Guest lecture given to Contemporary Issues in Business students at the University of Huddersfield

1. Ethical Supermarkets,
are we nearly there yet?
Ethical Supermarkets - are we nearly there yet?
are we nearly there yet?
University of Huddersfield
Contemporary Issues in Business
14 March 2016
Simon Robinson
Ethical Consumer Research AssociationEthical Consumer Research Association

2. • Ethical Consumer - what we do
What I'm covering today
• Ethical Consumer - what we do
• Defining ethics
• Supermarket policies
• Regulation
• Environmental Management
• Supply Chains
• Ethical market growth• Ethical market growth
• The future
• Resources + subscription offer

3. About Ethical Consumer
For over 25 years Ethical Consumer has been the
heart of the ethical consumer movement.
Our mission is to make global business more
sustainable through consumer pressure.sustainable through consumer pressure.
Ethical Consumer Research Association is an
independent, not-for-profit, multi-stakeholder
co-operative based in Manchester.

4. Magazine

5. Magazine

6. Online

7. Campaigns

8. The Ethical Market
The Ethical Consumer MarketsThe Ethical Consumer Markets
Report has measured the sales of
ethical products in the UK every
year since 1999.
It also contains survey data asking
consumers about their boycottconsumers about their boycott
and other ethical behaviours.

9. Best Buy Label
Our best buy label is the
last word on ethical
labelling, making it evenlabelling, making it even
easier to find the products
and services that reflect
your principles.
Looks in detail at the
ethical record of theethical record of the
company behind the
product and the
environmental and ethical
record of the product itself.

10. Consultancy

11. How do we define what is ethical?
Our Ethical RatingsOur Ethical Ratings
• Environment
• Human Rights
• Animal Rights
• Politics
• Product Sustainability• Product Sustainability

12. Cocoa

13. Cotton

14. Agro-chemicals

15. Conflict minerals (electronics)

16. Electronics Assembly

17. Palm Oil (food, cosmetics, cleaners)

18. Oil

19. Oil

20. Clothing

21. Cosmetics

22. Supermarkets

23. Supermarket Share
Tesco
Aldi
Lidl
Other
Tesco
Morrisons
Co-op
Waitrose
Aldi
Asda
Sainsbury's
Morrisons
@ Sept 2014

24. Ethical Ratings 2015

25. Ethical Trading Policies

26. Policy initiatives on sustainable sourcing, ethical
trading and putting our customers first
• Animal Welfare
Policies
• Animal Welfare
• Beef
• Factories that work with Tesco in Bangladesh
• Fairtrade
• Genetic Modification
• IT Security and Data Protection
• Our Ethical Trading Approach
• Our Trading Responsibly Report 2014
• Palm Oil
• Political Donations
We want to be a zero-carbon
business by 2050 and to use
scarce resources responsibly,
including in our supply chain.
• Political Donations
• Product Safety
• Religious Slaughter
• Seafood
• Soy
• Timber
• Whistleblowing
• Carbon Footprint Assurance
Statement
• Our Carbon Footprint
• Our Distribution F Plan
• Recycling in the UK

27. Regulation
In January 2016, the Groceries Code Adjudicator found
that Tesco plc has breached the Groceries Supplythat Tesco plc has breached the Groceries Supply
Code of Practice (the Code) in respect of Paragraph 5:
No delay in payments.
Five recommendations:
• Money owed to suppliers for goods supplied must be
paid in accordance with the terms for payment
agreed between Tesco and the supplier.
• Tesco must not make unilateral deductions.
• Data input errors identified by suppliers must be
resolved promptly.resolved promptly.
• Tesco must provide transparency and clarity in its
dealings with suppliers.
• Tesco finance teams and buyers must be trained in
the findings from this investigation.

28. Environmental Management

29. Environmental Management

30. Environmental Management

31. Environmental Management

32. Supply Chain: Bananas
Sainsbury's Advert 2013

33. Supply Chain: Bananas
ECRA research 2014

34. Bananas: NGO / Consumer action

35. Supply Chain: Milk
22 Aug 20156 Aug 2015 12 Aug 2015
‘Tesco, Sainsbury’s and a few others already pay a bit more than the cost of production.’
The Economist

36. Supply Chain: Animal Welfare

37. Supply Chain: meat / eggs

38. Supply Chain: Clothing

39. US President Benjamin Harrison, 1891
“I pity the man who wants
a coat so cheap that the
man or woman who
produces the cloth or
shapes it into a garmentshapes it into a garment
will starve in the process”

40. Measuring UK ethical markets

41. The Future – politics and regulation
• Consumers are acting to address issues (like child labour) that
could also be addressed by government regulation.could also be addressed by government regulation.
• Globalisation of markets can make regulation technically
difficult.
• Some academics are now using the expression 'civil regulation'
to describe these types of ethical consumer intervention.
• Civil regulation is likely to increase if government regulation is
not addressing important social and environmental externalitiesnot addressing important social and environmental externalities
• Some academics also use the expression 'political consumption'
• They argue that this form of political activity is increasing
because ordinary electoral politics is discredited or struggling.

42. The Future – ethical markets
In 25 Years Time in Europe
• All businesses will be required by law to report on, and articulate,
their ethical positions.
• 'Ethically' certified produce will have come to dominate all major
consumer markets – including clothing.
• Political campaigning and debate will increasing focus on the
certification schemes themselves.
• Serious ethical procurement by governments will become part of
the landscape everywhere.the landscape everywhere.
• Sustainable lifestyles with fewer, higher-quality, products and
ubiquitous renewable energy will be the norm.

43. Subscription Offer
Student Subscription offer:
16 months for price of 12
(worth £10)(worth £10)
for online orders: type the
offer code ‘Student 2016’ into the
Where did you hear about us? field.

44. Guide to Supermarkets
Further Reading
Guide to Supermarkets
Ethical Consumer 152
Jan/Feb 2016
Download from:
bit.ly/225nRNK

45. Further information
www.ethicalconsumer.org
0161 226 2929
enquries@ethicalconsumer.org
@EC_magazine@EC_magazine