| Playing Fair with Price | |||
| Topic | Pricing Concepts and Pricing Determination | ||
| Key Words | Fair trade products, living wage, corporate citizenship | ||
| InfoTrac Reference | CJ120731955 If your textbook came with an InfoTrac passcode, click here to login on InfoTrac. |
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| News Story |
Some retailers charge higher-than-market prices for products as part of an international campaign to help workers earn a wage in poor countries where such products are made. This practice, known as fair trade, is designed to help developing countries ensure healthy work conditions, build schools, protect the environment, and preserve ancient artistic traditions. Scores of fair-trade organizations, nonprofits, wholesalers and other businesses have sprung up recently, selling everything from coffee to carvings while ensuring that 15 percent to 30 percent of the retail price goes to the artisans. Starbucks recently began selling more expensive fair-trade coffee, and last year Dunkin' Donuts began making espresso drinks with fair-trade beans. Supermarkets are also selling everything from chocolate to bananas with fair-trade labels. |
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| Source | Jessica Guynn,"Fair trade' merchandise slow to catch on," Knight Ridder/Tribune Business News, August 15, 2004 pITEM04228000. | ||
| Instructor Discussion Notes | Discussion
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