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Because Amex does not own the Chinese factory, it is not directly liable for the employment conditions of its suppliers. They are still accountable for
Because Amex does not own the Chinese factory, it is not directly liable for the employment conditions of its suppliers. They are still accountable for their suppliers' working conditions, though, because they have a contract with the manufacturer that requires the business to adhere to specific working conditions and employee safety standards.
Amex has a few choices for dealing with concerns of poor industrial working conditions. They had the option of doing nothing, canceling their contract with the factory, or collaborating with the factory to improve working conditions.
Jim, the CEO of Amex, has decided to take a cultural relativism approach to the problem and send a team of Amex employees to the factory to investigate the working conditions and see if they can be improved.
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