Modern slavery, GVCs and decolonisation in supply chains Flashcards
Modern slavery
Definition: Modern slavery refers to the exploitation of individuals who cannot leave or refuse their circumstances due to threats, violence, coercion, or abuse of power.
Key Characteristics:
- Scale: 40.3 million victims in 2016 (Walk Free, 2018).
- Victim Demographics: One in 130 women and girls are in modern slavery.
- Industries: Found in agriculture, domestic work, fashion, and food services.
- Hidden Crime: Often invisible in global supply chains.
Economic Impact:
- $127.7 billion worth of garments in G20 supply chains involve risks of modern slavery.
Moral Dimension:
- Exploitation involves dehumanizing individuals into tools of profit.
Key Takeaway: Modern slavery persists as a hidden element of global commerce, requiring action across corporate, governmental, and consumer levels.
Supply Chain Complexity
Definition: Globalization has led to increasingly complex supply chains, where goods pass through multiple countries and systems before reaching consumers.
Key Challenges: (Kaplinsky, 2000)
1. Outsourcing & Offshoring: Shifting production to low-cost regions often results in weaker oversight.
2. Race to the Bottom: Companies compete by lowering wages and standards to cut costs.
3. Disconnection: Consumers are far removed from production, reducing awareness of exploitation.
Consequences:
- Longer supply chains make it easier to hide unethical practices such as child labor and forced labor.
- Lack of transparency diminishes accountability.
Key Takeaway: Ethical marketing must focus on improving transparency and accountability in supply chains.
Consumer Rationalisation for Unethical Consumption
Definition: Consumers justify their choices despite being aware of unethical practices in supply chains.
Rationalization Strategies (Carrington et al., 2021):
- Denial of Responsibility: Blaming governments or corporations instead of individual action.
- Denial of Victim: Believing exploited workers are complicit in their situation.
- Denial of Injury: Minimizing the harm caused by unethical production.
- Legitimation Techniques: Using cost-benefit analysis to justify exploitation (e.g., affordability trumps morality).
- Othering: Distancing oneself from the victims by emphasizing cultural or geographical differences.
- Ethical Overwhelm: Feeling powerless to make a difference due to the complexity of global systems.
Key insight (Stringer et al., 2021)
- Modern slavery is often viewed as a distant issue, reducing consumers’ sense of moral responsibility
Key Takeaway: Marketing strategies must address these rationalizations to encourage ethical consumer behavior.
Harm Chain Framework
Definition: A framework to analyze harm across the marketing process and identify solutions.
Four Stages: (Carrigan et al., 2013)
1. Pre-Production: Resource extraction and sourcing of labor (e.g., mining, farming).
2. Production: Manufacturing and assembly, often involving unsafe working conditions.
3. Consumption: The marketing and purchasing of goods, where consumers may remain unaware of exploitation.
4. Post-Consumption: Disposal and environmental impact.
Stakeholders Addressed:
- Who is harmed? Workers, local communities, ecosystems.
- Who causes harm? Companies, consumers, governments.
- Who can address harm? NGOs, ethical businesses, consumers, policymakers.
Key Takeaway: This framework provides a holistic view of where harm occurs in supply chains and how it can be mitigated.
Ethical Certifications and initiatives
Definition:
Programmes designed to verify and promote ethical and sustainable practices in global supply chains
Examples:
B-Corp Certification:
- Evaluates environmental and social impact.
- Ensures accountability to all stakeholders.
- Promotes transparency through public reports.
Fair Trade Certification:
- Guarantees fair wages, safe working conditions, and no child labor.
- Focuses on empowering marginalized producers.
Ethical Trading Initiative (ETI):
- Alliance of companies, NGOs, and trade unions.
- Enforces codes of practice, including living wages and safe conditions.
Impact on Marketing:
- Certifications build trust with consumers and signal corporate responsibility.
Key Takeaway: Certifications empower businesses and consumers to make ethical choices while holding supply chains accountable.
Blue Empire Case Study: Salmon Farming
Focus: Ethical concerns in Norway’s salmon farming industry, the world’s largest producer.
Key Ethical Issues:
- Resource Depletion: Wild fish from food-insecure nations (e.g., Senegal) used to feed farmed salmon.
- Food Imperialism: Resources taken from the Global South to meet the demand of wealthier nations.
- Human Impact: Estimated loss of food resources that could have fed 2.5–4 million people annually.
Conclusion: Practices labeled as “nutrient colonialism” exacerbate global inequalities.
Key Takeaway: Ethical marketing must address the socio-economic impacts of supply chain decisions on vulnerable populations.
The challenges of ethical supply chains
Definition: Factors that complicate the adoption of ethical practices in global commerce.
Key Challenges:
- Complexity: Long, multi-tiered supply chains are difficult to monitor.
- Corporate Power: Large corporations wield disproportionate influence, often prioritizing profits over ethics.
- Compliance Issues: Codes of conduct are often poorly enforced.
- Consumer Demand: Ethical goods may face limited demand due to higher costs or lack of awareness.
Key Takeaway: Overcoming these challenges requires collaboration between businesses, governments, NGOs, and consumers.
Modern slavery and marketing
Definition:
Definition: The intersection of exploitative labor practices and global marketing systems.
Key Insights:
- Scale: More enslaved people exist now than at any time in history (ILO, 2017).
- Industries Involved: Fashion, agriculture, nail bars, food services.
- Drivers: Global inequalities and corporate practices that prioritize cost-cutting.
Responsibility for Change:
- Companies: Adopt transparent practices and enforce ethical audits.
- Governments: Strengthen labor laws and enforce compliance.
- Consumers: Demand and support ethically sourced products.
Key Takeaway: Addressing modern slavery requires systemic change across all levels of the supply chain.