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A fruit shop has experienced strong growth in its sales of fresh organic fruit since it started to sell online - HSC - SSCE Business Studies - Question 24 - 2016 - Paper 1
Question 24
A fruit shop has experienced strong growth in its sales of fresh organic fruit since it started to sell online. (a) Discuss ONE possible method of inventory managem... show full transcript
Worked Solution & Example Answer:A fruit shop has experienced strong growth in its sales of fresh organic fruit since it started to sell online - HSC - SSCE Business Studies - Question 24 - 2016 - Paper 1
Step 1
Explain why corporate social responsibility should be a key concern in operations management for this business.
Answer
Corporate social responsibility (CSR) is crucial for the fruit shop as it directly affects customer trust and brand reputation. As a business selling organic fruit, customers are likely to prioritize sustainable practices and ethical sourcing in their purchasing decisions.
Importance of CSR:
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Customer Loyalty: Emphasizing CSR initiatives, such as sourcing from local farmers or minimizing carbon footprints, helps build a strong relationship with customers who value sustainability. These practices can enhance customer loyalty and lead to repeat business.
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Regulatory Compliance: As consumer preferences shift towards more ethically sourced products, adhering to CSR standards can prevent potential legal and regulatory issues that may arise from unethical practices.
By integrating CSR into its operations management, the fruit shop not only meets ethical obligations but also positions itself to attract a dedicated customer base focused on sustainability.