Case Study on Centurion Media
Summary:
Centurion media is a company that is in the business of broadcasting/publishing
advertisement and commercials. The president of the Cable TV Division, Joseph Fowler,
created a contract with Northpark, a consumer of selling advertisement that has not been sold
by the parent company. Richard Bennett, a regional vice president in the Cable Division of
Centurion Media. Bennett was one of the people that received this contract without any prior
knowledge of the contract and was asked to deploy the content of contract. He was faced with
a serious ethical dilemma that would impact his career, family, and co-workers. He believed
that a contract executed by the new president of his division, Joseph Fowler, would cause
significant financial losses for Bennett’s own division and the company. Bennett suspected
that Fowler might have a serious conflict of interest, since he owned stock and options in
Northpark-the company with which he had negotiated the contract. Bennett was only two
years from retirement. If he chose to protest the contract, it would likely have very unpleasant
consequences — including jeopardizing his own financial security. He would probably be
fired. Additionally, his actions might endanger the careers of other employees and co-
workers. The personal relationship between the CEO of Centurion Media, Chuck Reilly, and
Fowler made Bennett’s decision more difficult. When Bennett contacted with the general
counsel and controller in the corporate office of Centurion Media, they suggested he back off.
He was surprised by their stance that the contract, which Bennett thought would be
financially disastrous, was in the best interest of the company. The Controller went so far as
to remind Bennett how near he was to retirement, emphasizing that he should be concerned
about protecting his job. If he chose to protest against the contract, he would probably be
fired. Bennett was convinced that If he did nothing, his own division and the parent company
would lose millions in revenues and profits.
NAME
ID
Md. Sajadul Karim Kallal
2015-2-95-008
Asif Wadud
2015-2-95-046
Md. Farhadul Kabir
2015-1-95-037
Mehedi Faruq
2015-2-95-063
1. What was the problem facing Richard Bennett?
Richard Bennett was facing problem with the new contract between Northpark Media and
Centurion Media.
The new contract was made with Joseph Fowler, who was hired as the President of the Cable
Distribution Division. Fowler was known for not taking negative remarks about the assigned
task in hand and he had authoritative personality. He fired all those who argued with him on
his decisions. With the new president in command, the contract was made between the
Centurion Media and Northpark Media. Under this contract, the sales of advertising inventory
would be made to Northpark Media at discounted prices; which would incur losses.
