On a more personal scale within the intricate and sensitive environment of geopolitics, there is a growing number of consumers today who are more aware of the political connotations or political affiliation of the brands that they identify with. Other questions include: Does [Brand X] support Israel? Or other kinds occur quite often, with the anxieties concerning corporate responsibility, corporate ethics, and international wars.
Among the questions that have received attention online is whether the legendary KitKat chocolate wafer brand supports Israel. This query is based on the overlap between brand ownership, production sites around the globe, advertising choices, and the political scandals in the media.
Here, in this blog post, we will offer an astute analysis of this question by considering:
- The corporate ownership and the structure of KitKat.
- History of development and branding of KitKat.
- Manufacturing presence and distribution of sales of KitKat.
- KitKat Israel Political scandals.
- Nestlé’s statements and actions on corporate social responsibility (CSR).
- Any KitKat is affected by public opinion and activist campaigns.
- Larger background of company politics and consumer preferences.
Understanding the KitKat brand and ownership
1. The origin of KitKat
Rowntree was the first British confectionery company to launch KitKat in 1935. The brand achieved enormous commercial success because of the bizarre combination of crispy layers of wafer coated in creamy milk chocolate, and the slogan Have a Break, Have a KitKat printed on the chocolate.
Rowntree was acquired in 1988 by Nestlé, the Swiss multinational food and beverage conglomerate, and as such, Nestlé owns the worldwide rights to the KitKat brand, except in the United States, where Nestlé licenses its brand to Hershey.
2. The parent company of KitKat
Nestlé is a world-leading company in the food and beverages industry that operates in nearly all countries worldwide. As the parent company of KitKat (in the rest of the world, not in the US), Nestle can dictate its marketing, production, and corporate policy.
This knowledge of Nestlé’s corporate operations, political positions, and manufacturing plants is important when there is a question that involves the relationship between KitKat and any geopolitical issue.
KitKat’s manufacturing and market locations
1. KitKat production facilities
Nestlé has an elaborate global production system for KitKat. The large KitKat factories are in:
- United Kingdom
- Switzerland
- Japan (Nestle has licensed Nestle Japan to manufacture KitKat and has unique flavors)
Countries throughout Europe, South America, Asia, and Africa.
Nestlé has several factories in Israel that make various food and beverage products, such as confectionery.
2. KitKat availability and production in Israel
In Israel, Nestlé is selling KitKat, which is either manufactured in Israel or brought in. Nestlé Israel is a branch of the bigger Nestlé Company and has been in operation for decades. Israeli supermarkets and retail stores are full of Nestlé products (such as KitKat).
Based on this, it is evident that KitKat as a product is sold within Israel and that some of its production is linked to the activities of Nestlé Israel.
Does KitKat support Israel politically or economically?
1. Nestlé’s official position on Israel
Nestlé takes a neutral approach to all political issues. According to their global market strategy, one of their targets, alongside the customers, is the shareholders. Hence, Nestlé can do business in Israel, in keeping with the strategy. Just like Nestlé Israel, which treats the Israeli government and policies silently, Nestlé does not publish geopolitical statements, either for or against Israel, any other country, or any other geopolitical relation.
Nestlé has integrated the stereotypical responsibilities of a corporation into its business approaches, particularly in:
- Stewardship of the ecology and sustainability
- Community service
- Health and nutrition
- Protection of underage workers and promotion of fair pay
It is striking to see that none of the marketing and public relations or other official sources of Kit Kat and Nestlé claim any position for or against Israel politically.
Nestlé contributes some economic value from the sale of Kit Kat and its business activities. Nestlé also employs the following Israel-based mechanisms to support their business activities:
- Investment in the production facilities
- Payment of local taxes
- Payment to local employees
- Payment to local suppliers with certain contractual obligations
The business activities can be described as indirect support for the economy of Israel, the same as many multinational businesses operate for a country’s economic infrastructure, which is the case here.
Public perception, controversies, and activism related to KitKat and Israel
1. Boycotts and the BDS movement
The Boycott, Divestment, and Sanctions (BDS) movement requires boycotts of companies that are believed to be financing Israeli state practices that are considered oppressive to the Palestinians. Other activists also target Israeli firms or firms that have business with Israel.
In the framework of Nestlé’s operations in Israel, KitKat has been used in some BDS actions that request consumers to boycott Nestlé products due to Nestlé’s operations in Israel.
Such campaigns, however, are usually targeted toward Nestlé as a company and not at KitKat as a specific brand.
2. Misleading claims and social media rumours
Periodically, rumours about KitKat making money off the Israeli policies or being the official chocolate of Israel spread on social media and go viral. Such assertions are normally unsubstantiated. Even KitKat does not support any ideology. The brand functions similarly to most of the multinational products across the world.KitKat or Nestle does not support any illegal or violent action in relation to Israel, and there is no other credible evidence of this.
- Nestlé Human Rights and Ethical Audits.
- Nestlé also releases sustainability and human rights reports annually, which evaluate its activities in Israel and other countries of the world.
- Nestlé is ethical in its business actions.
- It declares that it complies with international labor standards.
- It does not tolerate discrimination and abuse of human rights.
Some critics will say that these reports fail to go far enough to focus on wider political problems; however, Nestlé is making some steps towards being a responsible corporate citizen in its operations in Israel.
3. Corporate responsibility and consumer choice
Operating in a Region with Politics. Companies such as Nestlé have to deal with the political complexities of operating in Israel (and other neighbouring countries) as well. Companies have to manage to balance between:
- Serving their customers
- Complying with local laws
- The observance of international human rights systems.
- Dealing with different expectations of the people and shareholders.
- Nestlé is not a political outfit and remains just a business entity, which nevertheless fails to insulate itself against activism and publicity.
Consumers are becoming more open and responsive regarding brands and their political and social power. Apart from that, some consumers will not buy KitKat as Nestle is located in Israel.
Others consider the brand as nothing more than a product, or acknowledge the work that Nestlé does to enhance sustainability. Support in this expanded discussion is a subtle, subjective judgment based on individual principles and perception of world politics.
Conclusion
Yes, KitKat, by means of Nestle Israel, produces and markets goods in Israel, which means economic activity, many jobs, and taxes paid.
- Political Support: No, KitKat as a brand does not publicly or formally endorse or take direct political stances about Israeli government policies.
- Ethical Support: Nestlé claims to uphold human rights and ethical corporate conduct in Israel, yet activists and consumers disagree that Nestlé should be there based on moral grounds.
- Public Perception: Mixed, because on the one hand, critics refer to KitKat/Nestle as indirectly beneficial to Israel, and on the other, it is a global brand with no political attitude.
