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Who are the stakeholders affected by the production and marketing of poor quality products?

1) Customers
2) Employees
3) Shareholders
4) Suppliers

1 Answer

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Final answer:

Production and marketing of poor quality products negatively affect customers, employees, shareholders, and suppliers, impacting satisfaction, job security, investments, and demand respectively.

Step-by-step explanation:

The stakeholders affected by the production and marketing of poor quality products include: Customers, who may experience dissatisfaction or harm from using the product; Employees, whose job security and satisfaction can be impacted by the company's reputation; Shareholders, who may see their investment depreciate due to reduced profits; and Suppliers, who might be affected by a reduced demand or be associated with the negative image of the product. The production of better or less expensive products tends to have a positive impact on consumers, businesses, and employees, leading to increased profits and incomes, which can outweigh the losses incurred by the nation as a whole. However, the presence of imperfect information regarding product quality can discourage market participation from both buyers and sellers.

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