BS4209 Global Supply Chains

Question 1

Neoliberal ideal of the free market

Answer 1

Barrier free access to goods and services
Consumer choice and ability of firms to reach consumers

Question 2

Supplier Competition

Answer 2

The neoliberal model encourages healthy competition
Business to business transactions are less transparent
Violations and poor ethics takes place behind the scenes
Complicity and power dynamics between businesses mask some unknown issues

Question 3

Key bribery risk

Answer 3

Business inducements are more likely to occur in inter business transactions
International contexts make this difficult to spot
There can be a fine line between networking and inappropriate relationships

Question 4

Suppliers as stakeholders

Answer 4

Losing/gaining business
Fair price/bargaining power
Mutual respect

Question 5

Power asymmetry

Answer 5

Purchasing power
Access to the market
Competitive pricing through supply chain management
Shifting costs up or down the supply chain

Question 6

Societal impact

Answer 6

Reduction of choice
Suppliers compromising quality to maintain profitability in the face of increasing demands from supermarkets

Question 7

Positive contribution (Treat the suppliers as an end rather than mean)

Answer 7

Support small locally owned suppliers through managers discretion
Investment in capabilities
Mentorship
Guaranteed business
Empowerment of local growers
Support for traditionally neglected demographics
Access to finance

Question 8

Aristotelian perspective

Answer 8

Virtues are exercised
Actors can make mistakes and re-align
There must be a balance of virtues
Humans, not companies, are the ones who can exercise virtues

Question 9

Friendship of utility

Answer 9

Based on exchange of goods and services, reliance on other party
Goes further than arm’s-length in that there is a mutual well wishing that the other will achieve their aims and an alignment of purpose and incentive
Challenges enlightenment ideas which separate business and friendship

Question 10

Issues of High power influence vs low power suppliers/countries

Answer 10

Resource wealth mismanagement
Bribery and corruption
Aggressive tax practices
Ineffectual regulatory regimes
Environmental damage
Short sighted investment

Question 11

Ethical SCM (Supply Chain Management)

Answer 11

Identifying issues
Educating consumers
Educating producers
Going above regulation and pressuring legislative change
Investing vertically in the supply chain.