Most Companies Are Unlikely to Intentionally Provide Shoddy, Harmful, or Unsafe

question 122

Multiple Choice

Most companies are unlikely to intentionally provide shoddy, harmful, or unsafe products because ________.

• A) they won't face liability lawsuits and expensive awards for damages
• B) they want to develop long-term relationships with their customers
• C) they know that customers will shrug off errors for a while
• D) they are confident they can appease consumer groups and regulators
• E) it costs more to provide quality products

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Definitions:

Social Regulation

Rules designed to protect the public interest by controlling how businesses operate, focusing on issues like health, safety, and the environment.

Industrial Regulation

Government policies and rules that oversee the operations, standards, and competitive practices of businesses within specific industries.

Deregulation

The decrease or removal of governmental control in a specific sector, typically implemented to enhance competitive conditions within that sector.

Industrial Policy

Government measures aimed at improving the competitive stance and capabilities of domestic industries.