American Company Discussion

Case1:

1. What are the ethical problems mentioned in this particular case and what are the probable causes of these problems?

• The unethical ways of maximizing short-term gains would lead to ethical problems. It is where managers were pressured making them focus only on achieving a high profit for them to maintain their position without considering whether or not their products were all safe for customers. Moreover, the managers became reflective and questioning for they focus only on the particular activity of the firm. The problem shows how the CEO and manager sometimes do blind obedience for the sake of the company and simply not to be fired. The cause of this problem is that the company is focused on making money rather than focusing on making value. 

1. Is it alright to do something illegal or unethical to maintain the company’s image and profitability?

• No. Ethics is an important role in business. It is the unwritten laws that guide us in determining what is right and what is wrong. Business should not just look after its own interests but also for the common good. If the company or the business is taking care of its clients and prospective clients by delivering good products or service and developing excellent content, they will like the organization. The company should focus on giving to receive much more in the end.

1. If you are the CEO of the company, what would you do and why?

• I will make moral or rational decisions. I will talk to my employees about the issue. I will ask for suggestions from them and all issues will be solved by us together. We will not only focus on the money but to make sure how we are going to keep our clients and to find ways how we’re going to keep them patronizing the service and product of the company.

Case 2:

1. Was the action if Mr. Dy to cancel the contract legally correct and morally justified?

-No.