Name: ANGELES, Anne Marielle Date of Submission: September 19,

2020
Section: SEC-11

Case Study #1: The Toy Manufacturer’s Dilemma

1. How will you resolve the case?

The current chemical that is previously used to manufacture and promote toys is

classified to be unsafe. Consequently, the toy manufacturing enterprise need
to stop using such dangerous chemical substances to provide toys and offer an
alternative chemical so they can continuously operate and manufacture with a
purpose to promote and sell toys to the public.

To reduce the casualty that will occur throughout the production shutdown, the
suggested alternative course of actions are specified as follows:

 The organization ought to talk with its workers about the current difficulty and
compassionately request their collaboration in respects with the choice that the
business will make, since this would be positive for the soundness of the kids or
clients who's most probable the objective market of the business, and the
employees who are under the creation exercises as well.

 The business should concentrate to Research and Development until further

notice. This is to make changes in the synthetics utilized for creation, to grow
new items and item plans that will be another hit in the market.

 During the brief closure of the production, the laborers under the production
department should be trained to improve their abilities since this will expand
profitability and improve item quality once the activity resumes.
There are three levels at which ethical choices that encourages the business
association to perform ethically as indicated by their administrative guidelines and these
are:

o Macro level – (Smith, Alasdair 2018: “Three Ethical Business Standards in a

Business Organization” ) which is called the fundamental level, morals are
characterized and affected by the more extensive working condition in which
the organization exists.

o Company level – (Smith, Alasdair 2018: “Three Ethical Business Standards in

a Business Organization”) moral norms are implanted in the arrangements and
systems of the organization, and build a significant establishment on which
business methodology is assembled. These policies obtain from the effect felt
at large scale level and consequently help a business to react to changing
weights in the best manner.

o Individual level – (Smith, Alasdair 2018: “Three Ethical Business Standards in

a Business Organization”) The ethical guidelines of people in the business are
a significant thought. People may well have a totally different arrangement of
moral norms from their manager and this can prompt pressures. Factors, for
example, peer pressure, individual money related position, and financial status -
all may impact individual moral guidelines. Managers and entrepreneurs should
know about this to oversee likely clashes.

 Business Ethics as an academic discipline

Remembered for a business understudy's educational program is the subject

"Business Ethics", since this is significant for the future business pioneers to get the
hang of everything about this subject. Moral standards, moral choices that ought to be
done while experiencing a moral quandary isn't just the things that business
understudies get the chance to learn in this subject. It additionally shows the
understudies that business isn't just about making benefits and picking up
circumstances but at the same time it's tied in with distinguishing the ethics of good
and bad and in view of this youthful future business pioneers as they assume control
over the corporate world would figure out how to limit or decrease the untrustworthy
choices and figure out how to assume liability when they are confronted with moral
issues.

Future business pioneers must rethink their perspectives about business that it's about
speculations and business bargains as well as about how you are treating morally and
ethically right your representatives and the manner in which you are remunerating
them. Representatives do have a colossal part for a business to succeed, in light of
the fact that without them who works and produce products or administrations a
business can't capacity and it isn't feasible for the business to succeed.

 Importance of Business Ethics in Business environment

Examining business morals is significant in each business association in view of

the accompanying justification:

o The absence of general morals among organizations influences the

extension chances of business by contrarily affecting client faithfulness,
brand constructing, and hindering speculation accomplices (Kalyar, Rafi
& Kalyar, 2013; Medlin & Green, 2003).

o By cautiously considering and assessing the components of business

morals it will support their insight in respects with settling on moral choices
towards their business.
 Among various reasons Ferrel, Fraedrich and Ferrell (2005 p. 31) call attention to
these for a solid duty to moral qualities:

1. Ethical organizations have been demonstrated to be more productive.

2. Settling on moral decisions brings about lower worry for corporate chiefs and
different workers.

3. Our notoriety, positive or negative, perseveres.

4. Moral conduct upgrades authority.

5. The option in contrast to deliberate moral conduct is a requesting and

expensive guideline.

o Today, in the contemporary business condition loaded with changes and

contenders, each organization meets various snags if their field-tested
strategy did not depend on business morals. Business morals identifies
with a person's or a work collective choices' that society assesses as right
or wrong (Ferrel, Fraedrich and Ferrell, 2005). By learning Business Ethics
in different business associations, discernement of the laborers and
directors is presumably upgraded that would enable the business to deal
with moral difficulties.

These variables that were expressed above tells about the significance of considering
and applying business morals in each business association for this will assist the
organization with blossoming and forestall harms later on.

(Audi R. 2006) Practical Reasoning and Ethical Decision presents a record of pragmatic
thinking as a cycle that can clarify activity, associate dissuading expectation, legitimize
handy decisions, and give a premise to moral choices. Likewise, Practical Reasoning
and Ethical Decision presents a record of viable thinking as a cycle that can clarify
activity, associate prevailing upon expectation, legitimize functional decisions, and give
a premise to moral choices.

References :

 Audi Robert (2006) Practical Reasoning and Ethical Decision

 Ferrell, O. C., Fraedrich, J. and Ferrell, L. (2005). Business Ethics, Ethical

decision making and cases. Houghton Mifflin Company, Boston, New York.

 Kalyar, M. N., Rafi, N. & Kalyar, A. N. (2013). Factors Affecting Corporate

Social Responsibility: An Empirical Study. Systems Research and Behavioral
Sciences, 30 (4), 495-505

 Medlin, B., & Green, K.W. (2003). Ethics in small business: attitudes and
perceptions of owners/managers.  Academy of Entrepreneurship Journal,
Volume 9, Issue 1-2, Jan-July 2003

 Smith, Alasdair (2018) : “Three Ethical Business Standards in a Business

Organization”

Further Readings:

 Beauchamp, T., N. Bowie, and D. Arnold (eds.) 2008. Ethical Theory and
Business, 8th ed. Englewood Cliffs, NJ: Prentice Hall.
 Boatright, J. R. (ed.) 2010. Finance Ethics: Critical Issues in Theory and Practice.
New York: Wiley. Brenkert, G., and T. Beauchamp (eds.) 2010. The Oxford
Handbook of Business Ethics. Oxford:Oxford University Press.

 Buchanan, A. 1996. “Toward a Theory of the Ethics of Bureaucratic

Organizations,” Business Ethics Quarterly, vol. 6, no. 4, pp. 419–40