A new U.S.company plans to introduce an inexpensive,high-quality line of shoes to the American market.It has found a manufacturer in another country that can produce the shoes at a low enough cost that they will still be cheaper than other brands of the same quality.Which of the following represents a potential ethical implication that the company should consider before beginning production?
A) the country's existing labor laws and the factory working conditions
B) the average exchange rate of the country's currency over a ten-year period
C) the challenges of doing business in a country with a nonconvertible currency
D) the energy demands of the manufacturer's facility
E) the basic international business strategy it will use

Question

Quizplus · Accepted Answer

A)When choosing a country to outsource to, a company should not only consider the financial implications of offshoring, but also the ethical implications of conducting business in a country that may have very different laws and legal standards.

A New UScompany Plans to Introduce an Inexpensive,high-Quality Line of Shoes to Shoes