What are the ethical issues raised by Tandy’s payment practices

Question 1 What are the ethical issues raised by Tandy’s payment practices?

The first issue that came to mind when first reading this question was the fact that Tandy is intentionally paying his suppliers later rather than on time.

Question 2 What impact, if any, might these practices have on the firm’s supplier relationships? How serious would this impact be?

This issue could have a few different impacts on the firm. First of all, Tandy is ordering more supplies while he is technically still in debt with his suppliers. This could create a lot of trust issues and financial arguments.

Question 3 What changes in company culture, employee behavior, or relationships with other business partners may result from Tandy’s practices?

Like said above, this behavior could create a very large gap between Tandy’s business and his suppliers. The suppliers will eventually notice how in debt he has gotten himself and wont trust that he will be able to pay them back. After a while, a business will not continue to supply items if they are not getting their part of the deal back.