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Global Business Management

Group Members Names:


(1) Tayyaba Latif
Sp13-BBA-002
(2) Saira Atta
Sp13-BBA-006
(3) Mohsin Mustafa
Sp13-BBA-008
(4) Basit Noor
Sp13-BBA-011

Topic: How much we are aware of the unethical business practices of


retailer in Vehari?
Submitted to: Sir Wasim Abbas

Institute of Information Technology Vehari Campus

Contents
Global Business Management.........................................................................................................1
Group Members Names:.................................................................................................................1
Topic:...............................................................................................................................................1
How much we are aware of the unethical business practices of retailer in Vehari?........................2
Abstract:.......................................................................................................................................2
Introduction:................................................................................................................................2
Literature Review:.......................................................................................................................4
Methodology:...............................................................................................................................5
Primary Data collections methods:..........................................................................................5
Others sources:.........................................................................................................................5
Analysis:......................................................................................................................................5
Frequencies..................................................................................................................................5
Status........................................................................................................................................5
Age...............................................................................................................................................6
Education.....................................................................................................................................6
1.1 Do you argue with the retailer regarding employment of child labour?................................7
1.2 Do you argue with retailer regarding tempered products?....................................................7
1.3 Do you notice health and safety measures at retailer business site?......................................8

1.4 Do you check the expiry date while visiting retailer to purchase the products?...................8
1.5 Do you argue with retailer regarding product life cycle?......................................................9
1.6 Do you face problems while service and delivery?...............................................................9
Descriptive.................................................................................................................................10
Descriptive Statistics.............................................................................................................10
Conclusion and recommendations:............................................................................................11
Reference:..................................................................................................................................12

How much we are aware of the unethical business practices of retailer


in Vehari?

Abstract:
This research paper attempts to explore unethical business practices of retailer in Vehari. The
basic aim of this research paper to generate awareness of consumer to know about the unethical
business practices at local level especially in Vehari. For primary data collection we use
questionnaire which consists of six close ended questions. Through SPSS software we analyze
data and discuss the data through descriptive statistics. So in this way find out results and this
research leads to important managerial implications.

Introduction:
In todays competitive world success of any organization depends upon the satisfaction of
consumer and ethical concern of businesses. Thats way local and multinational organization
much concern about ethical business in the modern age. People dont care about the ethical
behaviour towards business they adopt any means in terms of unethical ways to achieve success
in business. We can say as many successful organizations thats use unethical means and the
consumer not even think about their ways of misconduct despite many laws. Another major
factor is the lack of consumer awareness .In Vehari the Consumers are mostly unaware of the raw
materials and ingredients used by the businesses especially in food sector. Businesses related to
food use dangerous ingredients but consumers don't pay attention to it. This research paper
attempts to explore the question about how much we are aware of the unethical business
practices of retailer in Vehari. The moral rules, values, and standards that guide consumers in
selecting, purchasing, using and disposing of goods or services in a socially responsible and

acceptable manner refers to the consumer ethics (Muncy & Vitell, 1992).Its hard to put a figure
on the cost of losing ethical beliefs, but such losses can create complexities for the businesses
and ultimately for the consumers. Unethical consumer behavior against sellers significantly
harms the profits and the market morale (Steenhaut, 2006).

Literature Review:
It is not surprising the unethical businesses practices done in our society at local as well as
international level. The newspaper accounts of unethical behaviours in business have raised
concerns about business ethics which have led to studies on their causes in organizations
(Carroll, 1978, 4).Todays the competition between the companies also increase for being leading
organization Hosmer emphasized that an attempt to improve their corporate competitive
positions made managers to take immoral actions (Hosmer, 1987, 439) and we can say as to
attain profit and to the purposes of cutting cost unethical strategies apply due to naturally bad
persons, Bazerman and Banaji felt that the cause of the unethical behaviours in organizations is
the presence of a few bad apples among organizational actors (Bazerman & Banaji, 2004,
111).Many leading organization have unethical behavior we can say as There are popular soft
drinks, fast food restaurants, and petroleum agencies that have been fined time and time again for
unethical behavior (Harwood, 1996) we can correct the situation by adopting ethical behavior for
business the Business ethics can be applied to everything from the trees cut down to make the
paper that a business sells to the ramifications of importing coffee from certain countries (Aiken,
1991).There is need to eradicate the suggestion about making money To some people, businesses
are interested in making money, and that is the bottom line (Solomon, 1983).Many laws work for
maintaining the ethical practices and Many major brands have been fined millions for breaking
ethical business laws (Cory, 2005:9) and avoidance of unethical fashion to attain maximum gain
Businesses can often attain short-term gains by acting in an unethical fashion (Sunstein, 2002)
and there is a need to create awareness both individual and organizational level Although laws
regarding the enforcement of business ethics are crucial for the healthy functioning of the
society, ethical behaviour should be studied and passed on to individuals in any profession.

