ethicaL DiLeMMa
Max’s Burger: The Dollar Value of Ethics In July 2011, Nassar Group, a well-diversified conglomerate
operating in Dubai, bought the rights to manage Max’s Burger’s network of franchised outlets in Dubai.
Max’s Burger is an emerging American fast-food chain with franchised outlets across the globe. The
move was a personal project of Houssam Nassar, the Group’s managing director and a businessman
with an excellent reputation. Dubai’s fast-food market is overwhelmed with franchised restaurants.
Meat quality at Max’s Burger, however, was lower than the standards set by franchisors. This was all
about to change, because Nassar did not intend to jeopardize his reputation and image. Accordingly, as
the new operator of Max’s Burger outlets, he issued a directive instructing the warehouse manager to
decline any frozen meat shipment that did not comply with the franchisor’s set standards. A few weeks
after Nassar Group took over the management of Max’s Burger, a frozen meat shipment was delivered
to the Max’s Burger main warehouse. Upon measuring the temperature of the meat, the warehouse
manager found that it was a few degrees outside acceptable limits. In terms of governmental
regulations, a couple of degrees’ difference in temperature would present no risk to customers’ health;
however, such a difference could have a minimal effect on the taste and texture of the meat. Prior to
the change of management, and for many years before, the warehouse manager had no second
thoughts about accepting such a shipment: no food poisoning claim was ever filed against Max’s Burger,
and taste inconsistencies never bothered anyone enough to complain. Further, the company supplying
the meat to Max’s Burger is owned by a relative of the warehouse manager. With the new directive in
