Strategic Management
4th Edition
ISBN: 9781259927621
Author: Frank T. Rothaermel The Nancy and Russell McDonough Chair; Professor of Strategy and Sloan Industry Studies Fellow
Publisher: McGraw-Hill Education
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Chapter 12.4, Problem 1CC
Summary Introduction
Case summary:
The case explains about the massive growth of company U which made them get global recognition and the problems associated with company U. The valuation of the company is $8 billion in 2017. Despite the massive growth, the firm faces many ethical challenges due to lack of following ethical principles in its operations.
The company is said to disregard laws, rules and regulations in country U, following dynamic pricing system, poaching drivers, disregarding their own drivers, attacking critics, poisoning competitors goodwill and not responding properly to the lawsuits.
The problems of the company multiplied due to the lack of proper governance which made the CEO Person K resign. After his resignation, the company was expected to improve its ethical system and recover from its lawsuits. However, company U has its future for introducing self-driven vehicles.
To review The experience in ride-hailing services like company U or company L.
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Essay
Instructions: Answer the following
What have you learned so Far?
1. Think of any private company of your choice and then visit its social media. Understand
their latest post. Does social media help promote CSR practices?
2. Give examples of internal and of external stakeholders of a
company.
3. Identify each level of CSR based on Carroll's CSR Framework.
1. Define business ethics.
2. Define social responsibility.
3. How does social responsibility benefit shareholders?
4. In the past, few companies placed corporate social responsibility (CSR) in the forefront of PR and marketing efforts. While some issued occasional press releases about their charitable donations, most gave CSR a low priority. Mainstream corporate America generally viewed CSR-committed companies like Ben & Jerry’s and The Body Shop as eccentric, left-wing hippie outfits. Do you believe CSR is important and if so, how should it be measured?
5. Can one business make a difference to a global problem such as the food industry?
6. Are whistleblowers heroes or disloyal employees?
7. Do ethics courses make people more ethical?
8. If a customer misuses a product, is the company that manufactured or sold the product to blame?
9. Is monitoring employee’s online behavior ethical?
10. State your opinion on an employer intercepting and reading email messages of their employees.
2. Does YouTubes ethics differ from its practices?
3. Use the "Four View of Ethics" to compare to YouTubes practiced ethical behavior
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- Is it proper for PETA to pressure KFC for change when the company is following the law and public custom? Does PETA represent so compelling a truth or enough people to justify attacks on, and perhaps damage to, major corporations supported by and supporting millions of customers, employees, and stockholders?arrow_forward3. Steps of Stakeholder engagement and explain each one of them. 4. How to develop CSR commitments and enumerate the general steps of CSR commitments 5. What is the impact of business ethics to society in general? 6. Why is there a special need for Ethical Behavior by Professionals? 7. Explain whether the following statement is true or false. "Responsiveness usually results to effectiveness and efficiency". 8. Explain how business managers could act ethically 9. If you are a CEO, how can you handle politics within your organization?arrow_forwardThis case explores the growth of Tesla Inc., and in particular, the role of government subsidies in the growth of the company’s electric cars sales. Tesla, which in addition to its electric cars is also involved in energy storage, lithium ion batteries and solar panel making, was founded in 2003. The Tesla Roadster rocketed Tesla into consumer consciousness in 2008. As the world’s first electric sports car, Tesla’s Roadster changed the way people perceived electric cars. Today, Tesla, which has assets of $25 billion and sales of more than $7 billion, employs more than 30,000 people. Today, more than 150,000 Tesla Model S vehicles have been sold. The Model S, a luxury sedan, is the world’s best-selling electric car after the Nissan Leaf. Tesla has gone on to introduce several other models including one with a base price of just $35,000. Electric cars sales have been particularly strong in Europe, where sales of electric cars have grown by 30 percent overall and, and as much as 80…arrow_forward
