Identify the major strategic and ethical issues faced by Colgate in its partnership with Hawley and Hazel. Answer:
Colgate face some strategic and ethical issue in its partnership with Hawley and Hazel. Those are given below: Strategic issue :
1. Colgate had no right to make decision in management which called management prerogative. 2. African black offence it’s product because of brand name and logo promote racism. 3. Overcome bad image because of marketing a toothpaste accused of racism. Ethical issue :
1. Colgate want to take step but because of agreement with Hawley and Hazel, it couldn’t do anything. 2. It offense it’s loyal customer in home country.
What do you think Colgate should have done to handle the situation? Answer
The major problem was “Colgate’s support to Darkie” was sullying its goodwill and home market was slowing down´. More adverse situation was that Colgate had no right to make decisions. So, Colgate might have adopted some initiatives to keep its image safe within domestic market. I think Colgate should have done some steps to handle these situation as I. Colgate should take step by taking control in management. II. It can change it’s product name and logo.
III. When making a brand name and logo, it should consider all demographic, political and others factor which can influence in Colgate marketing. IV. It should take step, which don’t violate trade mark law.
Is it possible for Colgate and Hawley and Hazel to change the toothpaste's advertising without sacrificing consumer brand loyalty? Is that a possible reason for Colgate's not responding quickly to domestic complaints?