Cadbury and the Worm Controversy

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Details
Case Code:

CLSDM042

Case Length:

3

Period:

Pub Date:

2005

Teaching Note:

NO

Price (Rs):

200

Organization:

Cadbury India Ltd.

Industry:

Food & Beverage

Country:

India

Themes:

Corporate Communication,Corporate Image & Identity, Reputation Management

Abstract

The caselet primarily deals with the worm controversy in October 2003 when a stockist in Mumbai found worms in Cadbury’s chocolates. It discusses the impact of this incident on Cadbury’s reputation and ethical image. It describes the steps taken by the company to regain its lost image and briefly examines how Cadbury’s competitors gained from the worm controversy. It also presents an overview of the Indian chocolate market.

Learning Objectives

The case is structured to achieve the following Learning Objectives:

  • Ethical and social responsibility of companies
  • Role of regulatory bodies
  • and Importance of quality aspects in fast moving consumer goods.
Keywords

Cadbury, Worms, Bournvita, Food and Drug Administration, Mumbai, Kerala, Ban, Dealers, Manufacturing Plants, Refrigeration, Prevention of Food Adulteration Act, Packaging, Amitab Bachchan

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