Explain how a business owner who continually practices taste-based discrimination may eventually pay for his decision to discriminate in terms of declining productivity and profits, especially if he is in a highly competitive industry

What will be an ideal response?

If a person who practices taste-based discrimination hires less-productive people due to the discrimination, the lesser amount of productivity will result in lower profits. If the industry is highly competitive and the competitors do not practice taste-based discrimination, some of those people not hired by the discriminating employer may end up working for a competitor, and their higher levels of productivity will make the competitor even more competitive and productive, doing further harm in terms of competitiveness and profit to the discriminating employer.