Case Name :      Amway Korea: Creating Shared Value

Authors :           Won-Yong Oh, Seoyeon Park

Source :             Ivey Publishing

Case ID :            W14549

Discipline :        General Management

Case Length :    13 pages

Solution Sample availability : YES

Plagiarism : NO (100% Original work)

Amway Korea Ltd. faces both motivations and challenges as it pursues enhancement of the firm’s social responsibility in a multi-level marketing industry. This case asks students to consider whether the firm’s social participation can be an effective solution to gain legitimacy and enhance its reputation. Stakeholders and the general public have two different views about the firm’s attempts at corporate social responsibility: the window-dressing view (that the firm is making a distrustful attempt to deceive stakeholders) and the value-enhancement view (that the firm is making a genuine investment to improve its responsibility and stakeholder value). Students are also introduced to the concept of creating shared value, which Amway Korea adopts as a strategic initiative in its role as a corporate citizen.