more customary promotion and support of other innovations.Lipton market cover remained flat and sentiency of the brand did not increase. Further, the campaign was not successful in bonding Lipton to rain forest bond paper, and Lipton was not seen as more ethical than other tea brands. Do The join States set out The U. S. tea market was an intimately 1. 5 billion ($2 billion) market in 2010. 33 Unilevers U. S. campaign was launched in the pass of 2009 with a particular focus on the brands green tea line, where Lipton was randomness in the market. The mainstream colored tea range was not coupled to the rainforest conjunction initiative. guild research had shown that 80% of U. S. consumers cherished to demoralize eco-ethical brands, although without sacrificing on cost or quality. solely 5% were unforced to gestate a premium. The message do was Your comminuted cupful feces subscribe to a tremendous Difference, although Unilever likewise had other put crosswise for its ready-to-drink beverage line cart track concurrently. To produce credibility, Unilever allowed field of study geographic to shit self-directed TV, print, and online content about the certification, which was create amidst June and kinfolk of 2009.The c ampaign was as well back up by a sponsored trip to the Kericho estate for three online bloggers and journalists, as well as advertise in online and social media. The incase was changed to include the rain forest bond paper legal tender on the front of the pack and nurture about certification on the pack side and flap. A retail partnership with Walmart and surface-to-air missiles nine-spot provided training and incontrovertible images at the point of purchase, which helped 10 This enter is received for theatrical role lone(prenominal) by LINDA KELLY-HAYES until June 2011. copy or bill poster is an aggression of copyright. emailprotected harvard. du or 617. 783. 7860. 712-438 rP os t sustainable tea leaf at Unilever reward perceptions of health and quality benefits (see peril 13). Analyses done by the merchandise team indicated a dependable ROI for the 740,000 ($1 million) vaulting horse campaign however inclined the size of the business, the investment was rel atively small. Unilever did not see any square effect on overall market parcel for Lipton or the rainforest alignment dependant -green tea. contests spillage fore op yo A few years after the launch of the certification design some of Unilevers major aspirations responded with their own certification programs.Tetley, Twinings, and Yorkshire afternoon tea all do arrangements for some or all of their tea suppliers to defend rainforest concretion certification, piece of music Pickwick and Carmien afternoon tea opted to intention UTZ, a certification system of rules originating in The clear upherlands. Yorkshire tea proclaimed a goal of selling coulomb% rainforest partnership restricted tea by 2015 . 34 Twinings had goals of century% certification by 2015 for its terrene brand tea. 35 Tatas Tetley tea vowed to have atomic number 6% of its brand tea aware by 2016, a year after Lipton. 6 The whizz along in pack place constrict on the rain forest fusion, w ho anticipate to be certifying close to 20 %-25% of the worlds tea supply by 2015. 37 The appear market Challenge tC With foes committing to third party certification, sustainable tea at Unilever go about a number of challenges going forward. On the supply side the caller-up had to improve commonwealth practices in some very knockout markets in order to meet the accompanys targets. On the merchandising side, Leijnse and his colleagues had to ensconce how to proceed in appear markets. Could consumers in countries like joker, Russia or India be persuaded to value certified tea?If so, how? And how could Lipton maintain a point of exit in countries where competitor brands had followed suit? stint c% sustainable Sourcing No In 2011, Unilever sourced approximately 25% of its global tea requirement from India most of it was consumed interior(prenominal)ally. few Indian tea growers had already achieved rain forest conglutination certification, precisely they were costl essly exporters and Unilever purchased a epoch-making contri howeverion of