2.1.4 Ethics The Environment and Business

Question 1

Write a Definition of Ethics?

Answer 1

Ethics is Where Business Make Decisions on What is Morally right and Morally Wrong.

Question 2

Name 6 Ways That a Business can Behave Ethically and explain each one?

Answer 2

• 1) Treating Worker Fairly - Fair Pay and Treating them Fairly.
• 2) Treating Suppliers Fairly - Paying a Fair Price.
• 3) Ethical sourcing of Materials - not testing on animals and no Child Labour.
• 4) Carrying for the community - supporting local causes.
• 5) Treating Consumers Fairly - Charging Fair Prices
• 6) Meeting Government Requirements - paying all require taxes.

Question 3

Give a Benefit of a Business Behaving Ethically (3 Marker)

Answer 3

Behaving Ethically Improves a Business Brand Awareness and Recognition (P) This is because they are noticed by stakeholders as a company who cares for its employees and customers compared to competition (S) As a result customers are encouraged to purchase from the business in order to support it (S)

Question 4

Give a Drawback of a Business Behaving Ethically ( 3 Marker)

Answer 4

One drawback of Behaving Ethically is Higher Costs (P) This is Because business may decide to source from Fairtrade suppliers rather than from suppliers offering The Lowest Prices (S) This Leads to the business having to increase their process to cover the higher costs if They Wish to keep the Same Profit Margins (S)

Question 5

What Can Ethical Business Make More Of?

Answer 5

An Ethical Business Can Make More Sales.

Question 6

What Types of Business Have Environmental Policies?

Answer 6

Most Large and Many Small Businesses now Have Environmental policies.

Question 7

Which Areas Does Environmental Policies Cover?

Answer 7

It Covers Energy Use,Waste Disposal and Different types of Pollution.

Question 8

Give a Benefit Of Having an Environmental Policy ( 3 Marker)?

Answer 8

Having environmental policies provides good publicity for a Business (P) This is Because they Are Meeting The Requirements of Environment Laws (S) This Leads to a good reputation amongst its Customers (S) Therefore customers may be Willing to Pay Higher Prices Which Leads to Higher Revenue (S)

Question 9

Give a Drawback Of Having an Environmental Policy ( 3 Marker)?

Answer 9

Environmental Policies Increase The Costs for a Business (P) This Is Because the Business Has to Pay more for Waste Disposal and to Meet the Requirements of Anti-Pollution Laws (S) As a Result they may have to sacrifice profit levels if they are unable to increase their prices due to Heavy competition (S)

Question 10

Who Will environmental policies affect?

Answer 10

They Will Affect the Business Directly but they will also impact customers/consumers.

Question 11

What Will Happen to Prices of environmental policies?

Answer 11

• These May Rise as Increased Business Costs are Passed onto the Customer.

Question 12

What Will Happen to The Availability of Scarce Resources?

Answer 12

• Recycling Will Mean Scarce Resources Last Longer and Goods may be Available and Cheaper in the long run.

Question 13

What Will Happen to The Quality Of Life if These Environmental Policies are Kept In Place?

Answer 13

• Reduced Pollution and Waste Will Improve living Conditions.

Question 14

What Could Happen To Taxes if Environmental Policies are Kept In Place?

Answer 14

• If Pollution is Reduced the Government Can Spend Less on This Area which may Result in a reduction in Taxation.

Question 15

Write a Definition of Sustainability?

Answer 15

• Sustainability is The idea that Goods and Services Should Be Made Using Resources that can Be Replaced.

Question 16

How Do Humans Become Sustainable?

Answer 16

• We Must Replace or Renew The Resources That We Use Or Over Time They Will Run Out

Question 17

Name The 4 Steps of a Business Being Sustainable for Production?

Answer 17

• 1) Sustainable Products Are Environmental Friendly.
• 2) More Expensive to Produce.
• 3) Business Costs Are Higher.
• 4) Profit Levels are Lower.

Question 18

Name The 4 Steps of a Business Being Sustainable for Consumers?

Answer 18

• 1) Sustainable Products Are Environmental Friendly.
• 2) Good Brand Image.
• 3) Can Charge a Higher Price.
• 4) Can Earn More Revenue.

Question 19

What Will Happen to Industries If Global Warming Rises?

Answer 19

• Industries Such as Agriculture are Directly Affected by Changes in Temperature and Droughts.
• Other Industries are All also affected for Example Insurance Costs Can Increase.

Question 20

Name 2 Solutions To Stop Global Warming?

Answer 20

• 1) Using Renewable Resources.
• 2) reducing energy consumptions.

Question 21

Write a Dentition of a Pressure Group?

Answer 21

• A Pressure group is an Organisation That Try to Influence Public Policy for a Specific Cause.

Question 22

What is the Purpose of a Pressure group and Give a Example of a Pressure Group?

Answer 22

• The purpose of a Pressure Group is to influence the marketing mix.
• For Example: GreenPeace is a Pressure group that Protects The Natural World.

Question 23

How do Pressure Group Influences price?

Answer 23

• Changing Pricing Strategies
• For Example: to Make ethical products a Realistic choice for Consumers.

Question 24

How do Pressure Group Influences product and Give a Example?

Answer 24

• Change the Product.
• For Example: using rubber from ethical suppliers to protect the amazon rainforest.

Question 25

How do Pressure Group Influences Promotion and Give a Example

Answer 25

• Change the way a product is advertised.
• For Example: promoting - environmentally friendly products.

Question 26

How do Pressure Group Influences Place and Give a Example?

Answer 26

• Change Distribution Methods.
• For Example: Using Deliver Vehicles Pollute Less.