Case Analysis And Analysis Of An Ethical Dilemma In Bank Of America

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An ethical dilemma plays an important role in business. Ethical dilemma – moral situation where a choice have to be made between two equally unwanted alternatives. While a business dilemma according to Fernando (2009) is when the decision maker of organization meets a choice between two or more variants that will have a different influence on income, competitiveness and shareholders of organization. As the chairman and CEO of Bank of America, Lewis takes a responsibility to instruct the shareholders about the adverse conditions with Merrill Lynch merger. The same applies goes to Thain who deluded shareholders about financial problems in Merrill Lynch and the bonuses paid. Another point is that Thain and Lewis pay out bonuses before acquisition of the deal. On the other point of view, Lewis had responsibility to the overall well-being of the U.S and global financial system. Another major crisis will affect Bank of America shareholders and customers. No matter what Lewis chooses, anyway it will influence to a lot of people. The best choice was to choose one that will minimize the damages. Obviously, Lewis and Thain should not pay out bonuses before acquisition. They acted unethically, but if Thain reveal the bonuses before the acquisition, it will impact on his employees who might have lose their jobs, shareholders who might have lose money…show more content…
It was unethical behaviour from John Thain side to spend money on his office when Merrill Lynch was on the verge on the bankruptcy. According to CNBC (2009) this is a list of things which he bought to his office:
1) Area rug, $87,784; 2) Mahogany pedestal table, $25,713; 3) 19th century credenza, $68,179; 4) Pendant light furniture, $19,751; 5) 4 pairs of curtains, $28, 091; 6) George IV chair, $18, 468;
7) 6 wall sconces, $2,

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