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Amisha | Please help me? |
Is it proper to purchase stocks in a shoe company that uses child labor in developing nations to manufacture its product? why or why not? |
 |
 
stockpicker2010
 |
Remove emotion from your investing.
The thing to remember about stock is that once it is offered publicly, the stock belongs to the public, not the company. Sure, their officers and that hold a lot of shares but think of it as competing against another investor instead of buying directly from the company.
However, if you have principles, then stick to them. Personally, if I knew that a certain company used unethical tactics, I would not buy into them, but I would sure sell them short! I would go long some Put options, if they looked like they were going to tank. At least that way I can get some satisfaction out of the fact that the company was going down in flames.
Best of luck to you! |
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sweet heart
 |
If they're abiding by the laws, it's okay. But I believe child labor is wrong. |
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Elana
|
If, by "proper", you mean "ethical", then you need to compare the ethics
of the other places you could get shoes and perhaps consider the
consequences of not getting shoes.
You can drive yourself crazy this way.
You could also argue that by buying these shoes, you are pumping money
into the economy of a developing nation and that as it develops, it will
eventually develop its own child labor laws! (I said you could argue
that, I didn't say you'd believe yourself).
Despite recent ads to the contrary, I think you should go ahead and
buy the shoes and then write nasty letters to the company - you now
have the leverage of being an unhappy customer. |
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annastasia1955ca
|
not propah!!!!!!!!!! |
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normobrian
|
NEVER buy individual stocks. Invest in mutual funds for long-term investments and money markets for ready-cash investments.
Mutual funds have averaged 10-12% over the last seventy years (including the Great Depression). Only invest in funds that have at least a five year track record.
Investing in single stocks is no different than gambling in Vegas. No difference, whatsoever. |
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robbet03
|
It depends on how you feel about the issue. |
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mukesh padhya
 |
sooner or later child labor issue may hamper company's performance and stock price can go down why risk it? better invest in my company - no child labor. |
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