Operations - Ethics & Environmental Flashcards
1
Q
How can a business be ethical and enviromental ?
A
- one way a business can be ethical is by not using child labour to produce their product
- Another way a business can be ethical is by paying taxes
- One way a business cam be environmental is minimise waste
- Another way a business can be environmental is by minimising packaging
2
Q
What are ethical issues ?
A
- not producing their products in sweatshops
- not using child labour to produce their product
- pay employees at the living wage so that they can earn enough to have a descent standard living
3
Q
What are environmental issues ?
A
- reduce their carbon footprint
- sustainable raw materials use local supplies
- minimise waste don’t overstock
- minimise packaging
4
Q
What are disadvantages of capital intensive ?
A
- huge initial investment
- breakdowns can halt production
- lack of personality
5
Q
What is Capital intensive production ?
A
This is when machinery does most of the work in production
6
Q
What is labour intensive production ?
A
This is when production is mainly done by humans hands
7
Q
What are the disadvantages of labour-intensive production ?
A
- high risk of human error producing waste
- humans have to be paid over time
- recruitment, training and wage costs
- production time limited as humans need breaks
8
Q
What is Fairtrade?
A
When suppliers of raw materials receive a guaranteed and fair price for their goods.
employees in the supply chain are treated fairly
9
Q
What are advantaged of Fairtrade ?
A
- Businesses can be awarded fairtrade marks to appeal to customers
- positive impact on producers of raw materials
- stocking fair trade goods demonstrates the retailers ethical commitment
10
Q
What are the disadvantages of fair trade ?
A
- limited choice of suppliers
- fair trade products are often more expensive
- losing a fairtrade mark can ruin a business’s reputation
