June 25th, 2013
Everyone Does It: An Ethical Dilemma According to Bommer, Gratto, Gravander, and Tuttle (1987), the social environment is heavily influential in how a manager makes decisions. The type of ethical dilemma also influences how strong society’s values affect the decision. When a decision is to be made in private, there is less influence of the social and professional environments (Bommer et al., 1987). Social influence, contrary to some …show more content…
Problem of Stockholder Theory The goal of managers in a corporation, like Jim, is to do the bidding of their principles – the stockholders (Arnold, Beauchamp, and Bowie, 2009). A corporate executive is an employee of the owners of the business. Jim, of ISI, and his superior, which is the President of the company, is owned by ISI. There is a direct responsibility to their employer. The responsibilities are to fulfill the desires of the employers/company which basically is to maximize profits according to the law and social norms (Arnold, Beauchamp, and Bowie, 2009). Friedman believes that if any abuses occur within the corporation that the market will correct them. Like Friedman, Fred believes that launching inaccurate dates is acceptable as this is the “nature” of the business and market will make indirect and mass corrections when this is no longer acceptable.
Problem with the Level of Disclosure In business ethics, discussions of information disclosure have dealt with areas such as disclosure of health and safety risks to employees, financial information to stockholders, and product safety information to consumers (Arnold, Beauchamp, and Bowie, 2009). ISI has adopted the Modified Minimal Information Rule. This rule implies that the only additional information the seller is obligated to give is information a buyer might need to avoid risk of injury, which is typically the