PRIMARK SUMMARY 11/8/10 13:55 Page 1

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Providing consumers with ethically sourced garments

Summary

Introduction
Using fabrics
Much of UK high street fashion is produced abroad because of produced locally
to the manufacturer
the lower material and labour costs in these countries. In order to
meet consumer demand, Primark works with manufacturers Producing Reducing packaging
worldwide. This study shows how Primark sources clothes in an on a large and extensive use of
scale multi-pack product
ethical, fair and cost-effective way. Efficient
operating
process at
What are business ethics? Primark
Minimal Focus on key
Business ethics are rules of conduct and principles that involve advertising garment sizes

‘doing the right thing’. They look after all those involved in the
business process. Primark’s values include:
• taking care of employees
• being good neighbours
• building ethical business relationships.
Primark ensures that its partners also act responsibly by:
• having an Ethical Trade Director, who ensures Primark sources
ethically and leads a team of ethical managers based in the
key sourcing countries
• being a member of the Ethical Trading Initiative (ETI), an
international body that improves workers’ lives worldwide.
Primark also respects human rights and sets guidelines for
employment in suppliers’ factories.
Primark offers low prices through economies of scale, lean
production and efficient operations. These make its manufacturing
practices both efficient and ethical. For example, by using off-
season factory time, costs are lower and staff get work when they
might not have otherwise.
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Using off-season
factory time for
production
Ethics in practice
Primark is aware of the challenges of operating ethically. It works in
partnership with industry and international bodies seeking to
promote good ethics. Primark bases its Code of Conduct on the
International Labour Organization’s (ILO) Code, which promotes
ethical opportunities for workers. This code is available online in
26 languages, making communication clear. Primark works closely
with and provides training for suppliers, factories and its own buyers.
Primark requires prospective suppliers and factories to go through:
• a selection process to establish if working conditions are
appropriate
• independent audits and follow-up visits to ensure ethical
practices are maintained, for example, checking fire equipment
is safe and employee wages fair.
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Why take an ethical approach? The costs of ethical behaviour

Primark’s main goal is to be profitable and sustainable. This Operating in an ethical way may incur extra costs. Primark’s
involves: ethical approach costs include:
• making profits • the maintenance of its global Ethical Trade team
• providing good employment • training its buyers on ethical trade issues
• paying taxes • managing and paying for external audits
• meeting consumer needs • working with ethical partners.
• making a contribution to society.
Rather than seeing these as ‘costs’, Primark believes they
Primark also acts as a responsible corporate citizen. The term enhance the business. By being transparent with these activities,
Corporate Social Responsibility (CSR) describes this approach. It the business shows it is open to people seeing how it operates.
helps to: Therefore, operating ethically is also good business practice.
• build brand confidence
• grow the business’ reputation Conclusion
• reduce the risk of poor publicity.
Primark aims to provide value-for-money products, while keeping
its ethical standards high. This involves paying for independent
audits and working with suppliers and external agencies on key
issues. By being open with its processes, Primark shows its
commitment to responsible manufacturing. This helps to assure
people that its goods are ethically produced.

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