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Do ethical practices affect a firm's s ability to develop brand as a source of competitive
advantage? If so, how does this happen? Can you think of brands that are a source of competitive
advantage at least in part because of the firm ethical practices?
Solution
Do ethical practices affect a firm's s ability to develop brand as a source of competitive
advantage?
Absolutely. Some firms conduct business ethically and while developing a brand have other
company overseas who act unethically and copy it for a much lower cost. This adversely impacts
their brand and competitive advantage.
If so, how does this happen? Can you think of brands that are a source of competitive
advantage at least in part because of the firm ethical practices?
Another example would be Nike who has it's brand affected as a result of using underage
children overseas in adverse labor conditions. This made some people protest their labor
practices and refuse to buy Nike products.
Ben & Jerry's Ice Cream - They are ethical by having a very environmental friendly company
and donating some profits to charity. This affect their brand and competitive advantage in a
positive way.

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Do ethical practices affect a firm-'s s ability to develop brand as a.docx

  • 1. Do ethical practices affect a firm's s ability to develop brand as a source of competitive advantage? If so, how does this happen? Can you think of brands that are a source of competitive advantage at least in part because of the firm ethical practices? Solution Do ethical practices affect a firm's s ability to develop brand as a source of competitive advantage? Absolutely. Some firms conduct business ethically and while developing a brand have other company overseas who act unethically and copy it for a much lower cost. This adversely impacts their brand and competitive advantage. If so, how does this happen? Can you think of brands that are a source of competitive advantage at least in part because of the firm ethical practices? Another example would be Nike who has it's brand affected as a result of using underage children overseas in adverse labor conditions. This made some people protest their labor practices and refuse to buy Nike products. Ben & Jerry's Ice Cream - They are ethical by having a very environmental friendly company and donating some profits to charity. This affect their brand and competitive advantage in a positive way.