Critical Evalutation on Pacfic Brands Case Study
CASA 3 : Case for critical thinking – Pacific Brands Case Study
The management issue, ethical responsibility can be identified when the company Pacific Brands had announced that they were closing all seven factories in Australia and moving the manufacturing overseas due to the fact that labour would be much cheaper overseas as well as Australian’s would be paying less money for the same clothes. This highlight’s Pacific Brand’s action to take the company overseas, being negative aspect of ethical responsibility. This selfish act would give the business a bad name/reputation. A multinational company may move its manufacturing facility to a developing country to reduce costs. Practices acceptable in that country, such as child labour, poor health and safety, poverty-level wages and coerced employment, will not be tolerated by an ethical company (Lynne MacDonald, 2011). Pacific Brands has displayed no duty to follow a morally correct path with the organisation in terms of ethical responsibility. Although it can be argued that this action to move overseas would increase employment opportunities overseas.
Another management issue that can be seen by Pacific Brands is corporate social responsibility. The public image displayed is not very positive as it was evident Pacific Brands portrayed no sense of care for the current 1850 employees that had been working for the company. The company is now seen as a foreign organisation displaying the disadvantages of corporate social responsibility. This is also not good for the Australian economy as the manufacturing is done over seas for cheaper labour. Pacific Brands has not embraced responsibility for the company's actions and encourage a positive impact through their
The management issue, ethical responsibility can be identified when the company Pacific Brands had announced that they were closing all seven factories in Australia and moving the manufacturing overseas due to the fact that labour would be much cheaper overseas as well as Australian’s would be paying less money for the same clothes. This highlight’s Pacific Brand’s action to take the company overseas, being negative aspect of ethical responsibility. This selfish act would give the business a bad name/reputation. A multinational company may move its manufacturing facility to a developing country to reduce costs. Practices acceptable in that country, such as child labour, poor health and safety, poverty-level wages and coerced employment, will not be tolerated by an ethical company (Lynne MacDonald, 2011). Pacific Brands has displayed no duty to follow a morally correct path with the organisation in terms of ethical responsibility. Although it can be argued that this action to move overseas would increase employment opportunities overseas.
Another management issue that can be seen by Pacific Brands is corporate social responsibility. The public image displayed is not very positive as it was evident Pacific Brands portrayed no sense of care for the current 1850 employees that had been working for the company. The company is now seen as a foreign organisation displaying the disadvantages of corporate social responsibility. This is also not good for the Australian economy as the manufacturing is done over seas for cheaper labour. Pacific Brands has not embraced responsibility for the company's actions and encourage a positive impact through their