Monday, September 27, 2010

Corporate Irresponsibility


In 2005 one of the worlds Top fashion designers Hermes made themselves a public example of Corporate irresponsibility. In one of their Paris stores they denied entrance to the richest African-American women in the world Oprah Winfrey. Not only did the particular employees destroy their employment with the company, they caused a public worldwide uproar over the incident. When asked about the situation, one of the employees responded, “I just didn’t know who she was” as if knowing Oprah’s celebrity was the real issue.

What made this incident a corporate problem for the company is not that the associates did not recognize Oprah Winfrey, but that the root of the problem was obviously racism. No matter what country a company is based in discrimination based on race, religion or any personal profile is frowned upon in a business aspect. Studies show that Consumers are more likely to purchase from companies that practice ethical behavior. Denying one of the most powerful African-American women in the world entrance to a store Makes Hermes a prime example of a company that had its share of corporate irresponsibility.

1 comment:

  1. Good blog so far. I would add more pictures of watches. People who like watches love to look at them.
    93%

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