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1. X Corporation discovers that a product it manufactures has exposed its employees to asbestos for decades. It must decide what to do with this

1.

X Corporation discovers that a product it manufactures has exposed its employees to asbestos for decades. It must decide what to do with this information. If it suppresses its discovery, the business will remain successful and the company's owners will continue to profit, but current and former employees will continue to endure negative health effects. According to Josephson's core values model for ethical decision-making, what should X Corporation do next?

  • Decide which core values are at stake in the decision to suppress the information and rank them in order of importance.

  • Evaluate whether the decision to suppress the information would satisfy any core values and contrast it to other possible decisions.

  • Evaluate how likely the corporation is to successfully suppress this information and determine the consequences of being caught.

  • Determine if the benefits to the owners from suppressing the information outweigh the consequences to employees, or if the reverse is true.

2.

A whistleblower informs a VP at an online retail company about the widespread practice of warehouse workers being asked to work extra hours without pay. The VP raises the issue with the CEO, who responds that the company cant compete in the industry without its workers putting in some extra hours, and that paying them for these hours would negatively affect earnings. The CEO assures the VP that the companys workforce is happy to work these extra hours, since no warehouse workers have complained directly to him. Consider what you have learned about the factors that impact corporate culture. What is the ethical strength of the corporation in the example?

  • Strong, because the CEO is willing to meet with people in the organization who have ethical concerns.

  • Weak, because the CEO is taking credit for the work of others.

  • Weak, because the CEO is failing to provide top-down ethical leadership.

  • Strong, because the CEO is protecting the financial strength of the company.

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