The purpose of this memo is to discuss the opposing views of shareholders and stakeholders, evaluating our decision based on multiple ethical principles, focusing on Chocoholics Anonymous profitability, and ethical integrity.
Chocoholics Anonymous experienced a decline in sales and decrease of profits during the economic downturn, as did the other companies in Iowa City. These companies fired employees to save money, which caused a large unemployment base. In order to control the increasing unemployment rate, the local economic development group cautioned local firms to avoid layoffs. The internal managers of Chocoholics Anonymous now have a conflict about the decision to keep or fire a full-time manager. By discussing and analyzing the different
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The primary stakeholders are defined in the book as any group on which an organization relies for its long-term survival (Williams, 2015, p.81). Primary stakeholders include groups such as the government, local communities, employees, and suppliers. We will focus primarily on the concerns of the employees and what helps our community. The stakeholders view supports the wellbeing of the company through stakeholders and the model states that it is a theory of corporate responsibility that holds that management’s most important responsibility, long-term survival, is achieved by satisfying the interests of multiple corporate stakeholders (Williams, 2015, p.80). The employee 's job security fluctuates as we make major decisions. Employees see this as a concern since unemployment has risen around their community. In an article written by Jeff Smith, The Shareholders vs. Stakeholders Debate mentioned “that a manager’s duty is to balance the shareholders’ financial interests against the interests of other stakeholders such as employees, customers, and the local community, even if it reduces shareholder returns” (Smith, 2003). Another concern of our employees includes the potential stress from removing one of the managers and the feeling of instability for their own jobs. If the stakeholders are happy, the company has a longer lasting stability such that they have …show more content…
Social responsibility is defined as a business’s obligation to pursue policies, make decisions, and take actions that benefit society (Williams, 2015, p.80). Even though laying off employees during this time is not illegal, the local officials recommend and advise the companies not to do so. To exercise our social responsibility, the best decision would be not to fire employees because of the support needed by the local officials. Concerns for the local officials could reflect unemployment resources and lawful payouts. As the unemployment rates go up, the local officials has to find ways to bail out the population or all the businesses in the area will fall into debt. “To assist individuals and families meet some basic needs, public assistance programmes offer resources to qualifying individuals. Ideally, these resources are meant to stabilise a family 's economic decline, at least minimise a decline, until circumstances improve”(Shao, McKinney, & Shao, 2012, p.76). The government bails out the unemployed with financial costs from the taxes from the employed men and women. This increases the spending power and also the economic activity; however, this also increases taxes. The local officials support our decision to keep the full-time manager to reduce the unemployment
In this paper, I am going to discuss and explain my opinions on why company Q is or is not socially responsible. Company Q recently closed a couple of stores in high crime areas. Company Q also started offering very limited health conscious and organic products. The local food bank has contacted Company Q requesting day old food for donations. Company Q has declined the donation request due to possible fraud by its employees and has started throwing the food away.
The Corporate Social Responsibility of the company is responsible for the welfare of society. The company did not think about the community. Thus, the company had to face the title of being unethical resulting in losing its
But first, I will present examples of each and explore
The uncertainty and hardship of the 1970s financial insecurity continued to be experienced in the mid-1990s. A temporary sense of relief was felt as the Canadian economy improved markedly (Baily & Elliott, 2009, p.5). The relief was an aftereffect of the federal and provincial government objective to create economic growth and increase "workforce flexibility". The workforce flexibility gave employers more flexibility in hiring and firing, in addition to making it more difficult to qualify for Employment Insurance, and social assistance benefits (Pegg & Stapleton, 2013, p. 13). A decision based on the theory that this will provide an incentive for people to work rather than collect public benefits.
A Stakeholder is any individual who has a vested interest in a business and is affected by the organisations decisions and strategies (Pride, Hughes & Kapoor 2015, p. 10). Therefore, the people most affected by Graeter’s decisions to take a long term view of the business rather than aim for short term profits are the family members who have a stake in the business. At the present, Richard Graeter II (CEO), Robert Graeter (vice president of operations) and Chip Graeter (vice president of retail operations) manage the business and are responsible for all the decisions regarding its operations. Graeter’s management team have chosen to forgo the opportunity for short term profits by adhering to the traditional manufacturing process used by Louis
Know Your Business Environment Unit No. 1: The Business Environment Pervez Ghazi Shaikh Date Submitted: 31/10/2016 Carl Loraine Cruz 20154176 Target is the organization that I have chosen for this assignment. Target is a famous discount retailer in United States that was founded by George Dayton. It was formerly called Dayton’s Company in 1910.
