Social responsibility strategies of japan tobacco inc

Japan Tobacco Inc (JT) is an international manufacturer company of tobacco in Japan. Their headquarter is in Geneva. They are always focusing on “ Reduced-Risk Products(RRP)” that are products with the potential to reduce the risks associated with smoking, (JT, 2018) and doing expected corporate citizenship. JT strives to achieve the social right and civil right of the local community. For the social right, they launched the Agricultural Labor Practices(ALP), contracted tobacco growers for freedom of association, fair treatment, safe working conditions, working hours, and provision against forced labour, as well as prohibit child labour. (JT, 2017) For example, they would provide training and communications materials to suppliers and selected suppliers which are willing to comply with ALP program.

Finally, they would provide the feedback to suppliers and suggest improvement. Moreover, they organized a charity group to commit their responsibility in environmental impact, calling “ JT Forest program”. For the civil right, they have made the JT Group Human Rights Policy, which aims forfollows or open and constructive relations with trade unions and works for councils and are supportive of freedom of association and the right to collective bargaining. (JT, 2016) Therefore, they set up some employee-related policies and standards to govern the responsibility of labour practices such as non-discrimination. In fact, JT is managing the social right of local communities. Protecting workers and the environment are the responsibilities of local government rather than a foreign company. According to the above case, the JT company were government to ensure the social right of local communities in that countries by providing education and guide directly. JT can have the benefits to take over these responsibilities.

Firstly, JP can improve their company negative image. As an international manufacturer of tobacco, their image normally relates to “ harmful” and “ envy”. Because tobacco resulted in the highly addictive psychoactive ingredient, nicotine. (W. H. O. , 2017)And it increases the number of chronic diseases such as cancer. Therefore, the company can develop their image not only concern on getting more profit but also consider the need of society. Secondly, they can increase the productivity by improving their quality of life. It is a reputation when workers can be working in a company, which is a positive image, expected salary and welfare. Due to prevent termination of the contract, an employee would enhance their abilities such as performance.

However, JT also has the harm to take over these responsibilities. Firstly, the revenues would be decreased by taking these actions. The expense of these actions is one of the portions from profit. Once there is affecting the profit, the company may fail the investment from stakeholders. Otherwise, they need to raise the price and the customers may blame it. Secondly, if JT stops taking these responsibilities or worse actions from public expectation, people would think that the company just achieve the purpose of bolstering instead of sincerely helping. As a result, they have the risk to lose their reputation and support from the customers and investors. Therefore, JT has to keep maintaining these actions under public stress.