978-0470639948 Chapter 1 Solution Manual Part 4

subject Type Homework Help
subject Pages 7
subject Words 2235
subject Authors Denis Collins

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Collins Instructor’s Guide
CHAPTER 1 ANCILLARY MATERIALS
Websites to Explore
Business Ethics surveys
oEthics Resource Center, available at:
http://www.ethics.org/topic/national-surveys.
oJosephson Institute, available at: http://josephsoninstitute.org/.
oGallup Poll business ethics surveys, available at:
http://www.gallup.com/search/default.aspx?q=business+ethics&s=&p=1.
Government statistics
oBureau of Justice, available at: http://bjs.ojp.usdoj.gov/.
oU.S. Equal Employment Opportunity Commission, “Discrimination by Type,”
available at: http://www.eeoc.gov/laws/types/index.cfm.
100 Wallets Dropped in Front of Hidden Cameras to Test Honesty, available at:
www.wallettest.com.
Best Place to Work Video
Best Place to Work – SAS, available at:
http://money.cnn.com/video/fortune/2010/01/20/f_bctwf_sas.fortune/.
Business Ethics Issue Video
“The Spill,” Frontline, about the BP Oil Spill, October 26, 2010, 54 minutes, available at:
http://www.pbs.org/wgbh/pages/frontline/the-spill/?
utm_campaign=viewpage&utm_medium=grid&utm_source=grid.
TEDTalks Videos
Born with Blank Slate Mind and Innate Traits: Steven Pinker talks about his book The
Blank Slate which argues that all humans are born with some innate traits; February,
2003, 22 minutes, available at
http://www.ted.com/talks/steven_pinker_chalks_it_up_to_the_blank_slate.html.
Human Beings Compared to Animals: Jane Goodall, the primatologist, says the only real
difference between humans and chimps is our sophisticated language; March 2002, 28
minutes, available at:
http://www.ted.com/talks/lang/eng/jane_goodall_on_what_separates_us_from_the_apes.h
tml.
Conversations with Charlie Rose
A conversation about how the brain controls social behavior; January 19, 2010, 53
minutes, available at: http://www.charlierose.com/view/interview/10820.
A conversation with former Secretary of Education William Bennett about his book "Our
Sacred Honor", which offers pieces of moral wisdom from the country's founding fathers;
October 1, 1997, 31 minutes, available at:
http://www.charlierose.com/view/interview/5333.
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Collins Instructor’s Guide
CHAPTER 1 ETHICAL DILEMMA ANALYSIS
Each chapter contains three real-life ethical dilemmas: (a) What would you do? (all scenarios
provided by my students), (b) Let’s Build a Building (all scenarios provided by a construction
consultant), and (c) In the Real Word: Enron (more in-depth explanations available in Denis
Collins (2006) Behaving Badly: Ethical Lessons from Enron.
Have students apply Exhibit 5.11 “Critical Thinking Decision-Making Process Table” to analyze
these ethical dilemmas (instructions below). By doing so, students develop a habit for analyzing
decisions that take into consideration ethical concerns.
Step 1: Write the decision options in the appropriate column below.
Step 2: Apply the seven “Applying Ethical Theories to Decision Making” questions to the
decision to obtain relevant ethical information.
Step 3: Insert the ethical strength and weakness revealed by each of the seven ethical questions in
the appropriate column below.
Step 4: Review the option strengths and insert in the options column what “value” supports the
option (i.e., honesty, loyalty, efficiency, respect, job security, profits, etc.)
Step 5: Given the strengths and weaknesses, choose a decision option, explain why that option
and value were chosen rather than the alternative options, and determine how to manage the
weaknesses associated with the option chosen.
NOTE ON ETHICAL DILEMMA ANALYSES AND AUTHOR RECOMMENDATION – The
“author” (me) is stating his best judgment. All the ethical dilemmas are difficult and involve
tradeoffs, some more so than others. As noted throughout the textbook, everyone has a different
moral intuition and those reasoning at the same level of moral development can disagree about
the right thing to do. In addition, everyone has a different level of risk comfort (my risk comfort
is rather high). The teacher can use my recommendation as grounds for student agreement or
disagreement.
CHAPTER 1 ANALYSIS FOR WHAT WOULD YOU DO?
1) Who are all the people affected by the action?
You (marketing manager), owner, customers, supplier, businesses and homeowners robbed,
upset community members, police, thief
2) What option benefits me the most?
