Topic > Case Study on Bangladesh Textile Industry - 705

1. From an economic point of view, has the transition to a free trade regime in the textile sector been positive for Bangladesh? The move to a free trade regime in the textile sector has been positive for Bangladesh. Bangladesh prospered when other economies were not doing as well. The textile industry has grown significantly, so much so that it has become one of the main reasons why the economy has continued to grow. Bringing in more and more billions and billions from exports between 2006 and 2012, as mentioned in the book.2. Who benefits economically when retailers in Europe and the United States purchase textiles from low-wage countries like Bangladesh? Who could lose? Do the gains outweigh the losses? Economically, low-wage countries and the country in which they conduct businessWhat are the causes of poor safety in Bangladesh's garment industry? Do Western companies that import clothing from Bangladesh have any responsibility for what happened at Rana Plaza and other workplace accidents? The causes of poor safety in Bangladesh's garment industry are due to Western companies importing garments from Bangladesh and the government. The government could use its power to improve conditions in Bangladesh, but instead it sits back and does nothing about it. Furthermore, Western and other similar companies that have chosen to conduct business with industries such as those in Bangladesh seek to produce their products effectively and efficiently. Therefore, bad working conditions should be expected because those companies should know the situation those industries are in because their country is poor. However, Western companies are responsible for what happened at Rana Plaza and other workplaces. What do you think about Walt Disney's decision not to purchase goods from Bangladesh? Is this an appropriate way to approach the problem? Walt Disney has the right not to conduct business with Bangladesh. However, I don't think their way of addressing the problem is adequate because it doesn't help solve it. Walt Disney must have known that the working conditions were not up to standard, but he still did business with Bangladesh. Therefore, their decision to break free and not help solve the problem makes them look bad..6. What do you think of Walmart's approach to this issue? Is the company doing enough? What else could he do? I applaud Walmart for not saving Bangladesh like Walt Disney did. Therefore, I think their approach to the problem is correct. According to Walmart, hiring inspectors helps improve working conditions and ensure worker safety. Walmart also accepted that the value of its products may increase due to the situation in Bangladesh, such as renovations. The book states that the main reason why Walmart didn't want to sign the agreement was the fact that it was legally binding, so I think Walmart could just give Bangladesh whatever amount it wanted without signing an agreement.