Case Studies in Business, Society, and Ethics

by Beauchamp, Tom L.

• ISBN13: 9780130994356
• ISBN10: 0130994359
• Edition: 5th
• Format: Paperback
• Copyright: 2003-09-18
• Publisher: Pearson

Summary

A collection of 36 original and reprinted contemporary cases that focus on ethical and social issues surrounding business. Readers will be made aware of situations that require moral reflection, judgment, and decision-making, thus revealing the complexities that surround moral choices and the formation of public policy.Arguments included address employees and the workplace, customers, clients, and consultants, stakeholder interests and government interests, competitive markets, and problems of justice.For business professionals and others interested in business ethics and policies.q

Table of Contents

Employees and the Workplace

Employee Recommendations and Grievances

Peer Review of Grievances at Shamrock-Diamond Corporation

Employee Privacy

Drug Testing at College International Publishers

The Open Door at IBM: What Can Company Doctors Disclose?

Sexual Harassment

Managing the Crisis at Mitsubishi Motors

Awkward Advances at Your Old House Magazine

Whistle-Blowing

An Explosive Problem at Gigantic Motors

The Reluctant Security Guard

Customers, Clients, and Consultants

Marketing

KCRC's Incentives for Advertisers

Pornography's Many Markets and Distributors

Selling to Unethical Customers

Ellen Durham's Dilemmas Over a Customer Base

Confidentiality of Financial Information

Confidential Accounts at Swiss Bank Corporation

Conflict of Interest

Commissions at Brock Mason Brokerage

Consulting for Jones and Jones Pharmaceutical

Accountants as Consultants

Arthur Andersen's Dual Role at Enron

Stakeholder Interests and Government Interests

Intellectual Property on the Internet

Napster's Free Market in Intellectual Property

Regulating the Entertainment Industry

Violent Music: Sony, Slayer, and Self-Regulation

The Ban on Insider Trading

An Accountant's Small-Time Trading

Corporate Campaign Contributions

Lockheed Martin's Acquisition of Comsat

Corporate-Government Tensions

Italian Tax Mores

Noneconomic Issues Presented by Shareholders

Pate at Iroquois Brands

Environmental Protection and Government Regulation

Regulating Emissions: From Acid Rain to Global Warming

How Reserve Mining Became Cleveland-Cliffs

Competitive Markets

Sharp Practices

Seizure of the S.W. Parcel

Conflict of Interest

Edward Reece's Search for Contractors

Lilly's Consultation with Hostile Corporations

Exploiting Trade Secrets and Practicing Due Diligence

Venture Capital for Rubbernex Paints

Advertisements for Tobacco and Alcohol

Marketing Alcholic Beverages and Its Impact on Underage Drinkers

Banning Cigarette Advertising

"Sweatshops" and "Advertising" to Defend Them

Nike's Defense of its Vietnamese Factories

Problems of Justice: The Unfair and

Table of Contents provided by Publisher. All Rights Reserved.

Excerpts

The thirty-six cases in this volume concern ethical and social issues surrounding business. Fourteen cases are new to this fifth edition. Of the twenty-two cases carried over from the fourth edition, fourteen have been extensively revised, five have been revised in minor respects (to clarify or update information), and three remain unaltered. The general Introduction to the volume has also undergone thorough rewriting, updating, and expansion. This Introduction treats the uses of cases and the case method, rather than the particular cases in this volume. As in previous editions, the objective of this volume is to make students aware of situations that require moral reflection, judgment, and decision, while revealing the complexities that often surround moral choices and the formation of public policies. The book has not been produced to create a platform for moralistic criticism of the behavior of individual persons, corporations, or governmental agencies that play leading roles in the cases. Some cases contain dramatic instances of professional irresponsibility (the Andersen-Enron case being a well-known example), but it should not be inferred that the purpose of the cases is to teach what ought not to be done or that conduct in the profession under discussion generally follows this pattern. Irresponsible actions are occasionally featured because more is to be learned, in the circumstance, from wrongful than from rightful behavior. However, learning through the study of wrongful or negligent behavior is not the primary orientation of this volume. The focus is generally on circumstances in which hard choices must be made under complex conditions of uncertainty or disagreement. More is to be learned from reasoning under circumstances of controversy, personal quandary, and incompleteness of information than from paradigmatic cases of irresponsibility. The length and structure of the cases also deserve comment. Many cases that now circulate in the general literature of business, society, and ethics either are too short to contain enough detail for discussion or contain such a vast body of data that discussion is retarded by the particulars and their connections. Most of us encounter severe limitations on the amount of information we can study and remember about any sequence of events; and too much information often makes it difficult to find the essence of the problem. Accordingly, most cases in this book conform to the model of tidy cases that come to the essence of the matter without a massive body of descriptions and data. Experienced executives and experienced teachers will rightly insist that the situations under which decisions are made in business are multifarious, perplexing, and short on relevant information. Executives see real-life cases as too intricate for short summary presentation. This point of view has its merits. Every student should appreciate that historical sequences of events are almost never fully captured by the facts mentioned in the write-up of the case. This is so even when cases are described at book length. Many teachers of the subject matter found in this book prefer cases that take an inside view of a corporation or an institution under investigation in the case. They want to examine the decisions that managers must make and the strategies that they follow on the firing line. I endorse this form of pedagogy, and several cases in this book are so oriented. However, this approach incorporates only one profitable style of case study. An outside look at corporate activities is sometimes the only perspective obtainable. Moreover, it can be the best approach to cases that involve public policy. A variety of approaches to case writing is therefore used in this book, some taking the inside look, some employing the outside perspective, and some using a mixture of perspectives. Some teachers and students like to see questions at the end of each case, in the belief that these questions focus reading and discussion on particular features of the cases. I believe that this practice is an editorial disservice rather than a service. A teacher may profitably circulate questions in a class for a targeted purpose, but the problem with this approach in the text itself is twofold: (1) Teachers teach the cases with very different approaches, purposes, and problems; and (2) students can easily be impeded in their own thinking by being channeled in a particular direction. For these reasons, no questions or aids accompany the cases in this volume. Most of the cases in this book report actual rather than hypothetical events. That is, they are based on authentic incidents that occurred in a circumstance of business or during the development of public policy. Corporations involved are often identified by their true names, and historical dates and places are unmodified. However, in several actual cases, confidential material was used, or full documentation of some claims was impossible; in these cases, names, dates, and locations have been changed, and no identification of the corporations and persons originally involved occurs. In some of these cases, hypothetical elements have been added to highlight the problem and focus the reader''s understanding of the situation. In two instances, a composite case was created from several actual cases by combining various features of the cases.