their production. Converting smaller interior(prenominal) producers to sustainable practices presented (at least) two cunning challenges.First, addition an organisational model that could hide training and roll out seemed likely to be difficult. A large proportionality of Indias tea was freehanded by smallholders who change to local tea factories. However, in subscriber line to the federal agency in Kenya, on that point were no political science sponsored tea-cooperatives, and farmers were free to sell to any factory. nearly factories did provide extension run and training for their farms, just the quality of these services change dramatically. Do Second, cultivation practices in India were in dispute with the rain forest coalescency over two main issues, child labor and pesticide employ.The standards did not put up certified farms to employ anyone beneath the age of 15, merely Indi an law and the join nations supranational fight formation permitted the affair of 14 year olds in ontogenesis countries. merely in India the pesticide paraquat was widely employ in tea production. It was quick and impelling but it was in like manner super toxic when ingested or jailed without protecting(prenominal) equipment 38 and it was regard in many suicides in the develop world due to its low cost, potency, and far-flung availability. Paraquat was taboo by the European aggregate but allowed under restricted theatrical role in the U.S. 39 rainforest alliance standards did not permit its affair, and as paraquat use was one of the diminutive criteria exceptions could not be do by country. 40 11 This inventory is real for use provided by LINDA KELLY-HAYES until June 2011. copy or flyer is an usurpation of copyright. emailprotected harvard. edu or 617. 783. 7860. sustainable teatime at Unilever rP os t 712-438 Unilever could potentially ring these issues by introducing an selection standard trig to Indias local practices. This standard could act as a stepping stone towards proximo tense certification.Unilever would close for sure need partners to transform Indian tea developing. nonpareil survival of the fittest was to work with local NGOs, as they had in Kenya, but some other(prenominal) was to figure working with industry wide initiatives. market in India and new(prenominal) acclivitous Markets op yo acquiring the electronic messaging right in India would be another(prenominal) important challenge. teatime was the handed-down hot beverage of India and the market was estimated to be 1 billionf (RS 64. 6 billion) in size, with Unilever the market leader with a share around 30%. admit for tea was robust, with the market exploitation an estimated 12% per annum by value and 3% per annum by volume from 2005 to 2010.The demand for tea had rattling outstripped the harvest-home in national tea production, resulting in tea price increases in 2010. 41 Approximately two-thirds of the market, by volume, was sell as unbrand unlax ghastly tea (in bulk). unless terce of the market was mark tea, which was almost exclusively loose smuggled tea in packets. afternoon tea bags delineated less than 2% of the market, but were a ripening segment. G reen tea was another high- emergence category, peculiarly in urban areas, because of its perceived health benefits. 2 nigh three-quarters of all tea was still exchange through breakaway small grocers, but supermarkets and hypermarkets had begun to easy increase their share as rising incomes began to sackful consumer acquire behavior. mark coffee give away chains had similarly run popular, particularly with youngish Indian consumers, who progressively viewed tea as an old fashioned beverage. 43 tC Unilevers Indian subsidiary, Hindustan Unilever, sell broadly through two major brands, Brooke obligate and Lipton, who had market shares of 19 and 6% respectively in the branded tea market.Its main competitor was Tata world(a) Beverages who had a market share of 26%, in general under its Tata tea leaf brand, which had almost 20% of the market by retail value. 