Question

Select one story from either Marketplace or Nightly Business Report that highlights a company reacting to an ethical challenge. For this story report the company, the industry and the impact expected from the challenge on both the company and the industry. From the Nightly Business Report web site select one firm that was highlighted undergoing a merger or acquisition and describe how the firm is dealing with the organizational difficulties it is facing.

Answer 1

From the Marketplace news we can infer that how Goldman sachs went through an ethical challenege and was alleged under corporate scandal where the CFO was known to misreport earnings and extrapolate figures to get higher ratings by credit agencies like S&P, Crisil, etc.

This impacted organisation in terms of heavy litigation costs and was seriously downgraded by rating agencies and was removed from stock exchanges which caused banking sector to be on radar for all financial transactions

One more example in Marketplace, was Vodafone Idea Merger in India where both faced complex challenges related to spectrum payments, government licensing delays, redeployment of manpower, surmounting lossess before merger, and integration costs.

The firm has now successfully closes merger by lobbying government and planning out best case employment and redpployment of manpower using cross function collaboration, new designed culture and Participative leadership. Also various consultants were hired for planning combined strategies and execution of new projects and phasing out redundant business units and significant benefits unlocking.