Country Selection: Culture and Ethics Considerations - Essay Example

This paper will throw light over socio-cultural and ethical factors that are encountered by organizations during globalization of their products andservices. The paper will specifically discuss any underlying issues that a US grain exporter could come across during business expansion process in Morocco. 1. Socio-Cultural Factors It is worthwhile to mention that social and cultural factors should always be considered when going global and globalizing a product or a service. Indeed, the societal values, norms, standards and taboos should always be taken into account to localize the product according to local needs and desires.

In this case, the chosen product is Wheat that will be exported to Morocco because of growing consumption. For instance, the Morocco government authorities have recorded significant decline in wheat production due to natural disasters and calamities. It should be highlighted that people of Morocco are quite concerned with quality and tend to disregard business partners who fail to meet their promises. Since wheat is a product with price inelastic demand; therefore, the exporters from USA have to satisfy Morocco importers regarding their quality standards and have to constantly focus on maintaining wheat quality.

In addition, the Moroccans, in general, have inclination towards food so they do not compromise on food quality standard. This should be recalled that wheat is used an intermediate good to produce various food products. Nevertheless, the failure in maintaining desired grain quality would lead to impairment of business relationships as well as compel Morocco government authorities to raise complaints against US businessmen because of violation of contract terms. In other words, breach of contract conditions is also viewed as misleading and disrespecting Morocco people (Johnston, n.d). 2.

Ethical Considerations Business ethical principles should always be followed to enhance reputation and goodwill among the customers, partners, shareholders and stakeholders. For instance, one of the ethical responsibilities is to ensure environmental safety and security by offering want-satisfying products in a socially responsible manner. The second major ethical responsibility is to ensure consumer safety through disclosure of sufficient knowledge, which would enable customers in making right purchase decisions.

In the light of above, I would like to mention that a US wheat exporter is ethically responsible in disclosing what kind of wheat will be exported and of what grade (for example – 1st class, B-quality, C-quality etc.). In simple words, wheat is used in manufacturing of food products; therefore, the consumer health and safety is directly associated with wheat quality. For instance, if export of C-quality wheat, unhygienic and unfit for human consumption, leads to epidemic diseases then this would be ethically and morally incorrect.

Indeed, US exporters could explain Moroccan importers that they would not export unhygienic wheat (even if buyers / importers demand) to ensure health safety of masses. Usually, the importers in emerging countries (like India, Pakistan, Morocco, Bangladesh etc.) do not comply with certain food standards due to negligence of government authorities; therefore, consumers have to suffer. However, US exporters are ethically responsible to avoid trade of unhygienic below par grains. References Johnston, Manda (n.d). The United Kingdom of Morocco.

Every Culture [Online] Available at http://www.everyculture.com/Ma-Ni/The-United-Kingdom-of-Morocco.html