Strategic Management Journal, Forthcoming
19 Pages Posted: 24 Jan 2007
According to the 'doing well by doing good' proposition, firms have a corporate social responsibility to achieve some larger social goals, and can do so without a financial sacrifice. This paper empirically examines this proposition by studying in depth the case of 'Fair & Lovely,' a skin whitening cream, marketed by Unilever in many countries in Asia and Africa, and, in particular, India. Fair & Lovely is indeed doing well; it is a profitable and fast growing brand. It is, however, not doing good, and I demonstrate its negative implications for public welfare. I conclude with thoughts on how to reconcile this divergence between private profits and public welfare.
Keywords: Corporate social responsibility, bottom of the pyramid
JEL Classification: M14
Suggested Citation: Suggested Citation
Karnani, Aneel G., Doing Well By Doing Good - Case Study: 'Fair & Lovely' Whitening Cream. Ross School of Business Working Paper No. 1063; Strategic Management Journal, Forthcoming. Available at SSRN: https://ssrn.com/abstract=958087
By Erica Field