Management
Chapter 1
1. What are the potential ethical issues faced by Acme Corporation?
The problem here lies with Amber too who constantly allows Frank to give gifts to Otis in exchange of bigger business share. This can lead to serious problems because Amber is not treating all business partners the same way and special effort is being made to satisfy Frank and his wife. Acme Corporation is worried about gift-giving and how it might be perceived. Gifts given to one individual can be viewed as an ethical problem and may constitute bribe. In this case, we see that personal gifts were given only to Otis who could lead to bribery accusation against Frank and Acme Corporation.
2. What should Acme do if there is a desire to make ethics a part of its core organizational values?
Amber and Frank get away with extending gifts because there are seriously no rules laid down on special services given to business partners. Acme employees know that the only thing that matters is bigger business chunk and as long as they bring in business, they should be okay with it.
3. Identify the ethical issues of which Frank needs to be aware.
Frank is the more innocent of the two people involved. Otis knows very well that he is asking for favors while Amber is also fully aware of the length and breadth of her actions. It is Frank who is in doubt and is wondering if he is doing the right thing and this is the reason he consults Amber.
4. Discuss the advantages and disadvantages of each decision that Frank could make.
Advantages are clear from the case. When Frank gives gifts to Otis knowing that Otis is seeking those privileges, he gets better business deals. His standing in the company improves and he gets bigger bonuses.
1. What are the potential ethical issues faced by Acme Corporation?
The problem here lies with Amber too who constantly allows Frank to give gifts to Otis in exchange of bigger business share. This can lead to serious problems because Amber is not treating all business partners the same way and special effort is being made to satisfy Frank and his wife. Acme Corporation is worried about gift-giving and how it might be perceived. Gifts given to one individual can be viewed as an ethical problem and may constitute bribe. In this case, we see that personal gifts were given only to Otis who could lead to bribery accusation against Frank and Acme Corporation.
2. What should Acme do if there is a desire to make ethics a part of its core organizational values?
Amber and Frank get away with extending gifts because there are seriously no rules laid down on special services given to business partners. Acme employees know that the only thing that matters is bigger business chunk and as long as they bring in business, they should be okay with it.
3. Identify the ethical issues of which Frank needs to be aware.
Frank is the more innocent of the two people involved. Otis knows very well that he is asking for favors while Amber is also fully aware of the length and breadth of her actions. It is Frank who is in doubt and is wondering if he is doing the right thing and this is the reason he consults Amber.
4. Discuss the advantages and disadvantages of each decision that Frank could make.
Advantages are clear from the case. When Frank gives gifts to Otis knowing that Otis is seeking those privileges, he gets better business deals. His standing in the company improves and he gets bigger bonuses.