Mixed: If you purchase the design you can make a lot money, but you will also make enemies
of businesses and homeowners recently robbed
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3) What option does my social group support?
4) What option is legal?
5) What option is the greatest good for the greatest number of people affected?
6) What option is based on truthfulness and respect/integrity toward each stakeholder?
Don’t purchase the design (#2): This demonstrates respect for victims, police, and
7) What option would a virtuous person do?
Don’t purchase the design (#2): Moral character is strengthened by standing up for your
personal moral beliefs and refusing to glorify a criminal.
Option Option Strengths Based on
Application of Ethical Theories
Option Weaknesses Based on
Application of Ethical Theories
Chosen Because #1: Purchase the design: you maximize profits, customers shop at your
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demonstrates respect for community well-being
AUTHOR RECOMMENDATION: Option #2: Don’t purchase the design – This is based on
social group relativism, cultural relativism, utilitarianism, deontology, and virtue ethics. You may
lose some revenue, but you are respecting nearby businesses, victims, and community members.
Continue to find innovative designs that appeal to college customers without glorifying a
criminal.
CHAPTER 1 ANALYSIS FOR LET’S BUILD A BUILDING
1) Who are all the people affected by the action?
2) What option benefits me the most?
3) What option does my social group support?
4) What option is legal?
5) What option is the greatest good for the greatest number of people affected?
Difficult to determine: Holding brokers accountable for land use impacts many people. But
6) What option is based on truthfulness and respect/integrity toward each stakeholder?
Sue the broker (#1): Suing the broker holds the broker accountable for knowing the contract
7) What option would a virtuous person do?
All can be: Moral character is strengthened by suing the broker who should be accountable.
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$275,000 makes you feel like the business park owner is manipulating you; however, if it
Option Option Strengths Based on
Application of Ethical Theories
Option Weaknesses Based on
Application of Ethical Theories
recover costs, sell
park owner, sell
modification,
rezone, open fall
2014
Makes building greener
plan, rezone, open
fall 2015
Option and Value
#1: Sue broker, recover costs: Holds broker accountable
Chosen Because #1: Sue broker, recover costs: Need to hold people accountable for actions
How Will You
#1: Change plans to incorporate an additional year to get land
AUTHOR RECOMMENDATION: Option 1: Sue the broker and Option 4: Keep $3 million
plan, rezone, and open fall 2015 – Option 1 is based on social group relativism, cultural
relativism, deontology, and virtue ethics. The broker needs to be held accountable for not
knowing the land stipulation when making the deal. This also prevents the broker from maker
CHAPTER 1 ANALYSIS FOR IN THE REAL WORLD: ENRON
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1) Who are all the people affected by the action?
You (CEO of Enron/Ken Lay), Irwin Jacobs, InterNorth and HNG shareholders, InterNorth
2) What option benefits me the most?
3) What option does my social group support?
Merge (Option #2): CEO’s have duty to act in the best interests of shareholders. Shareholders
4) What option is legal?
5) What option is the greatest good for the greatest number of people affected?
Merge (#2): Shareholders immediately maximize wealth and HNG would now be part of the
6) What option is based on truthfulness and respect/integrity toward each stakeholder?
Mixed: Merging respects shareholders and they can sell stock immediately, but this can result
7) What option would a virtuous person do?
Mixed: Moral character can be strengthened by taking on the challenges and responsibilities
Option Option Strengths Based on
Application of Ethical Theories
Option Weaknesses Based on
Application of Ethical Theories
#2: Merge with
Financial windfall for you and
You and other executives may lose
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Huge debt
Option and Value
#1: Reject Proposal: Stability
Chosen Because #1: HNG is doing well as regional player, this opportunity is too risky
How Will You
#1: Look for other opportunities that do not entail so much debt incurred.
AUTHOR RECOMMENDATION: Option #2: Merge – This is based on social group relativism,
cultural relativism, and utilitarianism. Merging creates many benefits for HNG operations. A lot
hinges on being able to manage the $4.3 billion debt (deontology and virtue ethics). Assuming
that it can be managed, accept the merger opportunity and build into the agreement safeguards to
limit the harms likely to be incurred by HNG employees losing their jobs and the city of
Houston. Hone political skills to come out on top in the merged organization and remain
prominent in Houston. Find new revenue streams to manage the additional debt.
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