A thriving business must have its legal foundations strong. But not many are fully aware of the ramifications of careless business decisions. Unless you are vigilant to the continuous developments in the compliance landscape, there is always the risk of eroding brand value.
Take the recent case of Maggi Noodles. A 100-year-old profitable and powerful company with a flagship brand loved by millions had to bite the dust and face the ire of customers and governments alike. A single source of non-compliance led to significant damages, both monetary and regulatory.
Similarly, Subway also had to face petitions from citizens in the US for the removal of a chemical in their bread. Initially, Subway ignored the customer, but when the noise became louder, it had to bow down and act. By then the damage was already done and a brand was negatively impacted.
Every product and service has its own set of regulations that businesses tend to ignore in the buzz of their daily routine and they act only when it is too late. By then there is the significant erosion of brand value and subsequently, drop in the market share. Competition swiftly takes over and it becomes even difficult to catch up.
Compliance is implemented at several layers of the organization. In today’s business environment, compliance is a competitive advantage. Whether it is implementing employee engagement policies, service expansion, product development, international sales or take any department, you will surely encounter compliance requirements and regulatory controls. If not implemented properly, your business is exposed to unknown risks always.
A simple glance at any company’s operation reveals that there is complacency with regards to legal compliance. Everyone thinks it is ok and even take the risk of thinking to solve it when it happens. Manufacturing, Real Estate, Education, Retail, Food, Agriculture almost all industries must strengthen their compliance framework to avoid risks and minimize impact to their brands.
Professionals at Creative Bharat analyze the risks, identify and prioritize implementation practices and secure your businesses. If you think your business could be at risk, talk to our consultants. It could save you unwanted losses and help preserve your brand equity.