Question

Regarding Business and Management Ethics, (Textbook Beyond Integrity, 3rd ed.):

The textual materials in Chapter 2, Case 2.1 at page 105 of the text, relate the story of Philippe Kahn. In engineering the growth and early success of Borland International, Kahn and his fellow incorporators envisioned taking on the software giant Microsoft. The vision fell short and in 2009 Borland was acquired by Micro Focus for $1.50 per share, an ignominious end to the dream that nevertheless was lauded by Kahn as a synergistic result.

The text relates the story of Kahn’s inducement of a salesman for BYTE Magazine to offer credit terms to Borland for the placement of Borland advertising in the magazine. Kahn orchestrated a deceptive scenario which appeared to the salesman to suggest significant operation and business activity. In fact, it was all a ruse but the salesman ended up offering to place Borland’s ad in the magazine on credit. The ad was successful, presumably Borland paid the magazine, and Borland reaped the benefits of $150,000 in sales of software.

Discussing the questions: Since Kahn’s actions appeared to be a win-win for Borland and for BYTE Magazine, would you characterize his actions as shrewd business? As ethical? Why or why not?

Answer 1

Discussing the questions: Since Kahn’s actions appeared to be a win-win for Borland and for BYTE Magazine, would you characterize his actions as a shrewd business? As ethical? Why or why not?

If we look ethically, it is not the end result but the process of attaining the end results determines the goodness of the act. As in the case presented, all the facts and processes were forded by Kahn and thus depicting the false operations and business activities of the company which allured BYTE Magazine to place the order for the advertisement. Therefore, this cannot be considered as an ethical decision as the buying decision was not based on real fact and the order for the ads was won using the fake information and deception