Research on the five-stage model of group development shows that a) all groups pass through the norming stage. b) not all groups go through each of the stages. c) groups always pass through the stages in order. d) all groups pass through the adjourning stage. 6.
As the producer creating the externality does not take it into account and the consumer does not fully pay for the resulting externalities, market inefficiencies result in the form of market failure. The social costs imposed upon third parties can be alleviated by the imposition of an indirect tax on Petrol and Diesel which will in turn increase the costs of producers (P1->P2) and discourage production, causing supply to shift to the left (Q1->Q2). This occurs as the indirect taxes increase the costs of production, hence decreasing the motive to produce. However, as Petrol and Diesel are inelastic goods, a majority of the said indirect taxes are imposed on the consumers and not the producers. As shown in Diagram 2, the consumer burden of tax is greater than that of a producer as price increases due to the irresponsiveness of demand to changes in price.
Social Responsibility Company Q seems to currently have an economic attitude toward social responsibility. An economic model is based on the traditional concept of business. If the business is providing a quality good or service, showing a profit and providing jobs then it is successful. Company Q is more concerned with profits and lost revenues then maximizing a positive impact. They have shown this by closing a few stores in a higher-crime-rate area because they were losing money, by only offering a very limited amount of health-conscience and organic products because they are high margin items and by declining to donate to the local food bank because of worries over lost revenues.
Power of Suppliers – Low There is low supplier concentration relative to the industry they sell to and a single supplier does not account for a large part of a retailer’s business. This weakens the overall power of the supplier because there are more supply options available for discount retailers. The emergence of private labels has also reduced supplier leverage. Supplier power is further weakened by low switching costs and non-differentiated products. As the retailers incur virtually no costs by changing suppliers it is easy for them to play them against each other to get better terms.
Critics of socialism claims that it creates distorted or absent price signals, results in reduced incentives, causes reduced prosperity, has low feasibility, and that it has negative social and political effects. Economic liberals and pro-capitalist libertarians see private ownership of the means of production and the market exchange as natural entities or moral rights, which are central to their conceptions of freedom and liberty. https://www.boundless.com/business/textbooks/boundless-business-textbook/economics-and-business-2/businesses-under-socialist-systems-30/the-disadvantages-of-socialism-164-6530/ The shortcomings of capitalism are the following: 1. Inequality There tends to be a rise in inequality as benefits of
“Social Dumping” Today, a controversial topic--- social dumping has become a noticeable ethical issue to cope with in the global market. Social dumping, a definition illustrates the situation in which a relatively rich country imports goods from another country where the production costs are lower and labor legislations are weaker. As for international trade, importer’s country takes advantage of exporter’s country due to the low price of the goods. The exporter’s country may suffer a loss in trade balance as they buy relative expensive things from foreign countries but export very cheap commodities. Social dumping is concerned with the human rights and the labor problems.
This make it lucrative for companies to finance with internally generated cash, which is the most liquid asset. A drawback is that Apple earned a mere 0.77% on its cash and investments in fiscal year of 2011 . The disadvantage is that the rate of return is close to the inflation rate. Apple has not debt and therefore no apparent reason to pile up cash, if they cannot invest it at a higher return than their current interest rate allows. Though another way of looking at it is that Apple is only waiting for the really good investments, and that opportunity offset the lost revenue of hoarding cash at a low interest rate.
It is also necessary to allow foreign products to come in so competition will increase. Basic ally, the underlying flaw under foreign product taxes is that it cuts off greater innovations and negatively affects our economy. -Even if we wanted to improve, remove taxes b/c by imposing taxes we don’t accept new ideas into our companies and nothing is innovative anymore. We are promoting isolationism -By allowing foreign products to come in, competition is brought about and we work to improve upon it. Each side improves the product and it continues in a circle.
The government’s calculations did not take into account government pension payment savings realized through smokers dying sooner than they would have had they not smoked. This savings would more than make up for the increased health care spending attributed to tobacco products. CONFLICTS OF INTEREST The conflicts of interest in this case are based on financial gain through the sacrifice of public health. The Government of India (as do many governments around the world) allows the cultivation, processing, advertising, sale and use of tobacco products, with restrictions based mostly on the age of the consumer. These governments reap financial rewards from this
Others say that recycling wastes more than it saves, and is an over-all worthless effort. I personally agree that recycling will solve that problem. Recycling will eliminate need for expansion of landfills, provide jobs, and maintain a constant reuse of nonrenewable resources. John Tierney was a journalist who wrote an article for The New York Times on June 30, 1996 called “Recycling is Garbage”. He exposed the high expenses in collecting and separating the garbage, and the lack of demand for most of the resulting materials (Shaw) .