Operating in armed conflict - A case study of Nestle in Colombia

Abstract

Businesses and corporations have positively influenced and brou- ght opportunities for excluded populations. However, they have also negatively impacted the communities and territories where they operate. Many multinational corporations have incorporated so- cial responsibility (CSR) programs in order to acquire legitimacy and to meet human rights expectations of the host country’s constituen- cies. Nevertheless, to genuinely respect human rights corporations, it is necessary to go beyond the CSR approaches and address the impact they generate with their operations. Porter & Kramer developed the concept of shared value, arguing that corporations can improve their competitiveness and, at same time, advance the economic and social conditions in the communities where they operate. Through Nestlé’s example in Colombia, this article aims at illustrating how the concept of shared value can work to bring social benefits to excluded populations in a developing country, as well as how it falls short in other human rights challenges that businesses face, specially in situations of armed conflict. It also aims at evidencing some ways in which businesses can overcome these human rights challenges that cannot be addressed by the concept of shared value.