Let’s Practice

Part A. Case Study Direction: Read the article below and answer the questions that follow.

Belief systems are only teaching honesty in all dealings. Honesty is a key virtue that creates an environment of trust and
support. It builds a strong foundation for the business because of the good image and reputation that it projects to the
employees, customers, partners, suppliers, and investors. Honesty in business is to disclose fully if there is something
wrong that will negatively affect customers in particular. Toyota, one of the word’s leading car manufacturer came
under fire many year ago when it failed to respond immediately to a safety issue. Insiders from Toyota already knew
that the parts were defective but they still continued to use them. Having the first accident because of the defective
part, Toyota did not acknowledge the mistake right away. Between 2008 and 2010, Toyota had 12 million vehicles
recalled for unsafe gas pedals, brakes and seatbelts. There was a recall of 4.1 million cars due to sticky gas pedals. In
another case, 5.4 million cars were recalled for gas pedals stuck on floor mats. There were other safety issues and
Toyota allegedly denied the problem. Toyota was meted out of series of penalties amounting millions of dollars owed to
the US government plus a $1.2 billion settlement for criminal liability charges in 2014. The penalties were largely due to
Toyota’s neglect to take immediate actions on complaints. To acknowledge one’s fault is something Toyota should have
done immediately. For years, Toyota passed on the blame to either suppliers or to drivers who Toyota said has driving
problems. But Toyota has learned its lessons. Slowly, it has moved forward and since then became careful in its
procurement of parts and in its operations. It has also improved its quality checked and has become stricter in
monitoring car production and the assembly line. Other companies have also learned from Toyota’s recall story. In the
midst of ethical recovery, Toyota has repositioned itself as an ethically responsible company. To date, Toyota is still one
of Forbes’ ten most valuable brand in 2014

Discussion Questions

1. How should have Toyota handled the safety issues the first time they happened?

2. What as Toyota’s neglect on this issue?

3. What was the effect of Toyota’s mishandling of the safety issues?

uestions to Ponder
Identify at least one religious ethics for each religion. Write a scenario that shows how such ethical values apply
in business operations. Write your answer in the table provided

RELIGION RELIGIOUS ETHICS APPLICATION IN BUSINESS PRACTICE

BUDDHISM

CHRISTIANITY

ISLAM

JUDAISM

HINDUISM
Answer the following questions:

1. Describe how these beliefs, traditions, and practices affect business practices.

2. What could be the implications if two people coming from different belief systems work in
the same organization?

3. How should you deal with someone who has different standards of right and wrong actions?

4. What is your opinion on having an interfaith code of business ethics?

5. Given the nature and purpose of business and religion, what do you think should be
their ideal relationship?

Answer the following questions:

1. Describe how these beliefs, traditions, and practices affect business practices.

2. What could be the implications if two people coming from different belief systems work in
the same organization?

3. How should you deal with someone who has different standards of right and wrong actions?

4. What is your opinion on having an interfaith code of business ethics?

5. Given the nature and purpose of business and religion, what do you think should be
their ideal relationship?

Answer the following questions:

1. Describe how these beliefs, traditions, and practices affect business practices.

2. What could be the implications if two people coming from different belief systems work in
the same organization?

3. How should you deal with someone who has different standards of right and wrong actions?

4. What is your opinion on having an interfaith code of business ethics?

5. Given the nature and purpose of business and religion, what do you think should be
their ideal relationship?