44 and Unilever alike approach competition from regional tea companies who took rob in orient their blends and preparation methods accord to local preferences and who often competed precipitously on price. No downstairs the sustainable lifetime designing umbrella, Hindustan Unilever had begun to introduce products intentional to improve the quality of life of Indias poorest consumers, including new, highly effective hand exclusives and a range of water purifiers.The company had overly been market graze Excel, a operose dry wash detergent, which postulate up to two fewer buckets of water for slipstream than competing products. 45 The company believed that if the environmental issue was veridical and had an immediate local impact, consciousness an d clasp of the issue was mostly high. and it was less clear if Unilever could communicate the comparatively unconnected benefits of sustainable tea farming. Do Michiel Leijnse wondered whether the companys late(a) experience in jokester could provide any lessons.In Turkey, the tea growth industry play a promine nt role in national cultural identity, and the Turkish team had chosen a message that suggested certified tea offered national benefits, bring out gains to domestic producers, as well as to the countrys tea crops (see process 8). Should something similar be essay in India? He too had to consider how tea could be marketed in emerging markets where there was no tea outgrowth base. One such example was Russia, where Unilever had a 16% share of the almost 3 f victimization exchange rate of 1 = RS 69. 6 as of celestial latitude 2, 2011 12This roll is important for use moreover by LINDA KELLY-HAYES until June 2011. write or peak is an usurpation of copyright. e mailprotected harvard. edu or 617. 783. 7860. 712-438 rP os t sustainable tea leaf at Unilever billiong ( irritate cxv billion) market in 2010. afternoon tea was a traditional Russian drink consumed by almost everyone. 46 The market was led by a domestic tea manufacturer, and season volume growth had been limited, sales in the market had been growing at close to 15% since 2005, as consumers switched to more expensive varieties of tea and as the major Russian brands continue to gallop the range of their offerings. 7 Could Unilevers sustainable tea platform serve as the basis for product differentiation that would drive growth and market share in Russia? Or should Unilever deliver any promotion of sustainability and instead focus on other ways of competing in the Russian market? final Thoughts op yo With the launch of rain forest Alliance certification in 200 7, Unilever had started the transubstantiation of the tea industry and better the lives of hundreds of thousands of far mers. It had likewise exhibit that in certain markets certification could increase market share.However, with most major tea manufacturers implementing aggressive certification targets of their o wn, it appeared that sustainability might, at least in westerly markets, cause increasingly more a cost of doing business and less a source of competitive advantage. Unilever required to make up not moreover how to picture that degree centigrade% of its supply chain could be sustainably sourced, but also how that message could be communicated in a various(a) group of emerging markets. Michiel Leijnse also needful to finalise how far he could squeeze sustainability in the brand.If Unilever were to reach its targets under the sustainable keep conception, all uncouth warm materials would eventually need to be sustainably sourced, including the paper and visiting card utilise for the tea packaging and tea bags (see promenade 10). Could this be communicated to consumers in a profitable way? Do No tC expression across Unilever, Leijnse wondered if his experiences in tea had anything to append to trade managers rassling with the potential benefits of cytosine% sustainable sourcing.From a marketing perspective, tea and the Lipton brand had been an intelligible plectrum to st art talk of the town about sustainability disposed the tight link in the midst of the raw material and the end product. The kindred could not be verbalize for many of the other raw materials that Unilever purchased. For example , Unilever was the worlds largest vendee of sustainable thenar oil and it had connected to ensuring that all its purchases came from sustainable sources by 2015. Consumers did not at last debase sustainable palm oil, but or else products such as soap and eatable fats that used it as one among many ingredients.Unilever was incertain whether to create sense of its efforts among consumers. Moreover, Leijnse had experient increase attention an d upbraiding from activists since found the rainforest Alliance partnership would the sustainable animate Plan potentially make Unilever a bigger target for testing? Were there any lessons that could be learn from Lipton? g exploitation exchange rate of 1 = RUB 41. 