What Action Should Ikea Take Regarding Rangan Export

What long-term strategy would you suggest she take regarding IKEA’s continued operation in India? Should the company stay or should it ixi? (Discuss the impact of your decision and how you would manage it.) * IKEA set up a list of ideas as of where they wanted their company to improve in. Included in this list was “working with suppliers” as well as “transport and distribution.” Greater monitoring, meetings at the place of production, and reports should be a mandatory concept that is stated within the contract between IKEA and the supplier. 'Independent monitoring is a critical element of an overall system of improving labor practices,'' * Community initiative program to bring up the child issue publicly among suppliers * IKEA to theoretically have direct control over the situation; it will not have to adhere to the terms and provisions of Rugmark’s program and it will not have to rely on the accuracy of Rugmark’s certification 1. if child labor is found taken place, supplier has to implement a corrective action plan. If corrective action is not implemented within the agreed time-frame, or if repeated violations occur, IKEA will terminate all business with the supplier concerned. 2. The corrective action plan shall take the child’s best interests into consideration, i.e. family and social situation and level of education. Care shall be taken not merely to move child labour from one supplier’s workplace to another, but to enable more viable and sustainable alternatives for the child’s development. 3. A complete solution must also address “the root causes such as debt, poverty, lack of access to education, disability and ill health.” * All suppliers are obliged to keep IKEA informed at all times about all places of production (including their sub-contractors). Any undisclosed production centres found would constitute a violation of this code of conduct. 1. IKEA has reserved the right to make unannounced visits at any time to all