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An organisation gives fair price to customers but deliberately delays supplier payments. What will be said from social objective viewpoint?

Answer and explanation

Correct answer: Social objective is incomplete because fair treatment relates to all stakeholders

Direct answer: A, the social objective is incomplete because fair treatment applies to all stakeholders. Social responsibility is broader than pleasing customers. It includes honest and fair conduct toward employees, suppliers, customers, government, the community and sometimes the environment. Step by step: fair prices help customers; suppliers also provide essential inputs; deliberately delaying their payment harms their cash flow and breaks fair dealing; therefore customer fairness alone cannot make the social objective complete. Option A is correct. Option B is wrong because one satisfied group does not cancel harm done to another stakeholder. Option C is wrong because suppliers have legitimate interests, including timely and fair payment. Option D is wrong because delayed payment is not growth; it is unfair financial conduct unless there is an agreed, honest arrangement. Memory cue: social responsibility means fair dealing with every affected stakeholder, not only the buyer.

Related tags

Social-ObjectiveSuppliersFair-Treatment

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