Tesco are pulling out of Zimbabwe

Interesting to hear in the news that Tesco are pulling out of Zimbabwe just weeks after committing to remain in the troubled African nation.

This is a significant change of direction and shows that even a multinational has to be in tune with public opinion and prepared to alter course to ensure its reputation remains on course. They clearly feel the media coverage of the recent elections and Mr Mugabe's hold on power isn't something they wish to be associated with in the eyes of their customers.

How different to London based mining giant Anglo American, a company with no real public customer base in the UK, though it may have many UK investors.

Just days before the Tesco announcement they committed 200 million pounds to a project in Zimbabwe, an announcement which led to difficult questions for its Chairman on Radio 4's PM programme and subsequent ministerial involvement in a wider debate about investments from the UK propping up the regime.

This was clearly a risky decision in terms of reputation which, one assumes, they have thought through carefully based on a real understanding of their investors and the potential for the Zimbabwe situation to get worse before it gets better.

It's a gamble with their company's reputation which they might be regretting as they see how positively Tesco's move has been reported.