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P5DMALK12-1

Case Study

A beauty product manufacturer has been using palm oil in its lipsticks for the last couple of years, but have been made aware of the following report from the World Wildlife Fund: ‘Large areas of tropical forests and other ecosystems with high conservation values have been cleared to make room for vast monoculture oil palm plantations – destroying critical habitat for many endangered species, including rhinos, elephants and tigers. In some cases, the expansion of plantations has led to the eviction of forest-dwelling peoples.’ Following the publication of the report, there is growing pressure on companies who use this oil to take action and support solutions to the problem. Source: WWF
  1. What are the additional environmental and social impacts of palm oil demand on society?
  2. What solutions could this company engage in and support? What are other companies doing about it?
  3. Which stakeholders would be applying pressure to the company in this scenario? Can you foresee any conflicts of interest should the company decide to take action?
It is rare that there is just one way to respond to a scenario or situation, so do not consider that the response you have chosen to this scenario will be judged as right or wrong. Share your scenario with a work colleague and ask them to tell you if they think you have responded appropriately. Ask them to challenge your response if necessary. You do not need to submit this task for assessment unless asked to do so by your tutor.