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QUESTION IMAGE

why does practicing negative ethics lose the interest of future investo…

Question

why does practicing negative ethics lose the interest of future investors? select two that apply. a investors will not have any ownership of the company. b investors will be getting their money back. c investors may not want their name to be associated with the business. d poor ethical practices usually mean lower profits.

Explanation:

Brief Explanations
  • Option C: Investors care about their reputation. If a business has negative ethics, investors may not want their names associated with it as it could harm their own image.
  • Option D: Poor ethical practices can lead to various problems like legal issues, loss of customer trust. These factors usually result in lower profits. Since investors are interested in profit - making, lower profits would make them lose interest.
  • Option A: Having ownership is not directly related to negative ethics losing investor interest.
  • Option B: Getting money back is not the main reason for losing interest due to negative ethics.

Answer:

C. Investors may not want their name to be associated with the business.
D. Poor ethical practices usually mean lower profits.