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The purpose of the report is to determine whether Fonterra is operatingas a social responsible company from the perspectives of independentoutsiders The analysis is undertaken of the praises and criticismsretrieved from popular business press in terms of corporate socialresponsibility CSR To begin with Fonterra has experienced threemajor production quality issues in the last five years among whichFonterra has been blamed to be irresponsible for late disclosure andambiguous explanation To the credit the initiatives of self-exposureand precautious recalls which have been commended to be responsiblebehaviours As for being responsible to environment the press approvesFonterra signs Clean Streams Accord refuses to collect milk fromfarmers who fail to abide by the effluent rules plants trees BesidesFonterra implements every year every farm assisting farmers updatinginfrastructure with 1million donation which reflects theresponsibility to its imperative stakeholders However the praise isaccompanied by cynicism due to the large data discrepancy betweenFonterra and MAF Fonterra tends ignore the integrity of farmers inorder to maximise the production but at the expense of environmentdeterioration which is regarded as an unethical behaviour Moreoverapplying for extension of discharge in Mangatainoka River which has beenheavily polluted by Fonterra frustrates the public Finally it isundeniable that Milk in School makes a great contribution to thesociety The press thinks highly of this programme though it is notentirely altruistic Some agree it is rather like a successfulbranding-oriented strategic philanthropy which boosts the sales both inthe short run and long run Others suggest it is a defensive CSR as itcools the public sentiment from the rising price and the previous Sanluscandal By and large it must be stressed out that the responsibilityFonterra has assumed prevails over the trouble it has causedIntroductionDuring the years Fonterra has been consolidating its status as thedominance milk exporter which suggests Fonterra is of paramountimportance to New Zealand economy Accordingly Fonterra has theobligation to shoulder greater social responsibility as New Zealandimage spokesman Currently since companies and the press areincreasingly interrelated and interdependent the perception andattitude of well-known press
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