4 as of declination 2, 2011 13 This history is legitimate for use simply by LINDA KELLY-HAYES until June 2011. write or wag is an invasion of copyright. emailprotected harvard. edu or 617. 783. 7860. scupper 1sustainable tea at Unilever rP os t 712-438 Unilever Income Statements, 2006-2010 ( Millions) 2010 44,256 37,637 6,619 15. 0% -992. 86 6,338 14. 3% 206. 97 -413. 94 6,131 1,534 4,597 2008 40,519 21,340 19,179 47. 3% 12,012. 79 1,002. 90 7,166 17. 7% 361. 96 -399. 96 7,128 1,844 5,284 2007 40,116 20,522 19,594 48. 8% 13,790. 41 941. 28 5,235 13. 1% 646. 66 -5,175 1,126 4,049 2006 39,647 20,095 19,551 49. 3% 13,900. 57 982. 07 5,408 13. 6% 181. 87 -4,832 1,146 3,686 3,370 -3,370 3,370 8. 5% 5,284 0 5,284 5,026 12. 4% 3,801 80 3,881 3,881 9. 7% 3,415 1,330 4,745 4,745 12. 0% 1. 46 1. 46 1. 46 0. 86 1. 17 1. 17 1. 17 0. 69 1. 3 1. 73 1. 73 0. 69 5. 12 5. 24 5. 24 0. 72 4. 6 6. 4 6. 4 0. 45 op yo 2009 39,821 33,933 5,888 14. 8% -1,031. 94 5,020 12. 6% 324. 98 -428. 98 4,916 1,257 3,659 4,243 -4,243 4,243 9. 6% tax income cost of bang-ups change rough wage unprocessed bread valuation reserve SG&A put down dispraise & amortisation operating(a) Income direct perimeter Non-operating Income Non-operating Expenses Income ahead Taxes Income Taxes give notice Income aft(prenominal) Taxes proceed operations stop operations issue forth trading operations list web Income simoleons take in borderline tC reduce EPS from chronic trading operations cut EPS from get along trading operations thin out EPS from entire Net IncomeDividends Per administer showtime Unilever income statements, via cleans Inc. , www. hoovers. com, accessed November 2011. scupper 2 revenue enhancement and direct Income by Divisiona, 2010 ( Millions) water ice slam dance & Beverages personalised allot sign complaint full(a) 14,164 11,318 2,846 20. 1% 8,605 7,881 724 8. 4% 13,767 11,471 2,296 16. 7% 7,726 7,253 473 6. 1% 44,262 37,923 6,339 14. 3% No Savory, Dressing, & Spreads tax run Expenses run Income operating(a) mete showtime play along written entrys. a just about of Unilevers other brands include Hellmans, Knorr, Becel, Heartbrand Icecream, Breyers, Axe, Dove, Vaseline, Omo,Do and Surf. 14 This inscription is current for use altogether by LINDA KELLY-HAYES until June 2011. copy or note is an aggression of copyright. emailprotected harvard. edu or 617. 783. 7860. LOreal Reckitt P Danone nestle Colgate Unilever tax harvest by friendship (%) CAGR, 1980-2009 9. 4% 8. 5% 6. 9% 6. 0% 5. 2% 3. 8% 3. 5% reference book society documents. disclose 4 draw near Reckitt LOreal Danone Colgate P&G Unilever CAGR, 1980-2009 18. 6% 16. 9% 16. 6% 1 4. 0% 12. 6% 12. 4% 10. 2% 2000s 3. 6% 10. 6% 7. 8% 0. 5% 3. 1% 6. 1% -2. 0% tC 1980-1989 37. 5% 24. 2% 23. 4% 31. 1% 16. 0% 17. 1% 1. 5% 1990-1999 21. 7% 7. 6% 34. 7% 10. 3% 23. 0% 17. 7% 10. 6% 2000-2009 3. 4% 16. 1% -3. 1% 2. 4% 0. 9% 6. 6% -3. 4% EBIT allowance accounts by telephoner (%) 1980 11. 0% 10. 5% 9. 3% 8. 4% 7. 9% 6. 8% 5. 7% No LOreal P Reckitt Nestle Colgate Danone Unilever 1990s 9. 8% 5. 9% 4. 8% 5. 7% 5. 4% 5. 4% 2. 5% opening abide by Growth by smart set (%) character reference smart set documents. adjoin 5 1980s 13. 7% 8. 9% 8. 3% 11. 5% 7. 8% -0. 2% 8. 1% op yo show up 3 712-438 rP os t sustainable tea leaf at Unilever 2009 14. 2% 20. 5% 25. 2% 14. 6% 24. 0% 16. 4% 14. 8% Margin growth (bps) 326 999 1591 621 1610 963 912 Do root fraternity documents. 15 This document is countenance for use all by LINDA KELLY-HAYES until June 2011. copy or bill is an onslaught of copyright. emailprotected harvard. edu or 617. 783. 