episode 08 exercise answer 02

Part 2: Solution

Andrew is not the only one at CanGo who must deal with ethical dilemmas. Nor is his situation unusual. Dealing with ethical dilemmas is just part of a manager's job.

For each of the hypothetical situations described below, identify the primary stakeholders involved (customers, employees, investors, society) and suggest a course of action for CanGo to follow.

Let's see how well you answered the questions.

1.	CanGo wants to build a new company headquarters. The site the company has chosen is on the banks of the Hudson River. The new headquarters would support CanGo's expansion, at the same time as it would be more convenient for CanGo's employees. Unfortunately, CanGo's plans have been met with considerable opposition from community groups interested in protecting the river's scenic beauty. CanGo should:
	Your Answer:

	Our Answer:
	Investors, Employees, and Society. Assuming there are no legal obstacles, CanGo could go ahead and build its headquarters, regardless of what community groups think. However, a better solution might be to involve community groups in the planning process. Perhaps the new building could be designed in such a way as to make it more palatable to the community.

2.	CanGo could make a considerable profit if it sold a new line of action-oriented computer games. However, there is a problem. The games are rather violent and are intended for older teens and adults only. CanGo could take steps to prevent underage customers from buying the games, but that would make use of its site more cumbersome for all customers and add to CanGo's costs. CanGo should:
	Your Answer:

	Our Answer:
	Investors, Customers, and Society. This is a tough one. Some might argue that CanGo should simply warn customers that they must be over a certain age to buy the games and leave it at that. Others might argue that CanGo should not sell the games, regardless of the potential profits. Still others might argue that CanGo should weigh all costs involved (including the complication of CanGo's Web site), and proceed if CanGo can protect customers while still making a profit.

3.	Computer programmers in India are paid a fraction of what their American counterparts are paid. Even after taking into account the costs associated with moving some its operations overseas, CanGo would save money if it replaced its American programmers with Indian programmers. CanGo should:
	Your Answer:

	Our Answer:
	Investors, Employees, and Society. Your answer to this question will depend in part on whether you feel that companies have a special obligation to protect jobs in the country in which they are based. Do American companies have a responsibility to protect American jobs? Do Japanese companies have a responsibility to protect Japanese jobs? If your answer to these questions is yes, then you might argue that CanGo should not go overseas. If your answer to these questions is no, you might argue that CanGo should go where its costs are lowest.

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