The Chiquita Company was accused of sponsoring the terrorist organizations named AUC. The company annually paid AUC a huge amount of money. Finally, this huge amount of power was transferred to the weapons being used by the terrorists to kill innocent civilians. It was highly unethical because any payment to the terrorists would be regarded as sponsoring the terrorists. Additionally, the company was claiming the purpose of making such a payment was to protect the employees from being kidnapped and killed. However, it could never be the only reason. The other reasons could be ensuring the monopoly power within Colombia banana industry and ensuring the huge profits from the monopoly. Chiquita imported the most bananas from Columbia, losing the monopoly position in the country could decrease the profit of the company dramatically. What’s more, although the company did inquire the government of whether to stop paying AUC, it was not the excuse of the Chiquita Company of continue paying such fees. Even though the government did not provide a clear attitude, the company should not continue to do that.
2. As Chiquita’s representative, explain why/how Chiquita’s actions in Columbia were legally and/or ethically responsible. Please draw on relevant ethical principles to develop and strengthen your arguments.
As the Chiquita’s representative, I would say the main policy of the company was to protect all the employees in the unstable situation. Since we built the Columbia branch, the anti-government army and terrorists kidnapped and killed many employees. The only way of maintaining the operation within such an unstable society and protecting the employees at the same time was compromising. Ignoring the personal safety of employees would be highly unethical. It was the fundamental morality of a company. In addition, we have formally asked the U.S