corporate social responsibility

Author Eric Schlosser editorializes about "the growing threat to civil liberties posed by corporate spying," citing Burger King Corporation's spying on the Student/Farmworker Alliance and the Coalition of Immokalee Workers, through Cara Schaffer and her private security firm, Diplomatic Tactical Services. "The Bill of Rights was adopted to protect Americans from the abusive power of their government. I’ve come to believe that we now need a similar set of restrictions to defend against irresponsible corporate power. Today companies like Wal-Mart and ExxonMobil have annual revenues larger than the entire budgets of some states, and they employ former agents from the F.B.I., the C.I.A. and the Secret Service to do security work," Schlosser writes. "John Chidsey, the chief executive of Burger King, knew about the use of Diplomatic Tactical Services. Mr. Chidsey should get a chance to raise his right hand and tell members of Congress why he thinks this sort of behavior is acceptable." Meanwhile, Burger King says it is "investigating online postings made by one of its vice presidents vilifying the Coalition of Immokalee Workers," reports the Fort Myers News-Press.

The ad that got Shell in troubleBritish consumers are mad, and they aren't going to take it anymore. In its annual report, the advertising watchdog organization Advertising Standards Agency (ASA) recorded more than four times as many complaints against corporations for greenwashing in 2007 as in the previous year. "The ASA has already censured several high-profile companies including Suzuki, Shell, Ryanair and Toyota for the practice of 'greenwash' -- where companies are found to have misled consumers on their environmental practices as a business or of the particular benefits of a product or service." The Shell ad that caused concern featured a graphic of a refinery that spewed flowers from its smokestacks. The communications firm Futerra also released a report, using in part the ASA findings, that found that the auto and energy industries were those most likely to receive complaints. The Futerra agency also published a greenwash guide, with tips on how to spot the tactic in action. The list includes fluffy language, a green product vs. a dirty company, suggestive pictures, and what they call "best in a bad class" as warning signs.

A recent Wall Street Journal editorial claimed that a landmark environmental liability case against Chevron was being judged by "Ecuador's kangaroo courts." Ecuador's Ambassador to the U.S., Luis Gallegos, responded that Chevron had filed 10 affidavits before U.S. federal judges "praising the fairness of Ecuador's court system," in order to get the case out of U.S. courts. "Happily, its PR efforts have been frustrated by the fact that Ecuador no longer has 'banana republic' institutions that can be controlled through extrajudicial pressure," he wrote. When the two Ecuadorians leading the legal case against Chevron were awarded the Goldman Environmental Prize, the company turned to crisis management adviser Sam Singer for advice. Chevron's counter-attack included a San Francisco Chronicle opinion column. Chevron's ham-handed PR inspired cartoonist Mark Fiore to satirize the company's "Human Energy" campaign.

Amy Bennett Williams, following up on her previous article reports, "As the Coalition of Immokalee Workers prepares to deliver more than 60,000 petitions to Burger King headquarters in Miami today, the daughter of Burger King's vice-president Stephen Grover confirmed her father is responsible for online postings vilifying the coalition. The Immokalee-based group is asking Burger King to improve tomato harvesters' working conditions and pay a penny more a pound for tomatoes, which could add about $20 to a daily wage of $50, workers say. ... [O]ften during the past year, when articles or videos about the coalition were posted on YouTube and various Internet news sites, someone using the online names activist2008 or surfxaholic36 would attach comments coalition member Greg Asbed has called 'libelous.' ... [E]arlier this year the alliance had been infiltrated by Cara Schaffer, who said she was a student at Broward Community College interested in organizing campus events in support of farmworkers. In reality, Schaffer owns Diplomatic Tactical Services, a Hollywood, Fla.-based security and investigative firm that advertises its ability to place operatives in the ranks of target groups."

