
Woolworths: Australia Day Blues
Chen, Ming-Jer, Wa...
Woolworths: Australia Day Blues
S-0461 | Published November 21, 2024 | 10 pages Technical Note
Collection: Darden School of Business
Product Details
In January 2024, the Australian retailer Woolworths Group (Woolworths) announced it would no longer stock Australia Day merchandise across its stores for the national summer holiday, following years of declining customer demand. The news unleashed a storm: While some customers and Indigenous activist groups welcomed the move, reflecting the long-running controversy over a holiday they regarded as commemorating colonization, others, including politicians and media, accused the retailer of “canceling” Australia Day, urging customers to boycott the company. Following the announcement, Woolworths saw its share price fall by 4.8%. With pressure mounting, the top management team had to respond quickly—had the firm made the right decision, and did it owe the public further explanation? For a company with a long tradition of supporting Indigenous rights, what strategy would strike the proper balance of social responsibility and obligation to the bottom line?
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