PETA influencing companies’ strategiesStrategic ManagementPresented by: Daria ChizhovaProfessor: Pablo Hafner

PETA

People for the Ethical Treatment of Animals (PETA)

American animal rights organization based in Norfolk, Virginia and led by Ingrid Newkirk, its international president

It claims to be the largest animal rights group in the world

Its slogan is "animals are not ours to eat, wear, experiment on, or use for entertainment

PETA

Founded in March 1980 by Newkirk and animal rights activist Alex Pacheco

Their main activities are opposition to factory farming, fur farming, animal testing, and animals in entertainment

It also campaigns against fishing, the killing of animals regarded as pests, the keeping of chained backyard dogs, cock fighting, dog fighting, and bullfighting

PETA

A non-profit corporation with 300 employees and two million members and supporters

Many Hollywood starts and celebrities are the members of PETA using their popularity to promote PETA’s campaigns

h

hbg

PETAThere are few way PETA is

influencing companies’ strategies (or at least it tries):

PETA Strategy 1

PETA has been buying companies’ shares for seven years

Now, PETA has the influence in more than 80 companies to improve the company’s animal welfare policies The first strategy is negotiating with decision makers But if it’s fail, then they will try to propose at shareholder

meetings

The struggles are not going through the easy way but those efforts have paid off: companies like Ruby Tuesday and even Burger King have asked their suppliers to follow more humane rules than before

PETA Strategy 1Example

PETA holds 101 shares of Merck

The group is accusing the company of wrongfully denying its request to include a resolution in the proxy materials that calls on Merck to disclose use of animal testing in in-house and contracted research

PETA is asking the court to force Merck to include its resolution in the proxy materials for the meeting, or else compel Merck to hold a special meeting to present PETA’s resolution to other shareholders

PETA Strategy 2

Aggressive media campaigns, combined with a solid base of celebrity support

Fast food companies such as KFC, Wendy's, and Burger King have been targeted

In the animal-testing industry, PETA's consumer boycotts have focused on Avon, Benetton, Bristol-Myers-Squibb, Chesebrough-Pond's, Dow Chemical, General Motors

Etc…

PETA Strategy 2Works

The campaigns have delivered results for PETA:

McDonald's and Wendy's introduced vegetarian options after PETA targeted them

Petco stopped selling some exotic pets

Polo Ralph Lauren said it would no longer use fur

Avon, Estee Lauder, Benetton, and Tonka Toy Co. all stopped testing products on animals

Pentagon stopped shooting pigs and goats in wounds tests and a slaughterhouse in Texas was closed down

PETA Strategy 2Example

Aramark - food and clothing provider to hospitals, schools, national and state parks, and even Major League Baseball stadiums, it serves more than 2 billion meals every year in 22 countries

Company has recently decided to stop selling foie gras after viewing PETA’s exposé on the foie gras manufacturing process

They've already swayed British retailers Selfridges and Harvey Nichols to be kind to waterfowl

PETA currently has an anti-foie gras campaign directed at Fortnum & Mason, a British department, they agreed to stop selling duck foie gras, but has thus far refused to stop serving goose liver

Sources Used

http://en.wikipedia.org/wiki/PETA

http://www.30green.com/corporate-social-responsibility/peta-hopes-to-change-the-minds-of-corporate-buying-stocks

http://www.peta.org/b/thepetafiles/default.aspx

http://legaltimes.typepad.com/blt/2011/04/peta-seeking-court-order-for-inclusion-in-merck-shareholder-meeting-.html

http://news.change.org/stories/peta-convinces-food-service-giant-to-stop-selling-foie-gras

http://www.youtube.com/watch?v=BAzrSl0ztsQ

Thanks for Your

Attention!