Daimler-Benz

1
Daimler-Benz

• Social Partnerships

2
Past

• Apartheid
• Closed economy
• Trade tariffs (insulation) state incentives
• Daimler-Benz
• Superior wages
• S.A. outreach programs
• Militant work place
• Supplied S.A. military
• Unions have little power

3
Present

• Open economy growing union power
• No Apartheid
• Phasing out tariffs
• Reduced levels of state intervention
• Daimler-Benz
• Not paying social acceptable wages
• Implemented recognition programs to achieve
  minimum worker output which are possibly not
  aligned
• Extra wages
• Draws on consumer goods

4
Ethical Strategies or for Profit?

• Ethical Strategy
• Partnering with stakeholders
• Commitment align interests
• Betterment of internal and external community
• good corporate social citizen image

• For Profit and Gain
• Keeping costs as low as possible
• Exploiting local labor force
• Pre-empt govt involvement
• Cynical view on union behavior theyll always
  want more

5
Assumptions

• Intent
• Daimler-Benz was in South Africa during Apartheid
  in order to profit
• Daimler-Benz continues to work in S.A. in order
  to profit by using social partnerships as a
  means to justify financial profits

6
Daimler-Benz Should

• Social partnerships should result in greater
  ethical fairness and stronger financial output
  aligning interests for the best outcome(s)