Question
2. A supplier is discovered to be selling clothing items of a similar quality significantly cheaper than any of its competitors. (a) Discuss any ethical questions that retailers might ask before purchasing stock? [4]
Answer
4.2
(270 Votes)
Oscar
Professional · Tutor for 6 years
Answer
Businesses should ask the following ethical questions: Where are the clothing items sourced from? Are there any shortcuts used in production that lead to unfair pricing or affect the environmental footprint? Are there unfair labor practices involved? These potential issues can compromise the ethics of buying cheaper products, even when good quality is an assurance.
Explanation
The question refers to the ethical implications a firm should consider while procuring goods from a supplier who is selling similar quality clothing at a much cheaper price than other market competitors. Some of these ethical questions include the origination of the clothing's materials. Uncertain transparency concerning material sourcing and manufacturing could suggest unethical practices such as worker exploitation or poor working conditions. The wholesaler could also be encompassing negative environment implications in the production method to reduce production costs unfairly. One major issue could be dishonesty or manipulating practices related to product quality, implying that the good may not be genuinely as valuable as presented.Moreover, the uniqueness of restraint could doubtlessly discourage other suppliers in the same industry and adversely deteriorate market competition. If the suppliers utilized uncalled-for methodologies and systems to lessen construction costs to give low prices, it is unethical. Thus, the company needs consideration over ethical implications, while consumers are vis-à-vis low expenses and possible reasonable designs by implying these facts in their purchasing intentions and decisions. Therefore, any company should thoroughly scrutinize procurement solutions before examining new vendors, thoroughly vet suppliers for equivalent caliber stages in cloth sourcing, product assembly, production working situation standards, and other energy utilization degrees. Doing so can provide them to mitigate possible rightful affections through an endangering reputation derived on supporting dodgy trading.Additionally, retailers may determine to approach transparent business tactics, share instantly any facts associated with the products, suppliers, and manufacturing manners utilized along with customers. Appropriating else as more lawful and honest industry practices universally Reuters maintain to attend costly objects while prospect opportunities and associations missed. The controversies and consideration lower expenses should supply to visitors motivated out devices for further trade story inside the trading specialty.Through these multiple standpoints and concerns in mind, the firm can approach such catchy vendor offerings more knowingly, remaining vigilant and mindful of the possible unfounded bureaucracy.