Leadership and Ethical Decision-Making
The meeting between Bill and Joe did not go very well, and the Peninsula Hotel chain contract is in jeopardy. Despite their personal relationship, Bill is threatening to sign a contract with Joe’s competitor, Threads4U, because it is undercutting UWEAR’s price.
Joe is desperate to save the contract because the Peninsula Hotel chain contract accounts for over 50% of his territory's sales—without them, his future with UWEAR is uncertain. He realizes that he needs to gain approval from his management team before he moves forward with any further contract negotiations with the Peninsula Hotel chain. Complete the following in a paper of 2–3 pages:
Who are the stakeholders in this situation?
What are the responsibilities of each stakeholder to the company?
Provide at least 4 ethical responsibilities for each stakeholder.
For each stakeholder, what would be the appropriate response to the situation?
What should Joe propose to the management team?
How should he support his proposal?
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Problem A: Ethical Dilemma 1 Note: All character and company names are fictional and are not intended to depict any actual person or business. Your meeting with the chief executive officers (CEOs) of UWEAR and PALEDENIM went well. In a discussion following the meeting, Tom Tramlin, the CEO of UWEAR, mentioned that he would like you to spend some time in the field with his top sales representative to get a feel for what the salespeople face every day selling in the current business environment. Today, you are scheduled to spend the day with Joe Smith. As you walk across the lobby of UWEAR, you see Tom talking to a tall, distinguished-looking man. “This is Joe Smith,” Tom introduces when you step up to them. “You'll be spending some time with him today in the field.” “Nice to meet you, Joe,” you respond, shaking Joe's hand. Tom says goodbye and makes his way to elevator while you and Joe head toward the parking garage. “We're going to meet with a couple of clients today,” Joe explains. “First, we'll have lunch with Bill Bateman, the CEO of the Peninsula Hotel chain. He's a great guy and I'm sure you'll enjoy meeting him.” “Where are we meeting him for lunch?” I ask, getting into Joe's car. “Bill's hotel, the Peninsula, has a great restaurant that I frequently use to meet clients,” Joe answers. “The food is outstanding. We're going to meet him there to discuss the renewal of his uniform contract.” As you continue the drive to the hotel, Joe elaborates on his business history with Bill. “I was able to win the contract for the Peninsula chain last year,” he explains. “We were just able to underbid our competitor, Threads4U. In fact, Bill said that I underbid them by about $5 per uniform. Great victory on my part.” “It sounds like you've established a great working relationship with Bill,” you say. “Oh, yeah,” Joe agrees. “He's a great guy. The first time we met, I was on my way to buy a nice bottle of cabernet as a birthday gift for my wife. She loves the expensive...
