Mountain Equipment Co-Op Report

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Submitted By cav35555
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Mountain Equipment Co-op Report
In this report our group discusses the ethics and impacts of MEC’s decision to shift from primarily Canadian manufactured goods to offshore facilities. We will discuss which stakeholders are affected, how they are affected, how they are going global and the risks and investments involved, the ethical issues involved in purchasing offshore goods and MEC’s sustainability strategy.
MEC’s decision to carry products manufactured in offshore facilities will affect the following stakeholders: Stakeholder | Effect | Description | Canadian Manufacturers | Suffer | They will lose business | Offshore Manufacturers | Benefit | They will gain business | Consumers | Benefit | High quality products for low cost | Investor(members) | Benefit | More surplus will return more dividends | Canadian Employees | Suffer | Lose jobs as manufacturers lose business | Offshore Employees | Benefit | Better work environment and pay rate | Governments | Benefit | Canada: More tax revenue as consumers will buy cheaper products.Offshore: Investment in the country and increasing employment rate |

MEC is ‘going global’ by purchasing from offshore manufacturers, increasing its global influence through parternerships, improving foreign work environments, and purchasing from sustainable manufacturers. In addition MEC is a member of the UN global compact, Canadian business, and the Social Responsibility Labour Association. There is a higher degree of investment involved with MEC going global than the risks. The risk is finding reliable manufactirers, they might lose some loyal customers who want to buy products exclusively made in Canada. The investments are they will have to set up a distribution chain, awareness in offshore communities which will in future help them get international customers if they plan to sell offshore. MEC is a company…...

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