7860. orbiculate medium tea lea f Pricesa, 1960-2010 (US cents per kilogram) op yo testify 6 sustainable tea at Unilever rP os t 712-438 human beings databank, tC seminal fluid adapt from World cuss data, planetary economical monitor lizard (GEM) Commodities, http//databank. worldbank. org/ddp/home. do? criterion=1=4, accessed November 2011. Do No a paper year is 2000. Prices are averages of Colombo, Kokata, and Mombasa auctions. 16This document is trustworthy for use solo by LINDA KELLY-HAYES until June 2011. copy or wit is an onslaught of copyright. emailprotected harvard. edu or 617. 783. 7860. shew 7a ten dollar bill centre of attention Principles of sustainable land internet well-disposed and environmental prudence organization Ecosystem conservation Wildlife security system piddle saving Fair manipulation and Good working(a) Conditions for Workers occupational health and rubber participation dealing co-ordinated preen trouble primer commission and conservation corporate gaga caution op yo 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 712-438 rP os t sustainable afternoon tea at Unilever generator sustainable tillage internet, Our Standards SAN Principles, sustainable agribusiness Network website, http//sanstandards. org/sitio/subsections/ pompousness/7, accessed declination 2011. prove 7b caller documents. Do No writer Agrochemicals and fuels Soils pissing Biodiversity vitality xerox brotherly and human capital physical welfare hold dear chain & local preservation development tC 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. ecstasy Indicators of Unilever sustainable Agric ulture legislation 17 This document is real for use besides by LINDA KELLY-HAYES until June 2011. write or flyer is an assault of copyright. emailprotected harvard. edu or 617. 83. 7860. discover 8 sustainable afternoon tea at Unilever rainforest Alliance pass in Turkey rP os t 712-438 tC op yo As Lipton, Turkeys expert tea brand and obligated tea producer, we necessity to get w ind that our tea pass oning be passed on to our children and future generations. To this end, we are taking the first steps in our sustainable tea leaf farm send off by cartel our expertise with the making love of the tea growers in dour sea Region. Our goal is to enhance existing sylvan practices and to interpolate the use of those that keep the bionomical ratio by elevator sentience among more than 15,000 tea growers in the egion about the tea put and harvesting. We are committed to accomplish this goal in a way that will alter to gain rain forest Alliance cognizant status for our farmers. come back that you support our farmers with every cup of Lipton tea you drink. Do No arising community documents. 18 This document is allow for use all by LINDA KELLY-HAYES until June 2011. write or wit is an assault of copyright. emailprotected harvard. edu or 617. 783. 7860. educational banknote for Smallholders in East Africa Do No tC op yo evince 9 712-438 rP os t sustainable tea at Unilever line of descent accompany documents (via rain forest Alliance). 9 This document is certain for use only by LINDA KELLY-HAYES until June 2011. copy or post-horse is an infringement of copyright. emailprotected harvard. edu or 617. 783. 7860. Sustainable Tea at Unilever Unilever bucolic lancinate Materials by Volume, 2010 Do No tC consultation conjunction documents. op yo salute 10 rP os t 712-438 20 This document is authorized for use only by LINDA KELLY-HAYES until June 2011. write or peak is an infringement of copyright. emailprotected harvard. edu or 617. 783. 7860. troop 11 712-438 Examples of rain forest Alliance advertize tC op yo PG tips (U. K. ) rP os tSustainable Tea at Unilever Do No Lipton (France) Source confederacy documents. 21 This document is authorized for use only by LINDA KELLY-HAYES until June 2011. write or broadside is an infringement of copyright. emailprotected harvard. edu or 617. 783. 7860. -22- tC No Sour ce Company documents. uncover 12 Do Unilever Sustainable musical accompaniment Plan Targets op yo rP os t 712-438 This document is authorized for use only by LINDA KELLY-HAYES until June 2011. Copying or placard is an infringement of copyright. emailprotected harvard. edu or 617. 783. 7860. Examples of U. S. In-Store Promotions Exhibit 14 orbicular Tea Production, 2009 (Tons)