Ethical values in SodaStream brand development Case Study 2022

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Ethical Values And CSR; SodaStream Case Scenario 1
ETHICAL VALUES AND CSR; SODASTREAM CASE SCENARIO
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Ethical Values And CSR; SodaStream Case Scenario 2
Ethical values in SodaStream brand development.
SodaStream is an Israeli company that produces carbonation systems. The case study
used in this enlightens on the role of the CEO, Mr. Daniel Birnbaum, regarding his activism and
various forms of criticism about the company's CSR. In understanding the ethical role in brand
development, it is paramount to highlight that; ethical branding mostly revolves around ensuring
the company value and practices involved in the production of consumer products must uphold
the social-moral standards. Therefore, the product design and overall implication on the
consumer and environment should be desirable (Fan 2005, pg. 333).
In the Soda stream case, the company’s history indicates its diversity in the marketing
approach of their product. However, the original objective of the company products was to
enhance the ability for an individual's access to healthy soda and eco-friendly product design.
The production of the first machines in 1955 developed the market to Australia, New Zealand,
and Germany besides its originality in the UK.
In ethical branding, environmental impact awareness is among the vital aspects.
Similarly, Soda Stream has used its focus on ecological attractiveness as critical practice in its
product creation and service delivery to promote its brand development. For instance, most of the
Company's brand marketing and CSR activities concerning environmental consideration have
included; facilitating waste reduction initiatives, cleaning beaches, and planting trees (Singh and
Batista-Fogue 2012, pg.547).
Moreover, other practices by the company include the use of tap water and returnable gas
holders. Basing on the fact that 130 billion bottles are disposed to the environment every year
plus the un-recycled containers up to 333 billion, the ideological practice and perception of the
home carbonation systems by the company to reduce the waste have continuously worked as

Ethical Values And CSR; SodaStream Case Scenario 3
impetus factor for the brand development. An environment conscious countries like Sweden, the
use of such packaging waste reduction measures provided by the carbonation systems are widely
adopted by households.
At the brink of Birnbaum's tenure, the company's west bank branch was growing its
operational capacity. Since then, the decision to hire Palestinians and harmoniously using Arab
and Jews in the workforce created a bridging role for the brand. The social position of the
company developed the brand.
How the company’s profile and history influence its social activism role.
Social activism in the current society has been in high demand. For instance, the role
involves overwatch and enhancement of social well-being. Moreover, the ideology also exists in
social, political, and even environmental aspects. For SodaStream, the operational scale of the
company has led to the diversification of production facilities. Among the numerous branches of
the company, the West bank plant in which exists in a social environment with vulnerable social
relations. Considering the multiple entanglements between the Arabs and Jews in the area, the
company's CSR immensely shifts to social activism role (O'connor-De Losrios 2016).
In the region, for instance, social activism roles are played diversely by different
organizations. However, the outlook of Sodastream as a corporate entity segregates its niche in
social activism. Besides the business individualism theory that fosters the idea that; a business
entity only focuses on profit maximization and the welfare of its shareholders, the business
sometimes decides in contrary to maintain its activism role.
An in-depth evaluation of the West Bank scenario indicates a dire need for social reforms
that can boost the economic state also. According to literature focusing on the status of the
geographical area, there is also a need for job creation and creation of equal economic

Ethical Values And CSR; SodaStream Case Scenario 4
opportunities for the citizens. Therefore, in the quest to salvage the socially vulnerable state,
corporate entities exploiting resources from the territory need to play a role in both social and
economic reforms.
However, Soda Stream; being an Israeli public company with a branch in West Bank, the
company also vested in the mandate to promote social harmony between the warring social
groups. During the expansion of the company facility at the west bank, the consequent demand
in the number of staff required led employment opportunities for both Arabs and Jews.
Moreover, the high unemployment rate among Palestinians was also a significant reason why the
company extended job opportunities for Palestine citizens. The operational staff of the company
as indicated earlier, since the tenure of Birnbaum has consisted of both Arabs and Jews.
Through the appreciation of diversity at the plant, the company plays a significant role in the
reconstruction of the hostile relations between the two groups. The practice by the company
henceforth epitomizes the bigger picture to be adopted globally concerning enhancing peaceful
coexistence among rival social units (Khoury 2015, pg.11).
Besides creating the opportunities for jobs for the economically low Palestinians, the
company statistics indicate evidence of the availability of equal chances of development among
employees affiliated to both races. Moreover, at the plant, Palestine employees also attained high
ranks as supervisors and leaders of various teams. The difference in the wage rate also indicates
at West Bank and in Palestine work environment also portrays the level of equality and better
working standards the company exposed to Arab employees at the company. Besides, this
portrays the business unit as a form of creating not only social bridges but economic orientation
and peace (Cefo 2015, pg. 793)
Conclusion and Advice to the CEO

Ethical Values And CSR; SodaStream Case Scenario 5
In summary, the global political variance has broadened the scope of principles along
which business has to operate for instance, Mr. Birnbaum, as the CEO, should align his
organization towards specific objectives besides the storm of critics in the company's social role.
Besides the difference in conscious among various parties involved in solving the situation in
West Bank, the ability to be part of the solution by creating work and equality in welfare in the
work environment for both Arab and Jews to work cohesively towards the achievement of the
organizational goals is essential. Besides fostering social cohesion, CSR also impacts brand
development and should be handled with a lot of caution and limits.

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References
Cefo, E., 2015. Corporate Human Rights Violations in the Occupied Palestinian Territories: Is
There Any Recourse. Geo. J. Int'l L., 47, p.793.
Fan, Y., 2005. Ethical branding and corporate reputation. Corporate communications: An
international journal, 10(4), pp.341-350.
Khoury, A.H., 2015. International Trade and Commerce: A Bridge for the Israeli-Palestinian
Peace. Cardozo J. Int'l & Comp. L., 7, p.11.
O'connor-De Losrios, D.B., 2016. The strategic use of The Face of Apartheid: examining
Mondoweiss blog activists’ claims-making and protest activities over the Scarlett Johansson and
SodaStream controversy, pp.51-55
Singh, J.J., Iglesias, O. and Batista-Foguet, J.M., 2012. Does having an ethical brand matter? The
influence of consumer perceived ethicality on trust, affect and loyalty. Journal of business
ethics, 111(4), pp.541-549.