1. In November 2009, world-class golfer Tiger Woods crashed his Escalade into a tree near his Florida home. Mr. Woods' wife pulled him from the car and he was taken to the hospital, treated for injuries, and released. A sordid tale emerged over the next few days of a pattern of extra- marital affairs by Mr. Woods with a resulting separation from his wife and their eventual divorce. Following these public disclosures, sports writers, golf pros, country club staff members, and even CEOs of companies said that they were all aware of Mr. Woods' infidelity and that it was the best kept widely known secret among and between those who were golf players and/or fans. One said, "We just had a pact of silence." When the news of Mr. Woods' serial infidelity made international news, some of his sponsors dropped him and others continued with him as a spokesperson.

With respect to the decisions of the sponsors, are there any ethical issues associated with dropping Tiger Woods as a spokesperson? If yes, what are they?