The Recalcitrant Director Case

880 Words Oct 2nd, 2014 4 Pages
9/13/2014

The Recalcitrant Director at Byte Products, Inc. CORPORATE LEGALITY VERSUS CORPORATE RESPONSIBILITY |

The Recalcitrant Director at Byte Products, Inc. CORPORATE LEGALITY VERSUS CORPORATE RESPONSIBILITY |

The Recalcitrant Director at Byte Products, Inc.
Table of Contents: Questions | Page | 1- If you were one of the board members, how would you have initially voted for the proposal? What would your vote be after the recess in the meeting? Why? | 2 | 2- Should the Byte executives tell the town administrators and potential employees that this is a temporary plant, to run for three years? | 2 | 3- What impact does a plant closing have on a small
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2- Should the Byte executives tell the town administrators and potential employees that this is a temporary plant, to run for three years?

Sure The Byte executives should tell the town administrators and potential employees that this is a temporary plant, to run for three years because of the bad impact of the plant closing on the potential employees, ethically the employees should be informed that the plant is temporary that gives them the chance to arrange and to plan for their life after the closing.

3- What impact does a plant closing have on a small town like Plainville? What impact does the closing have on the employees?

The impact of the plant closing on a small town like Plainville, the employees will lose their jobs, the tax base of the community will have been destroyed, properly values will decrease precipitously, and practically the whole town will be unemployed.

4- Can you suggest any compromise for the present impasse?
Elliott’s team might discuss many options before bringing it to the board: 1- Byte may go for domestic licensing for its products and process technology. Although domestic licensing would result in higher production costs and lower margins; Byte could absorb the higher costs and do not pass it on to the customer. Offering…