Why might vertical systems be a business ethics issue?
A)They can result in lower wages for factory workers.
B)They can increase consumerism and planned obsolescence.
C)They can result in a channel member having too much control.
D)They cut out the need for retailers and wholesalers.
E)They threaten the existence of large multinational corporations.

Question

Why might vertical systems be a business ethics issue? ​
A)​They can result in lower wages for factory workers.
B)​They can increase consumerism and planned obsolescence.
C)​They can result in a channel member having too much control.
D)​They cut out the need for retailers and wholesalers.
E)​They threaten the existence of large multinational corporations.

Quizplus · Accepted Answer

Vertical systems can lead to channel members, such as manufacturers or suppliers, having too much control over the whole production and distribution process, raising concerns about potential abuse of power and unfair treatment of smaller businesses or workers. This can be seen as an ethical issue, particularly if it results in anti-competitive behaviors or exploitation.

Why Might Vertical Systems Be a Business Ethics Issue? ​

Why Might Vertical Systems Be a Business Ethics Issue?