- This case explores the growth of Tesla Inc., and in particular, the role of government subsidies in the growth of the company’s electric cars sales. Tesla, which in addition to its electric cars is also involved in energy storage, lithium ion batteries and solar panel making, was founded in 2003. The Tesla Roadster rocketed Tesla into consumer consciousness in 2008. As the world’s first electric sports car, Tesla’s Roadster changed the way people perceived electric cars. Today, Tesla, which has assets of $25 billion and sales of more than $7 billion, employs more than 30,000 people. Today, more than 150,000 Tesla Model S vehicles have been sold. The Model S, a luxury sedan, is the world’s best-selling electric car after the Nissan Leaf. Tesla has gone on to introduce several other models including one with a base price of just $35,000. Electric cars sales have been particularly strong in Europe, where sales of electric cars have grown by 30 percent overall and, and as much as 80…arrow_forwardThis case explores the growth of Tesla Inc., and in particular, the role of government subsidies in the growth of the company’s electric cars sales. Tesla, which in addition to its electric cars is also involved in energy storage, lithium ion batteries and solar panel making, was founded in 2003. The Tesla Roadster rocketed Tesla into consumer consciousness in 2008. As the world’s first electric sports car, Tesla’s Roadster changed the way people perceived electric cars. Today, Tesla, which has assets of $25 billion and sales of more than $7 billion, employs more than 30,000 people. Today, more than 150,000 Tesla Model S vehicles have been sold. The Model S, a luxury sedan, is the world’s best-selling electric car after the Nissan Leaf. Tesla has gone on to introduce several other models including one with a base price of just $35,000. Electric cars sales have been particularly strong in Europe, where sales of electric cars have grown by 30 percent overall and, and as much as 80…arrow_forwardThis case explores the growth of Tesla Inc., and in particular, the role of government subsidies in the growth of the company’s electric cars sales. Tesla, which in addition to its electric cars is also involved in energy storage, lithium ion batteries and solar panel making, was founded in 2003. The Tesla Roadster rocketed Tesla into consumer consciousness in 2008. As the world’s first electric sports car, Tesla’s Roadster changed the way people perceived electric cars. Today, Tesla, which has assets of $25 billion and sales of more than $7 billion, employs more than 30,000 people. Today, more than 150,000 Tesla Model S vehicles have been sold. The Model S, a luxury sedan, is the world’s best-selling electric car after the Nissan Leaf. Tesla has gone on to introduce several other models including one with a base price of just $35,000. Electric cars sales have been particularly strong in Europe, where sales of electric cars have grown by 30 percent overall and, and as much as 80…arrow_forward
- Use the Internet to find and report on three companies that have codes of ethics on their websites. What is the code of ethics of each company? Does the company provide a list of values? Does it outline an ethics policy with respect to hiring, the environment, social responsibility, or other ethics topics? Write a summary of each company’s code of ethics and any values and ethics policies. Be sure to cite your sources appropriately, make a comparison table in Microsoft® Word. Change the orientation to landscape. Create a column for each company and a row for each question to be answered (for example, "Does the company provide a list of values?"). Add a column for your comments and opinions, comparing and contrasting the codes of ethics for the companies. There is no right or wrong answer, but justify your opinion based on your core values or the ethics represented by other companies. Change margins, fonts, and font sizes as needed so your table does not exceed two pages.arrow_forwardIt is now generally accepted that business responsibility does extend beyond simply making a profit. Which of the following can be listed as business reasons for CSR? Please select all that apply. a. By engaging in voluntary CSR, corporations may avoid government legislation. b. Socially responsible firms may find it easier to attract employees, who may be more committed. c. Socially responsible companies voluntarily solve the social and environmental problems their activities have caused. d. All options are correct.arrow_forwardEthical Considerations. Is it ethical for companies to benefitfrom their efforts to practice CSR? Why or why not? How cananyone be sure that CSR efforts aren’t just public relationsploys?arrow_forward
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