187k views
4 votes
Manufacturers and vendors have long realized that they can earn tremendous profits by selling counterfeit or reused products as originals. What is the term used to describe such manufacturers and vendors?

1) Subjective
2) Punctilious
3) Unscrupulous
4) Indecisive

User Vikramjb
by
8.5k points

1 Answer

5 votes

Final answer:

Unscrupulous manufacturers and vendors sell counterfeit goods, contributing to imperfect information in the market. Sellers can reassure buyers by providing detailed descriptions, certifications, warranties, and transparent customer service.

Step-by-step explanation:

Manufacturers and vendors who sell counterfeit or reused products as originals can be termed as unscrupulous. These unscrupulous entities prioritize profit over ethical standards and can mislead consumers, often contributing to the problem of imperfect information in the market. Imperfect information refers to a situation where buyers and sellers are not completely certain about the qualities of the products being exchanged. This uncertainty can discourage market participation as high-quality sellers struggle to demonstrate the value of their products and buyers are unwilling to pay higher prices without assurance of quality.

To counteract the effects of imperfect information, sellers may adopt various strategies to reassure buyers. They can supply detailed product descriptions, provide third-party certifications or quality assurance seals, offer warranties or money-back guarantees, and maintain a transparent and accessible customer service. These efforts can help to bridge the gap of information asymmetry and foster a more trustworthy and stable market environment.

User Mjmitche
by
7.2k points