Managerial Economics & Organizational Architecture 6th Edition by James Brickley , Clifford Smith ,Jerold Zimmerman

Exercise 6

The Body Shop has been widely noted for its ethical stands in its business: natural cosmetics, "Products for People Tested by People," and First World wages for Third World products. Recently, Jon Entine published an analysis of the Body Shop in Business Ethics, alleging false advertising and other ethical lapses. Would you expect such charges to have more or less of an impact on a company like the Body Shop that touted its business ethics than if the same charges were leveled against a competitor who made fewer claims