Ethical Dilemma: You are Vice President for International Sales at FoodTrade, a large trading company that exports processed foods to Africa. You are tariffs (typically 75 percent) on processed food imports.

These barriers raise FoodTrade’s cost of doing business and make your prices less competitive in African markets. However, Africa suffers from widespread poverty, and African governments use tariffs to raise needed revenues and achieve policy objectives.

Using the concepts in this chapter and the Ethical Framework in Chapter 4, analyze the arguments for and against high agricultural tariffs in Africa. How do the tariffs harm or benefit Africa? Do you perceive any ethical concerns in Africa’s use of high tariffs on agricultural goods? What ethical concerns do you perceive in FoodTrade’s efforts to avoid the tariffs? How should FoodTrade respond to the tariffs?

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