Skip to content

Ask the Tutor ACCA BT

Ethic

Ttohir5y ago
.A Coard B Co are competitors in the oil industry who, between them have a 90% market share. The chief executives of the two companies meet at a conference and have a private meeting at which they make several agreements Which of the following agreements would represent unethical business practice? A)An agreement to transport oil across a shared pipeline B)An agreement to commence research into environmental issues C)An agreement to develop joint technology for future use D)An agreement to set prices at a part cular level For me answer B Can you help me to understand clearly answer
kengarrettkengarrettTutor5y ago#1
The answer is D. Forming a price cartel is anti-competitive and harms consumers by avoiding the market mechanism that normally keeps prices low. All the other agreements are potentially beneficial to all stakeholders.
Sign into reply to this topic.