Methodology:
The purpose of the methodology is to describe the research procedure. We use different methods
for data collection.
Primary Data collections methods:
Questionnaire
Group Discussion
In questionnaire we asked close ended questions for response. We took a sample of 35 and used
random sampling for response we target 8 employees, 10 students, and 9 housewives and 8
businessmen to fill the questionnaire. Data was coded into SPSS software and tested for its
validity and reliability. Descriptive statistics was applied to analyze the data.
Others sources:
In others sources we use different ways for data collection
Through Internet
Case Study Analysis
Relevant articles

Analysis:
This section presents the analysis of data in terms of descriptive statistics. First of all we use
frequencies to obtain cumulative percent.

Frequencies
Status

Frequency Percent
Valid Employee 8

Cumulative
Valid Percent Percent

22.9

22.9

22.9

28.6

28.6

51.4

Housewife 9

25.7

25.7

77.1

Business

22.9

22.9

100.0

Total

35

100.0

100.0

Student

10

Age
Respondents life years in ranges used for data analysis
Cumulative
Frequency Percent
Valid 20-40 26

Valid Percent Percent

74.3

74.3

74.3

41-60 5

14.3

14.3

88.6

61-80 4

11.4

11.4

100.0

Total

100.0

100.0

35

Education
Frequency Percent

Cumulative
Valid Percent Percent

Valid Below metric

2.9

2.9

2.9

Matriculation

2.9

2.9

5.7

Intermediate

8.6

8.6

14.3

Bachelor

22

62.9

62.9

77.1

Master and
above

22.9

22.9

100.0

Total

35

100.0

100.0

1.1 Do you argue with the retailer regarding


employment of child labour?
Cumulative
Valid Yes
No

Frequency Percent

Valid Percent Percent

25.7

25.7

25.7

26

74.3

74.3

100.0

100.0

100.0

Total 35

Upon asking a total random sample of 35 people, a conclusion has been made that not very many
people argue with a retailer regarding employment of child labour. This research shows that 74.3
% of people do not go into stores and inquire about why they have minors working for them. The
table drawn properly shows how unaware our community is and the lack of information that they
have regarding minors working while they should be in school.

1.2 Do you argue with retailer regarding tempered


products?
Cumulative
Frequency Percent

Valid Percent Percent

Valid yes

25

71.4

71.4

71.4

No

10

28.6

28.6

100.0

100.0

100.0

Total 35

Table 1.2 shows that 71.4% of people are aware of tampered products and do inquire regarding
them when they are out shopping. This table shows that people in fact are aware that not all
products are as good as they seem and could have been tampered with. Therefore they ask about
them before purchasing them.

1.3 Do you notice health and safety measures at


retailer business site?
Cumulative
Frequency Percent

Valid Percent Percent

Valid Yes

22

62.9

62.9

62.9

No

13

37.1

37.1

100.0

100.0

100.0

Total 35

While researching on weather people keep in mind health and safety measures when they enter
any business site, they were also asked about if they notice emergency exits in shops, if the shops
are clean, weather the shops bags are made of plastic or not, and if the shops have any fire alarm
systems. 62.9% of randomly sampled people said yes the do notice safety measures when in any
business site. This table shows that people are in fact concerned about their and others well being
while in a store and want all to be safe.

1.4 Do you check the expiry date while visiting


retailer to purchase the products?
Cumulative
Valid Yes
No

Frequency Percent

Valid Percent Percent

30

85.7

85.7

85.7

14.3

14.3

100.0

100.0

100.0

Total 35

Upon asking people about checking the expiry date of any product while purchasing them from
any retailer, many of them responded in a yes. 85.7% of the sampled people said that yes they do
inquire about a product and check to see if it has been expired or not. Table 1.4 shows that people
are well informed about products and always want to know if what they are purchasing is still
healthy to eat or not.

1.5 Do you argue with retailer regarding product life


cycle?
Cumulative
Frequency Percent

Valid Percent Percent

Valid Yes

17

48.6

48.6

48.6

No

18

51.4

51.4

100.0

100.0

100.0

Total 35

When asking a randomly sampled group of people if they ask a retailer about a products life
cycle, they were also asked if they inquire about products such as sweets, Fruits, meat and dairy
products. Table 1.5 shows that when this question was asked to people, about half of them
(48.6%), give or take a few, said that yes that do argue with retailers regarding a products life
cycle weather that be anything. Table 1.5 shows that while there are many people that are
concerned about their products life cycle, there are also many that it doesnt really matter to.

