Consumer BoycottsSlide 2Slide 3Slide 4Three characteristics of consumer boycottsTypes of BoycottsSlide 7Slide 8Slide 9Slide 10Consumer Economic BoycottsOther goalsHistorically noteworthy boycotts: 1. NestleSlide 142. Apartheid in South AfricaSlide 16Slide 173. Grape boycottSlide 19Are boycotts effective?Slide 21Ongoing boycottsConsumer Consumer BoycottsBoycotts““An attempt by one or more parties An attempt by one or more parties to achieve certain objectives by to achieve certain objectives by urging individual consumers to urging individual consumers to refrain from making selected refrain from making selected purchases in the marketplace”purchases in the marketplace”For many years Irish peasants were For many years Irish peasants were mistreated by their British landlordsmistreated by their British landlordsCharles Cunningham BoycottCharles Cunningham Boycott1880 Boycott evicted tenant farmers1880 Boycott evicted tenant farmersTenants convinced Boycott’s Tenants convinced Boycott’s employees to desert himemployees to desert him““Boycotts are as American as apple pie.”Boycotts are as American as apple pie.”1765 Stamp Act led to boycotts of British 1765 Stamp Act led to boycotts of British goods in Boston, New York, Philadelphiagoods in Boston, New York, Philadelphia•Act repealed a year laterAct repealed a year laterGerman goods boycotted by American German goods boycotted by American Jewish community in 1930’s and 1940’sJewish community in 1930’s and 1940’sAlabama bus boycott organized by Martin Alabama bus boycott organized by Martin Luther King was defining moment of civil Luther King was defining moment of civil rights movementrights movementThree characteristics of consumer Three characteristics of consumer boycottsboycotts1.1.Focus on individual consumers rather Focus on individual consumers rather than organizational entitiesthan organizational entities2.2.Attempts to use marketplace means to Attempts to use marketplace means to secure what may or may not be secure what may or may not be marketplace endsmarketplace endsLower prices/higher quality goodsLower prices/higher quality goodsEnvironmental/other social goalsEnvironmental/other social goals3.3.Emphasis on urging consumers to Emphasis on urging consumers to withdraw selectively from participation withdraw selectively from participation in marketplacein marketplaceTypes of BoycottsTypes of BoycottsCommodity boycotts Commodity boycotts vs. vs. Brand-name or single-firm boycottsBrand-name or single-firm boycottsComplete boycott Complete boycott vs. vs. Partial boycottPartial boycottNegative boycott Negative boycott vs. vs. Positive boycottPositive boycott•whitelistwhitelist•buycottbuycott•girlcottgirlcott•procottprocott•anti-boycottanti-boycott•reverse boycottreverse boycottInstrumental boycottInstrumental boycottvs.vs.Expressive boycottExpressive boycott•“Buy Nothing Day”“Buy Nothing Day”•TV TurnofTV TurnofNon-surrogate boycottsNon-surrogate boycottsvs.vs.Surrogate boycottsSurrogate boycotts•Travel boycottsTravel boycotts•Headquarters boycottsHeadquarters boycottsPrimary boycottPrimary boycottvs.vs.Secondary boycottSecondary boycottConsumer Economic BoycottsConsumer Economic Boycotts1.1.Failure to lower prices beyond term of Failure to lower prices beyond term of boycottboycott2.2.Lack of leadershipLack of leadership3.3.Prices more stable todayPrices more stable today4.4.Staples being replaced by convenience Staples being replaced by convenience foods and meals away from homefoods and meals away from home5.5.Dual incomes reduce impact of price Dual incomes reduce impact of price increases on quality of lifeincreases on quality of lifeOther goalsOther goals1.1.EnvironmentalEnvironmental2.2.LaborLabor3.3.Animal rightsAnimal rightsAnimal testing/cosmetics & drugsAnimal testing/cosmetics & drugsTreatment of food animalsTreatment of food animals4.4.Other socialOther social•HealthHealth•CommunityCommunity5.5.PoliticalPoliticalHistorically noteworthy boycotts: Historically noteworthy boycotts: 1. Nestle1. Nestleprovides information to mothers which provides information to mothers which promotes artificial infant feeding and promotes artificial infant feeding and discourages breastfeeding discourages breastfeeding donates free samples and supplies to health donates free samples and supplies to health facilities to encourage artificial infant feeding facilities to encourage artificial infant feeding gives inducements to health workers for gives inducements to health workers for promoting its products promoting its products does not provide clear warnings on labels of does not provide clear warnings on labels of benefits of breastfeeding and dangers of benefits of breastfeeding and dangers of artificial feedingartificial feeding•In some cases labels are in a language that In some cases labels are in a language that mothers are unlikely to understand mothers are unlikely to understandUNICEF: in areas with unsafe water, bottle-UNICEF: in areas with unsafe water, bottle-fed baby 25 times more likely to die from fed baby 25 times more likely to die from diarrhea than breastfed one diarrhea than breastfed one Expense of baby milks afects all family Expense of baby milks afects all family members family, impoverishing those members family, impoverishing those already pooralready poorIn developing world formula is over-diluted In developing world formula is over-diluted to make it last longerto make it last longer•can cause malnutritioncan cause malnutritionUNICEF: 1.5 million infants die annually UNICEF: 1.5 million infants die annually because they are not breastfed because they are not breastfed2. Apartheid in South Africa2. Apartheid in South AfricaSullivan PrinciplesSullivan PrinciplesProhibited GM from following Prohibited GM from following apartheid lawsapartheid lawsRequired non-segregation in Required non-segregation in company operationscompany operationsRequired equal pay for equal work Required equal pay for equal work regardless of raceregardless of raceBy 1986 172 of 280 American By 1986 172 of 280 American companies in South Africa had signed companies in South Africa had signed agreementagreement1987 Sullivan declared experiment a 1987 Sullivan declared experiment a failure and called for withdrawal from failure and called for withdrawal