Kruger is the CEO of All My Souls, Inc., a large shoe manufacturer based in New York. Kruger knows that All My Souls spends over $500,000 per month in employee wages, benefits, insurance and facility maintenance. Kruger also knows that he can reduce costs and increase profits by producing shoes in Indonesia, where he can hire workers for $600 a month - with no benefits or insurance - to assemble the shoes. Kruger realizes there have been protests by human rights organizations regarding the treatment of workers in foreign countries but he doesn't think he has an ethical problem. Kruger feels that there will always be people with political agendas who don't like corporations, no matter what they do. Kruger believes that having shoes assembled in Indonesia is a good business decision because it saves millions of dollars for the corporation, and the savings can be distributed to investors and customers, or it can be invested in equipment and technology to make All My Souls a better company. Kruger also believes that paying $600 per month to an Indonesian worker is not unethical because the $600 a month is far better than the average pay in Indonesia. (Kruger has read recent research that indicates the average pay of an Indonesian worker is $200 per month). Kruger thinks that paying people who want to work (even if the pay is low compared to Western standards) and doing it more efficiently does the greatest amount of good for the greatest amount of people. Please answer the following questions: 1. There are five main approaches to ethical reasoning in making business decisions. Which approach is Kruger using in this case? Explain. 2. If you were Kruger, what would you do? Would you have the shoes assembled in Indonesia to cut costs and make higher profits for your stakeholders? Or would you have the shoes assembled in the United States, knowing that your company will bear much higher operating costs, and knowing the higher costs may adversely affect your employees, investors, suppliers, and customers