In Margaret Visser’s essay, “The Rituals of Fast Food”, she explains the reason why customers enjoy going to fast food restaurants and how it adapt to customer’s needs. Some examples of the most loyal fast-food customers are people seeking convenience, travelers, and people who are drug addicts. First, most loyal customers are people seeking convenience. The reason why fast food restaurants are convenient because longer hours of being open, the prices are good , etc. As Visser said in her essay, “Convenient, innocent simplicity is what the technology, the ruthless politics, and the elaborate organization serve to the customer” (131).
Millions of Americans receive government aid such as welfare every year. Of those Americans who are on welfare, many are unemployed. Some people may need welfare because they don’t make enough money to support their families. However, the amount of money spent on welfare every year is tremendous. Welfare should be taken away from those who don’t work.
ECONOMICS PROJECT Name: Saatwic Malhotra Course: BBA.LLB (H) Section: A Enrollment Number: 7058 ACKNOWLEDGEMENT I express my sincere thanks to Mrs. Tanu Sachdeva, my economics teacher who guided me throughout the project and also gave me valuable suggestions and guidance for completing the project. She helped me to understand the issues involved in the project making besides effectively presenting it. My project has been a success because of her. PEPSICO • PepsiCo, Inc. is an American multinational food, snack, and beverage corporation headquartered in Purchase, New York. PepsiCo has interests in the manufacturing, marketing, and distribution of grain-based snack foods, beverages, and other products.
Stakeholder analysis Stakeholder are entity that will affect the organization actions, objectives and policies. There are two types of stakeholder which is internal stakeholder and external stakeholder. The McDonald’s stakeholders are customers, suppliers, employees, managers, government, local communities and pressure groups. Customers Customers are the external stakeholders of the company, no customer mean zero profit.
They have to decide on whether to pay bills or buy food. It is a very difficult position to ever be in. If they don’t pay bills than they can end up being homeless, and if they can’t afford the food they can’t survive. This reminds me of an article I read on talkpoverty.com. They suggested that with the 170 billion in economic saving the government can pay for over 11 million jobs at a salary of $15,000 per year.
Introduction The key ethical issues that were presented in this case study were quality control, lack of customer care, responsiveness, and harming the customer. The Johnson and Johnson case may have been seen as a turning point due to many things the company did right. However, there were many ethical issues in this case which will be explored more throughout this paper.
The Harvard Model of HRM: Back in 1984, Beer et al developed the Harvard model of the HRM. Beer et al believe that the human resource is passes many of pressures nowadays, therefore, eliminating the pressures is required. These pressures could be eliminating by having a long-term perspective in terms of controlling people and potential assets rather than just variable costs. As a result, Beer et al approach the Harvard Model of the HRM. The purpose of this model is to solve the pressures that may occur in the HR of any organizations; these pressures include all management decisions that will affect the relationship between the organizations and their workers, in addition to a clear plan for the HRM policies and procedures by the manager of
Introduction: Unemployment generally defined as the number of persons who are willing to work for the current wage rates in society but not employed currently. Unemployment reduces the long run growth potential of the economy. When the situation arises where there are more other resources for the production and no man power leads to wastage of economic resources and lost output of goods and services and this has a great impact on government expenditure directly (Clark, 2003). High unemployment causes less consumption of goods and services and less tax payments results in higher government borrowing requirements. The impact of the unemployment is seen with the individuals and household curtailing the consumption drastically to meet financial
Industrial relations system in Malaysia functions within the legal framework of the industrial relations act 1967 and the industrial relations regulations act has this to say “An Act to provide for the regulation of the relations between employers and workmen and their trade unions and the prevention and settlement of any differences or disputes arising from their relationship and generally to deal with trade disputes and matters arising therefrom.” [7 August 1967]. The Act is self-contained. It changes all previous legislation pertaining to industrial relations but continue to encourage democratic self government in the industry by implementing safeguards to legitimate rights, prerogatives and interest of workmen, employers and their trade