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Kathy Ryan, The Trade Credit Officer For Diversified Consolidated Corporation

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Relevant Facts Kathy Ryan, the Trade Credit Officer for Diversified Consolidated Corporation (DCC) was asked to give a credit reference for a company called North, to her good friend Mike Walman who works at Basic Products. The problem or conflict that Kathy has is that she had just found out from the treasurer at North, Scott Bradley, that the company might be looking into filing for bankruptcy if they do not receive some help from a company such as Basic Products. To further complicate the situation North’s credit is immaculate so no one would suspect that they would be planning to file for bankruptcy by just looking at their credit. Stakeholders The primary stakeholders involved in this case are Kathy, Ryan, Scott Bradley, Mike Walman, DCC stockholders and employees, Basic Products and North Manufacturing. Ethical Issues and Possible Alternatives …show more content…

Kathy has three possible alternatives. She could give Mike a clear warning about the information she received from Scott, she could give hints that suggest Mike research North’s credit performance or she could give the credit report without mentioning anything about North’s difficulties. The main point is that Kathy is being asked to give a credit reference. Based on the company’s credit reference they are in good standing. What she was told earlier should not affect the report that she gives to Mike Walman. Scott Bradley said that his company needed help, the operative word that he used was to say that if they do not get help they might have to file for

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