1.6 Do you face problems while service and delivery?


Cumulative
Frequency Percent

Valid Percent Percent

Valid Yes

25

71.4

71.4

71.4

No

10

28.6

28.6

100.0

100.0

100.0

Total 35

Table 1.6 shows that when people are in retail shop, 71.4% of the people face problems with
services and delivery. Out of 35 random people, 25 said that yes in fact they do face problems
with service and delivery and 10 said they do not. This table shows that majority of the people do
have trouble in stores with the service that they receive and are not satisfied with their delivery
methods or amount of time that it takes.

Descriptive
Descriptive Statistics

Minimum Maximum Mean

Std. Deviation

35

1.00

2.00

1.7429

.44344

Do You argue with retailer


regarding tempered
35
products?

1.00

2.00

1.2857

.45835

Do You notice health and


safety measures at retailer 35
business site?

1.00

2.00

1.3714

.49024

Do You check the expiry


date while visiting retailer 35
to purchase the products?

1.00

2.00

1.1429

.35504

Do You argue with retailer


regarding product life
35
cycle?

1.00

2.00

1.5143

.50709

Do You face problems


while service and
delivery?

1.00

2.00

1.2857

.45835

Do You argue with the


retailer regarding
employment of child
labour?

35

After conducting the frequency test, there was another test performed named the descriptive
statistics test. This test shows the average result of every question asked. Every question was
based upon an average of 1.5. If a question was greater than 1.5 that means that the majority of
the sampled people responded in a no, and if it was below 1.5 that means the majority responded
in a no. In question 1, the mean was 1.7429 which shows that most of the people said that yes
they do argue with retailers regarding child employment in their stores. In question 2, the mean
was 1.2857 which means that majority of the people do not ask regarding tampered products. In
question 3, the mean was 1.3714, which means that there are less people that notice health and
safety measures at a shop rather than those who do. In question 4, 1.1429 was the mean. This
shows that the majority does ask about or check a products expiry date while at a retailers shop.

In question 5, the average was 1.5143, which means that this question got about the same amount
of yes as it did no. Questions 6 had a mean of 1.2857, which means that the majority of the
people do in fact face problems with service and delivery while in a retailers shop.

Conclusion and recommendations:


This study uses a quantitative methodology based on a questionnaire on the retail industry, which
was administered to consumers in Vehari. The result prove that Vehari consumer have low
awareness of unethical business behaviour. Through analysing the response of the respondents
over six dichotomous variables (research questions), majority of the respondents agree with that
the brand image of the retailer is having significant association with various ethical issues
including employment of child labour, product tempering, health and safety measures on retailer,
knowing about expiry date, service and delivery and finally product life cycle. The overall
responses tends to Yes means ethical issues are highly matters to build a awareness of
consumer towards the retailers in Vehari. We also conclude that there is much variation in
response of the respondents due to difference in their age and especially due to difference in their
educational background. Here we recommend that the retailer can enhance its brand image while
educating society especially the people having lack of understandings and knowledge about
ethical practices being adopted by the retailers. We were also facing some limitations while
conducting the survey that we tool a small sample size. The results would be more applicable if
we use a larger sample size, a research instrument covering the other more important aspects of
ethical issues and approached the respondents through proportionate stratified random sampling
technique.

References:
Aiken, L. R. (1991). Psychological Testing and Assessment (7th Ed.). Boston: Allyn and
Bacon.Enron.
WorldCom. Tyco. Cendant. Bernie Madof.Decline Of Unethical Behavior In Business,
How The Quality Professionals Can And Should Meet The Challenge
Marylyn Carrigan, Ahmad Attalla, (2001),"The Myth Of The Ethical Consumer - Do
Ethics Matter In Purchase Behavior?", Journal Of Consumer Marketing, Vol. 18 Iss: 7 Pp.
560 578

Bhattacharya, C. B., And Sen, S. (2003). Consumer--Company Identification: A


Framework for Understanding Consumers' Relationships with Companies. Journal of
Marketing, 67(2), 76-88.

Creyer E., And Ross, W. (1997). The Influence Of Firm Behavior On Purchase Intention:
Do Consumers Really Care About Business Ethics? Journal Of Consumer Marketing,
14(6).

Broni2 Georgia At Al, (2010) Ethical Dimensions In The Conduct Of Business: Business
Ethics, Corporate Social Responsibility And The Law. The "Ethics In Business" As A
Sense Of Business Ethics

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