Plastic bag wasteThe Progressive Bag Alliance, the American Chemistry Council and Wal-Mart Stores were among the parties who successfully lobbied Democratic Pennsylvania State Representative Lisa Bennington to weaken a bill she introduced that would have phased out the use of non-biodegradable plastic bags at large grocery stores. The business and industry groups convinced the legislator to water down her bill, so that retailers are only required to offer bag recycling programs. The change fits a lobbying strategy used repeatedly by the Progressive Bag Alliance, a front group for plastics and polymer manufacturers. Wal-Mart quietly lobbied against this bill while greening up its public image. The giant retailer announced new "Earth-friendly" products like organic disposable baby wipes, and ran "Earth Month" TV ads featuring people standing in forests, grassy fields and by streams, while promoting Wal-Mart products.

Listen to this week's edition of the "Weekly Radio Spin," the Center for Media and Democracy's audio report on the stories behind the news. This week, we look at how Barbie celebrates Earth Day, why Freedom's Watch is under scrutiny, and how some environmental groups could think giving "clean coal" a closer look makes sense. In "Six Degrees of Spin and Fakin'," we run down Merck's long history of using spin to counter their Vioxx scandal. The Weekly Radio Spin is freely available for personal and broadcast use. Podcasters can subscribe to the XML feed on www.prwatch.org/audio or via iTunes. If you air the Weekly Radio Spin on your radio station, please email us at editor@prwatch.org to let us know. Thanks!

Fear-driven marketing gets resultsThe Second Circuit of the United States Court of Appeals missed a great opportunity this week to hold the tobacco industry accountable for one of its worst marketing tactics -- positioning cigarette brands in response to smokers' medical concerns. The April 7, 2008, issue of the New York Times has an article about the dismissal of a huge, class-action lawsuit against the tobacco industry that was brought by smokers of "light" cigarettes who claimed they were misled about the relative safety of "light" cigarettes compared to regular, "full flavor" cigarettes. The suit, and its dismissal by the court, brought to mind a little-recognized tobacco industry marketing survival tactic that weighs heavily on the public's perception of exactly what "light" means.

The tobacco industry has long had a remarkable ability to rescue itself from damaging health claims by turning allegations against its products into marketing opportunities. Inside the industry, the fact that cigarettes cause widespread illness and death is referred to as the "smoking and health" issue, or "S&H issue" for short. Tobacco marketers consider "S&H issues" to be little more than "external marketing forces" that require re-positioning of products, through changes in advertising copy strategy, so that smokers will get an illusion of safety from the dangers they perceive.

The latest green marketing study from Nielsen Online "calls greenwashing a 'failed corporate strategy' and urges brands to aim for transparency and consistency instead. 'Bloggers are quick to condemn greenwashing when they suspect companies misrepresent their environmental impact with aggressive PR campaigns -- as spurious attempts to be green,' according to Sustainability Through the Eyes and Megaphones of the Blogosphere. ... Jessica Hogue, research director at Nielsen Online and author of the report, called bloggers a highly skeptical consumer group."

Medicines Australia (MA), the peak drug industry lobby group, has unveiled details of how much its 42 member companies (and one non-member) spent in the last half of 2007 on each one of over 14,000 events that were designed to promote their drugs to doctors. In a backgrounder, MA claimed that under its self-regulatory code of conduct "the provision of lavish hospitality is banned." (The actual provision sets no thresholds for what constitutes "lavish" hospitality.) However, buried in the hundreds of pages of the reports are unprecedented details of expensive drug industry events. Roche spent $A511,791 on a three-day hepatitis symposium attended by 337 specialists at Melbourne's Grand Hyatt hotel. AstraZeneca forked out over $A514,000 for a weekend seminar at Crown Casino in Melbourne that was attended by 220 gastroenterologists and Pfizer spent $A340,000 on a cardiovascular forum for 220 specialists.

The oil giant BP has spent hundreds of millions of dollars on PR, greenwashing its image to be perceived as better than Exxon, Shell and others. But "a recent change in corporate policy threatens that green-friendly image," reports Michael Moreci. That change is BP's full-throttle attempt to mine oil from vast areas of tar sands in the Canadian wilderness, an especially destructive way to produce fossil fuel. "Tar sands extraction isn't just another hurdle for environmentalists to combat. It merely reveals a simple truth: when it comes to 'being green,' even the most publicly boastful of the oil corporations -- such as BP -- will keep their promises only as far as their bottom line allows."