Ethical and Environmental Considerations Flashcards
How can ethical policies be costly for a firm?
A business is likely to have higher labour costs.
What is a disadvantage of a firm being committed to using ethically sourced materials?
May find it more difficult to find suppliers and have to pay a higher price for their materials.
What do increased costs lead to?
Less profit made on each item sold.
Why would putting the prices up so that it makes more profit per item not work?
Higher prices might lead to lower sales, so business still ends up with less profit.
What is the Advantage of a firm changing their marketing to emphasise the fact that they have strong ethical policies?
By advertising its ethicals policies, a business might gain customers and increase its profits.
What does treating staff ethically do?
Make worker more motivated, which should make the firm more productive.
How can businesses stop lots of waste going into landfill?
Can reduce amount of packaging, can also recycle things such as delivery boxes, or unwanted goods.
What can businesses encourage to stop traffic congestion?
Car share schemes caused by their staff driving to work. Can also support cycle to work schemes, where they help employees buy bikes.
What can a business do to help reduce air pollution?
Business can buy more efficient machinery that is less polluting.
What can business do to help reduce noise pollution?
Can buy quieter machinery, or put up sound barriers or insulation.
