Danone: Realigning Sustainability for Profitability?

Danone: Realigning Sustainability for Profitability?
Case Code: BSTR677
Case Length: 12 Pages
Period: 1910-2023
Pub Date: 2024
Teaching Note: Available
Price: Rs.400
Organization : Danone SA
Industry : Food & Beverage
Countries : France
Themes: Socially-responsible Business Practices, Corporate Responsibility, Corporate Restructuring,Environmental Sustainability
Danone: Realigning Sustainability for Profitability?
Abstract Case Intro 1 Case Intro 2 Excerpts


Danone Under Emmanuel Faber

Prior to the elevation of Faber to CEO, The Danone Group had in over 40 years seen only two CEO-Chairmen, and both were from the same family. Antoine Riboud had run the corporation since 1972 after he merged his glassmaking firm BSN with Danone. Franck took over the reins at Danone from his father in 1996 and became CEO and chairman of the company..

Initiatives by The New CEO

Saint-Affrique was named CEO of Danone, starting September 15, 2021. He had previously been CEO of chocolate manufacturer Barry Callebaut. Saint-Affrique had nearly three decades of food industry expertise beginning with his first internship at Kronenbourg Brewery, now part of the Carlsberg Group. In 1989, he joined Unilever where he held various marketing positions in France and in the US. In 1997, he had his first stint at the Danone Group as Marketing Vice-President. In 1999, he became a Partner at the foods company Amora Maille, which was acquired under a leveraged buy-out from Danone by Unilever..

Future Outlook

In January 2023, three environmental organizations, ClientEarth, Zero Waste France, and SurfRider Foundation Europe, sued Danone over its usage of plastic packaging. Danone responded saying that it was ‘surprised’ by the allegation about the usage of plastics throughout its supply chain. The three NGOs (not-for-profit organization) claimed that Danone had not respected legal obligations under French law and that it had to deplastify its activities immediately. This was the first time a food company had been sued in France for its use of plastic throughout its entire supply chain..


Exhibit I:Danone Milestones
Exhibit II: Full-year sales of Danone (FY 2021-2022)

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