0:00
Hello.
00:01
So here we are told we can imagine that companies in the alcohol, tobacco, or firearms business may need a need to diversify into less scrutinized or regulated businesses in the ongoing effort to strengthen their competitiveness and market positions.
00:15
So we asked what might the ethical issues related to these core businesses affect their ability to enter or cost of entry into new businesses and how might these issues affect the ability to exit or the cost of exiting the traditional businesses or, does it even matter? while the steps in creating a case here would be the cost and ability to enter, so the cost and ability to enter.
00:55
So here in the section, we mentioned that when the business owners want to enter into a new industry, they are faced with costs, such as the hiring of new people and bringing in sales, et cetera.
01:07
So these costs, are going to be exceptionally higher when the company was previously engaged in practices that the stakeholders, such as the customers, staff, etc.
01:19
So we can explain how these ethical issues related to their core business may impact the costs and the ability to enter using the subpoints of customer perception, higher cost of living, and higher scrutiny.
01:36
And then in conclusion, we can mention that businesses have been part of a less ethical area, such as liquor, cigarettes, et cetera, are more likely to face resistance and increase costs.
01:51
So they're more likely to, again, face resistance and increased costs...