Hypothetical scenario presented in class:

 

 

You are CEO of an American based meat manufacturing company.

 

You receive your first international order from a firm in Germany requesting 5,000 pig livers.

 

You pack and ship the product without any problems.

 

However, one week later, the German firm contacts you and complains that you sent them 1,500 female pig livers, which are not the same quality as that of a male (apparently male pig livers are "firmer").

 

As a result, the German firm had to lower the regular price in order to sell and is requesting that you, in turn, lower the price previously agreed upon by $1,000.

 

The details of the case don't matter, its more the underlying message of which standards should a company abide by if they are dealing abroad.

 

Anyway, I proposed to the class of allowing the $1,000 credit.

 

Why?

 

The standards of the country for which the goods are to be sold because they assume the most risk in the transaction.

 

It seemed to be common sense.

 

Why should the German firm have to pay for subpar female pig livers they cannot, in turn, sell?

 

 

 

My Professor said that I was wrong, and continued lecture with ways to sneak clauses into contracts assuring that American standards are followed.

 

I don't understand why business cannot be conducted with mutual respect in mind.

 

I understand that business is about making money, but it should not be at the expense of another...

 

I am not enjoying this last semester. Not in the slightest. 

 

I just had to rant somewhere. ^^;