The green credentials of Body Shop, a highly successful British cosmetics company with a chain of 1,100 outlets in 45 countries, took a beating with allegations of flimsy environmental standards. The controversy was sparked off when Franklin Research & Development Corporation, a US-based investment company, sold off its 50,000 Body Shop shares in mid-July and advised its clients to do likewise.
The decision was prompted by an article to be published soon by the US-based Business Ethics magazine. The article calls into question almost all aspects of Body Shop's functioning, ranging from the composition of ingredients to its quality control record, animal testing and its trade with suppliers in developing countries. The magazine is taking no chances, however. To avoid British libel laws, it will not distribute copies in Commonwealth countries.
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