Anonymous Submission for Written Assignment Grading
University of the People
Abstract
A case is presented about an inn’s manager seeking to increase pizza sales. She observed that pizza sales from outside restaurants has increased significantly and believes the restaurant can successfully sell pizza to its guests. Actual sales do not meet her expectations and she proposes to her boss a plan to make pizza but sell it as if it is a completely separate company. The ethical dilemma for the general manager is to determine the advertising method the inn will use to sell pizza. The following analysis will explore ethical issues from the rights perspective of the manager, employee, the company, and stakeholders. Various …show more content…
Detailed facts are provided (UoPeople, 2018): George Hansen is the General Manager of August Marigold Inn (Inn). The Inn is a subsidiary of Hospitality Enterprises (H.E.). Sharon Coombs is the Food Services Manager at the Inn. Sharon reports to George. Two years ago, there was a decline in room service business which was the highest margin segment. National pizza sales increased and Sharon noticed additional pizza boxes left in guest rooms. She added a pizza oven to the kitchen, bringing modest success, but less than expected due to product quality. Sharon improved quality comparable to competitors, but guests’ perception was that an inn restaurant could not make quality pizza, so sales did not improve. She presented an idea to George to create ‘Napoli Pizza’ and disassociate it from the Inn. Guest rooms would receive brochures with a separate phone number answered at the Inn as ‘Napoli Pizza’, authentic Italian pizza from old, family recipes. Pizza deliveries in ‘Napoli Pizza’ boxes would be made by staff in a Napoli uniform. Uniforms would be removed for delivery of other foods to …show more content…
The Inn has a right to make revenue and profit. Competitors have a right to sell at the hotel. Guests have a right to know about a relationship between the Inn and ‘Napoli Pizza’ Deception could be identified (AMA, n.d.). Guests could stop coming to the Inn which could get poor social media reviews. At worse, the Inn could be legally liable for coercion.
Napoli Pizza can be indicated on brochures as part of the Inn. The Inn does not emphasize this relationship but does not hide it. Guests have a right to be informed about the Inn’s relationship with the pizza source to make free consent choices. Adding “small print” might technically assuage deception. A small notation may be insufficient to make guests informed and not feel coerced (AMA, n.d.).
Advertise ‘Napoli Pizza’ as an Inn or parent company, Hospitality Enterprises, subsidiary pizza restaurant. They could even hold a grand opening and advertise, based on the study, that it tastes as good as competitors. If the pizza business becomes a separate entity, it would have rights to sell and make profit. Deception would be eliminated. Guest would have free consent. Competitors would still be able to sell to the guests. Guests may not buy any more pizzas from the new company than they do now and the investment in equipment may be