Question

The Market Approach to consumer protection states that if consumers do not place a high value on safety (or are unwilling to pay for it), then it is wrong to force them to pay for higher levels of safety through regulation.

a. True

b. False

6.         The Due Care theory is based on the idea that consumers and sellers do not meet as equals and that consumers are vulnerable to being harmed by manufacturers, who have a knowledge and an expertise that the consumer is missing.

a. True

b. False

7.         For the Contractual View theory of consumer protection to work, there must exist an actual contract that the customer has signed.

            a. True

            b. False

8.         The Club of Rome got its name from how its predictions are based on the example of the fall of the ancient Roman empire.

            a. True

            b. False

Part II: Paragraph Answers. Answer all questions.  Write a short paragraph, two or three sentences, around 50 - 75 words for each answer. Remember, if possible, always combine each question’s multiple issues into a singular answer. Do not go too far and try to write about everything you can think of for a question—keep it economical and under 100 words each. NOTE: Grading will take into consideration the content, language (grammar, spelling, punctuation etc.) and structure. Answer directly below the question.

2 points each.   

1. Discuss one or two things that the study of business ethics can learn from the idea of “The Tragedy of the Commons”?

2. Discuss one thing you think Oman needs to do better regarding the issue of environmental sustainability.  

3. Which do you feel is the better approach to consumer protection, the Market Approach, or the Due Care approach? Defend your position.

4. Discuss the basic difference between caveat emptor and caveat vendor. Which one do you think businesses should be following? Why?

5. Discuss one of the reasons why people criticize the business of advertising. Agree or disagree with this criticism and defend your opinion.

6. What was wrong with the exponential rate model of resource depletion? Why has it been replaced by the peaked rate model?

7. On the topic of non-renewable resource depletion, are you a techno-optimist or a techno-pessimist? Defend your position and explain why you feel the other side is wrong.

8. Apply the precautionary principle to the case of Ford and the crash tests for the Pinto. What does the principle say Ford should do about the car?

Answer 1

1) Solution: True
Explanation: According to the market approach to consumer protection when the consumers would not be placing a high value on safety then will be not be right to force them to pay for higher safety levels through regulation
2) Solution: True
Explanation: According to the due care theory of the manufacturer’s duties towards the consumers states that sellers and consumers do not meet as equals; and as result the interest of consumer’s are vulnerable particularly to being harmed by the manufacturer who has expertise and knowledge which the consumer lacks
3) Solution: True
Explanation: For the Contractual View theory the contract is legally enforceable when customer has signed
4) Solution: False
Explanation: The Club of Rome was founded when a tiny global group of people from the fields of civil society, academia, and diplomacy met in Rome at Villa Farnesina
As per policy we have to answer first four parts