=+Jamie: Well, you know as well as I that we are under strict profit responsibility in our
Question:
=+Jamie: Well, you know as well as I that we are under strict profit responsibility in our divisions, so I would expect to get market price, $150 for 100 semiconductors.
Dan: I’m not so sure we can swing that. I was expecting a price break from a “sister” division.
Jamie: Hey, I can only take this “sister” stuff so far. If I give you a price break, our profits will fall from last year’s levels. I don’t think I could explain that. I’m sorry, but I must remain firm—market price. After all, it’s only fair—that’s what you would have to pay from an external supplier.
Dan: Fair or not, I think we’ll pass. Sorry we couldn’t have helped.
Was Dan behaving ethically by trying to force the Semiconductor Division into a price break? Comment on Jamie’s reactions.
Step by Step Answer: