Product Red

1. Discuss the four components of corporate social responsibility and how they relate to a charitable campaign such as (Product) RED. (Product) RED shows their corporate social responsibility by engaging different companies that have products that “we” as the consumers use every day. Also, by engaging a great cause as the Global Fund to fight HIV/AIDS in Africa shows they are making an effort to society to fight this devastating disease. (Product) RED showed their ethical and moral responsibility to the companies by keep purpose of the campaign as the most important reason than who and how the products were made.

As long as the product was being made within the legal terms of the law, then many people tend to contribute. Oprah’s, was wearing an “INSP(RED)” Gap T-shirt and she proclaimed, ” I am wearing the most important T-shirt I’ve ever worn in my life” (82). One of the stories that really touched my heart was “Motselisi ” in their website (http://www. joinRED. com/results) it explained how her life was saved within a 3 month period with a lifesaving antiretroviral treatment.

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How does participation in a cause-marketing event contribute to a company’s social responsibility? This company shows their participation in a cause-marketing event as the core values for this campaign and that not only the companies but the consumers can contribute to the cause to fight HIV/AIDS. Bono and Bobby Shriver, came up with a product that showed that companies could still make money and contribute to a great cause. What role does sustainability play? Sustainability plays a great role in this cause-marketing event.

According to VP of marketing, Julia Cordua, states that “Bono and Bobby Shriver did not want a one-time event, they wanted a five to ten years of ongoing donations” “GAP initially offer RED to give 100 percent of its profits to the cause, but Bono and Shriver refused to accept more than 50 percent” (83). The purpose of only accepting 50 percent is that they want companies making money of the campaign. 2. Do you think that a partnership with (Product) RED can improve Gap’s image? Yes I believe that a partnership with (Product) RED may help improve Gap’s image.

They treat the campaign as a real business and they spend millions in marketing and which they have seen results. Is it a sign that they are making a commitment to corporate social responsibility or do you agree with critics who say their involvement is an attempt to spit-shine the company’s image while continuing to do business as usual? I think that it is a sign that they are making a commitment to corporate social responsibility because many companies would not spend millions of dollars on a cause-marketing campaign.

Yes many critics think that by getting involved they are deviating from the other issues that the company is facing. 3. Describe the various types of technology that have contributed to the media coverage, marketing efforts, and public discussion on RED campaign. Many of the media coverage have been through exposure by Oprah teaming up with Bono and walking down the Chicago’s Magnificent Mile together in 2006. It was a shopping trip that was seen around the world and it attracted mobs of fans through the TV, radio http://www. oprah. com/style/Oprah-and-Bono-Shop-RED.

Many of the marketing efforts have been through companies that licensed the RED brand and created products for the charity. Several companies were, Apple, which made a limited edition iPod Nano, Motorola, which made the Motorazr phone, Emporio Armani, designed a special RED capsule collection for the London Fashion Week, and Converse designed a line of RED shoes to be sold at Gap Stores (82). (Product)RED has its own website which gives you the list of the companies and their contributors of this campaign. They clearly explain the purpose of the campaign for such a cause.

Their website allows you to see what the campaign has been doing with the contributions and how its helping the people of Africa. It give the opportunity to the consumers to blog and ask questions and express how they feel. 4. A year after (Product)RED’s launch, Ad Age reported that although $100 million had been spent on marketing the campaign, only about $25 million had gone to the charity itself. Industry observers speculated that this could trigger a backlash against the campaign. Do you believe the criticism is justified?

Do you think the campaign could lose supporters as a result? Yes I believe that the criticism is justified. If we are spending millions of dollars and have only seen the a percentage of the money going towards the charity then a question could be raised. Where is all the money going? As a supporter I would like to know that my hard earned money is going towards the great cause and not into someone who already has millions. It leads little to be desired if you feel that we are contributing partially to the cause and we could be contributing more.

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(Product)RED© 2012 (RED), a division of The ONE Campaign. All Rights Reserved.. February 23, 2013

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