Case12, Monitoring Foreign Suppliers The Challenge of Detecting Unethical Practices

Case12, Monitoring Foreign Suppliers The Challenge of Detecting Unethical Practices

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Case12, Monitoring Foreign Suppliers: The Challenge of Detecting Unethical Practices How important is it for companies such as Nike and Wal-Mart that source extensively from foreign suppliers located in countries where wages are low and substandard working conditions are common to have supplier codes of conduct and to have programs to monitor and ensure supplier compliance with these codes of conduct? You may use your personal opinion on much of this question. It is very important. Just in the past year, millions of products have been recalled due to substandard supplier compliance. The issues come with the country of manufacturing. Let’s look at Mattel toys. Christmas 2007, the company lost billions in revenues because products manufactured in China, where lead based paint is legal, was sold in countries where lead based paint is illegal. The consumer assumes the product is safe and purchases it. “Another week, another recall of Chinese-made toys,” said Sen. Dick Durbin, D-Ill., who suggested detaining
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This note was uploaded on 03/17/2011 for the course MANAGEMENT 470 taught by Professor Jimconnor during the Spring '11 term at Wartburg.

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Case12, Monitoring Foreign Suppliers The Challenge of Detecting Unethical Practices

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