About Lesson
Background:
In recent years, the African market has seen a surge in the number of new businesses, both local and international. One of the most notable entrants is the mobile phone brand, “AfriMobile.”
The Challenge:
AfriMobile entered the African market with the promise of affordable smartphones tailored to the African demographic. However, they faced significant challenges:
- A majority of the components for their phones were sourced from conflict regions, leading to concerns about the ethical implications associated with “conflict minerals.”
- Their marketing campaigns heavily featured non-African models, leading to accusations of not being representative or inclusive of the local demographic.
- There were reports of the company collecting and selling user data without explicit consent, raising privacy concerns.
Actions Taken:
- Code of Ethics: AfriMobile developed a strict code of ethics and ensured that all employees, especially those in the marketing division, underwent rigorous training.
- Stakeholder Engagement: The company organized town halls in major African cities to understand the concerns and expectations of the local demographic.
- Transparency: AfriMobile revamped its supply chain, ensuring that all components were ethically sourced, and provided transparent reports about their sourcing and production.
- Localization of Marketing Campaigns: They restructured their marketing campaign to better represent the local demographic, hiring local models and influencers.
- Consumer Privacy: AfriMobile introduced clear terms and conditions about data usage and ensured that users had the option to opt-out.
Outcome:
AfriMobile saw a significant boost in its sales after these changes. Their commitment to ethical and social responsibilities not only improved their brand image but also resonated with the local consumer base, building trust and loyalty.
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