1. The introduction to the case explains that when we consider an organization as the anchor of a supply chain, we extend the boundaries of the organization itself. Brian Durkee, for example, manages the members of Numi's supply chain, which are external to the organization, in much the same way that, we assume, he manages the company's internal units. Judging from the video, how would you characterize the nature of the organizational politics in this extended organization? Applying Figure 14.2 to what the video tells us about Numi's political behavior in this extended organization, summarize the role and nature of ethical considerations in this behavior.
2. A type of conflict called interorganizational conflict can occur between two organizations, such as the members of a supply chain. Can you think of two or three different forms that interorganizational conflict between Numi and a supplier might take (e.g., a disagreement over worker wages)? What might be the most likely causes of a given conflict? The most likely consequences?
3. In the event of conflict in this extended organization, what role in resolving it might be played by each form of organizational justice discussed in the chapter-distributive, procedural, interpersonal, and informational? In your opinion, which form or combination of forms is most likely to be effective? Explain your answer.
4. Fair Trade products such as tea are priced in roughly the same range as other high-quality specialty-food items, such as organic products. The quality is in fact typically higher because many Fair Trade importers, like Numi, encourage higher quality.† Assuming that you're in a position to afford it (and assuming that you have a consumer preference for high-quality tea), would you pay the premium-the portion of the price above the price charged for non-specialty brands-for Fair Trade tea products like those sold by Numi? Why or why not?
5. Now suppose that you read the results of a study that claims the following:
Even analysts sympathetic to the [Fair Trade] movement have suggested that only 25 percent of the premium reaches producers. No study ever produced has shown that the benefit to producers . . . matches the premium paid.‡
Although you're not in the habit of taking everything you read at face value, you're now more sceptical about Fair Trade promises than you were before reading the article. If you answered yes or probably to question 4, how (if at all) would your purchase decision change? In your opinion, what role does the politics of the extended organization play in the distribution of revenue from Fair Trade products? What role might it play in addressing any injustices in the Fair Trade system?