Essay on Chapter 6 Business Ethics and Ethical Decision Making

1278 Words6 Pages
1. Discuss the advantages and disadvantages of each decision that Elaine has made. a. 1st decision Graphic, Inc. loan of $10 million. Graphco was a tobacco firm embroiled in litigation concerning the promotion of its products to children. Elaine based her decision by Moral Philosophies which refers to the specific principals or rules that people use to decide what is right or wrong (Ferrell, Fraedrich, Ferrell, Ninth Edition Business Ethics, p 153). The advantage to this decision is she did what she felt was morally acceptable, the disadvantage is she does not have their business and she has no reason to believe they would not pay the loan back and she would have made money for the bank if she accepted and approved the loan…show more content…
The advantage is she stayed away from an ethically questionable company since they were basically price gouging and the disadvantage, if you can get past the ethical decisions the company made, is they are a very successful company. This one she was overruled and forced to sign the loan. d. The last company was from Brazil requesting an agricultural loan to harvest parts of the rain forest and was willing to pay almost 2 points over the going rate on a $40 million loan. To Elaine this had environmental implications and was going against her stand on the environment. Elaine’s philosophy on this decision what is known as “Virtue Ethics” behavior adhering to moral behavior and what a mature person with “good” moral character would deem appropriate in a given situation. Advantages in this decision is on her end only, she felt as if she was going to save part of the rain forest but unfortunately the Brazilian company decided to just get the loan somewhere else, one of her competitors which is the disadvantage. 2. What are the Ethical and Legal considerations facing Elaine, Dennis, and UBC? a. Elaine could be forced to start making decisions to save the bottom line for the bank (UBC). She has already lost employees over the past year due to her regulations being too provincial for the emerging global marketplace. Elaine may have to think about re-writing her standards for the bank decisions for approving loans. She already lost one major account

More about Essay on Chapter 6 Business Ethics and Ethical Decision Making

Open Document