Case Study: Business Morals and Ethics
Case Study #2 The “White Coffin” Dilemma
GSM 5131 BUSINESS LAW & ETHICS
1
Story Outline
• Aminah, quality senior manager of Good Food Packaging S/B (“the Company”) which manufacture polystyrene, plastic & foam food container in SK. • Recently, she been told & found that her company‟s product will cause adverse effect to human health. • She now very much concern with this issue, and management of the Company also been notified. They want Aminah to just „close one eye‟ and not reveal to anyone.
GSM 5131 BUSINESS LAW & ETHICS
2
Ethical / Legal
• Whether Good Food Packaging Suppliers should continue their business that will harm human health. (Manufacture of polystyrene, plastic and foam food containers.) • Whether Aminah‟s actions to discuss with the management pertaining the harmful products giving the right pressure to the managements? • Whether Management decision to ignore the negative impact of the product to the customers‟ health since there has no enforcement of rule and regulation by authority? • Whether ethical for the management to instruct Aminah not to revealing the facts even though they fully aware of the negative impact of the products? • Whether ethical if Aminah decide to neglect the management order?
GSM 5131 BUSINESS LAW & ETHICS
3
Analysis
• Refer to the customers confidence issues, management does not take the ethical responsibility to ensure that customers are treated fairly and that no harm comes to customers as a result of using the company‟s polystyrene.
• Customer confidence issues are revolving around fairness, honesty and respect for others in this dilemma. Customer relationships cannot survive without trust. • The conflicts of interest arises when Aminah continue to reveal the impact of polystyrene that has separated her interests from what the business dealings. • The managements has not overcome the potential conflicts of interest if continuing providing polystyrene to the customers.
GSM 5131 BUSINESS
GSM 5131 BUSINESS LAW & ETHICS
1
Story Outline
• Aminah, quality senior manager of Good Food Packaging S/B (“the Company”) which manufacture polystyrene, plastic & foam food container in SK. • Recently, she been told & found that her company‟s product will cause adverse effect to human health. • She now very much concern with this issue, and management of the Company also been notified. They want Aminah to just „close one eye‟ and not reveal to anyone.
GSM 5131 BUSINESS LAW & ETHICS
2
Ethical / Legal
• Whether Good Food Packaging Suppliers should continue their business that will harm human health. (Manufacture of polystyrene, plastic and foam food containers.) • Whether Aminah‟s actions to discuss with the management pertaining the harmful products giving the right pressure to the managements? • Whether Management decision to ignore the negative impact of the product to the customers‟ health since there has no enforcement of rule and regulation by authority? • Whether ethical for the management to instruct Aminah not to revealing the facts even though they fully aware of the negative impact of the products? • Whether ethical if Aminah decide to neglect the management order?
GSM 5131 BUSINESS LAW & ETHICS
3
Analysis
• Refer to the customers confidence issues, management does not take the ethical responsibility to ensure that customers are treated fairly and that no harm comes to customers as a result of using the company‟s polystyrene.
• Customer confidence issues are revolving around fairness, honesty and respect for others in this dilemma. Customer relationships cannot survive without trust. • The conflicts of interest arises when Aminah continue to reveal the impact of polystyrene that has separated her interests from what the business dealings. • The managements has not overcome the potential conflicts of interest if continuing providing polystyrene to the customers.
GSM 5131 BUSINESS