Question

Your assignment is to:

•  (10 pts) Give an example of unethical business behavior (describe what is going on in one paragraph). You can choose from the list in Ghillyer, p.25, if you need ideas, or choose any example from the news, or invent your own hypothetical scenario of unethical business behavior.

•  (30 pts) LIST at least 3 stakeholders and explain how each is negatively impacted by the unethical behavior. See Ghillyer, p. 25, Figure 2.2, for an example listing WorldCom’s attemptin the 1990s to hide extensive debt and losses. Notice that Ghillyer LISTS the six classifications of stakeholders and the impact upon each stakeholder in that case. You are to do the same for your chosen example of unethical business behavior by LISTING at least three stakeholders and the negative impact upon each.

  Penalties apply for failure to follow these instructions:

  •  There is an 8 point penalty if you do not submit a NUMBERED LIST of your 3 stakeholder– impact examples.

  •  Number your 3 stakeholder – impact examples in LIST form so that each stakeholder is numbered and LISTED next to the impact on that stakeholder. See my example below. PLEASE list in this way. Keep it short.

  • Stakeholder – Impact. Just like that.

Answer 1

Volkswagon unethical practise of duping emission test using software is the biggest in recent history of automobile industry. It is begin called diesel dupe. Here company has made asoftware that will deliberatly pass the test when the vehicle will go for emission test. The cars affected would be in the range of 800,000 to 1000000 globally. The fine imposed is of the amount $ 18 billion.

Three stake holders are-

1. shareholders- Shareholder's value will get eroded as they have invested in this company. Unethical practise of such nature have grave effect on share price and shareholder's sentiments

2. customers- customer will feel cheated as they are running vehicles which are emitting hazrdaous gases more than the limit.

3. Employees- Employee will feel shattered as the brand they were representing was involved in forging anc cheating. This can affect their personal life also.