Vibram Company take makes Five-fingers running shoes had made a fake and unproven claim about the health benefits of its glove-like footwear. Vibram Company had cheat the public by using advertisement that footwear could lessen foot injuries and build up foot muscle, but it is not support those assertions on any scientific merit. Vibram was considering cheating and gave wrong information in advertisement, it is the unethical issue. Next, the footwear of Vibram Company cannot reduce foot injuries and strengthen muscles unless it has the scientific confirmation proves it then only can consider has the health benefit. Furthermore, Vibram Company also charge expensively about the footwear, the customer pays more for them. …show more content…
As the advertisement is giving a false and non-scientific statement and it will misguide the public. I think that Vibram should test their product by conducting some experiment to verify the abilities of the product. • Economic Point of View Although profit is often use to measure the success of the company, but an organization should also doing businesses ethically. However, doing business ethically would give some impact to your organization. In this scenario, Vibram will experience a huge lost of profit. As Vibram using the advertisement tactic and after that the truth are find out by the public, the organization have to pay a lot of money as a compensation payment to the customer. Other than that, Vibram is also need to recall and buy back the entire product and destroy it. Furthermore, it will also affect the reputation of the organization and it will tend the losing customer. As the customers will no trust Vibram anymore although Vibram develop new kind of product. Vibram will have the difficulties to compete with their competitor because Vibram will lose market share in sportwear industry. • Legal Point of