Hershey hopes its commitment to spend $500 million dollars through 2030 to promote the sustainable sourcing of cocoa will sweeten its image with consumers and help improve the productivity of small farmers in Ghana and the Ivory Coast.
This is in line with with similar moves to source sustainably by companies ranging from Starbucks to Unilever. Last year, Hershey bought more than 75 percent of its cocoa from certified and sustainable sources, and it’s on track to move that to 100 percent by 2020.
This post is based on the Bloomberg article, Hershey To Spend $500 Million Making More Sustainable Kisses, by Marvin G. Perez and Emily Chasen, April 3, 2018. Image sources: CHOATphotographer/Shutterstock and Shutterstock / Christopher S. Howeth.
1. What is driving the changes towards sustainable sourcing at companies like Hershey and Starbucks?
Guidance: More and more, consumers prefer to do business with companies that practice sustainable sourcing of supplies and ethical treatment of workers. In addition, leadership in many companies also hold these same values themselves. Thus, from an operations standpoint, having a low cost strategy may take a back seat to a strategy which includes the sustainable Continue reading