Big Four Banks
Ethical Dilemma
In this case, we observed the four big banks in Australia – ANZ, Commonwealth, NAB and Westpac in relation to their profitability, fees and charges, as well as their decision to raise the interest rates beyond the changes by the Reserve Bank of Australia (RBA). In addition, the corporate social responsibility of banks has become a central issue in the public debate around the Global Financial Crisis (GFC).
I believe banks do have social responsibility because of their special position in our society but they also ensure that the banks are profitable and healthy in need to have a stable, efficient and secure banking system. The view from the banks is that they do regard themselves as socially responsible. Therefore they exercise socioeconomic view of the social responsibility. For example, To Westpac, corporate social responsibility means conducting its business so that it meets its financial, social and environmental responsibilities in an aligned way. This concludes they do care about the economy and profit but in relation with the community or society.
The stakeholders as mentioned are the shareholders, customers, employees, and the government which the banks need to consider in managing their businesses.
Case Application
Discussion Question 1 One of the factors would be necessity of keeping hold on to the trade between Australian Wheat Board (AWB) and Iraq. That is why AWB knowingly paid bribes to the Iraq government in the form of transport costs.
Another factor would be the lack of openness and frankness in AWB’s dealing with the Australian Government and the United Nations because at no time did AWB tell the Australian Government or the United Nations of its true arrangements with Iraq.
Discussion Question 3
As analyzed from the textbook. Concentration of effect and consensus of wrong are the characteristics that determine issue intensity faced by the AWB’s employees.
In our case, other factors namely individual
In this case, we observed the four big banks in Australia – ANZ, Commonwealth, NAB and Westpac in relation to their profitability, fees and charges, as well as their decision to raise the interest rates beyond the changes by the Reserve Bank of Australia (RBA). In addition, the corporate social responsibility of banks has become a central issue in the public debate around the Global Financial Crisis (GFC).
I believe banks do have social responsibility because of their special position in our society but they also ensure that the banks are profitable and healthy in need to have a stable, efficient and secure banking system. The view from the banks is that they do regard themselves as socially responsible. Therefore they exercise socioeconomic view of the social responsibility. For example, To Westpac, corporate social responsibility means conducting its business so that it meets its financial, social and environmental responsibilities in an aligned way. This concludes they do care about the economy and profit but in relation with the community or society.
The stakeholders as mentioned are the shareholders, customers, employees, and the government which the banks need to consider in managing their businesses.
Case Application
Discussion Question 1 One of the factors would be necessity of keeping hold on to the trade between Australian Wheat Board (AWB) and Iraq. That is why AWB knowingly paid bribes to the Iraq government in the form of transport costs.
Another factor would be the lack of openness and frankness in AWB’s dealing with the Australian Government and the United Nations because at no time did AWB tell the Australian Government or the United Nations of its true arrangements with Iraq.
Discussion Question 3
As analyzed from the textbook. Concentration of effect and consensus of wrong are the characteristics that determine issue intensity faced by the AWB’s employees.
In our case, other factors namely individual