Ethics Case Analysis: Trans-American Paper Company

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Ethics Case Analysis: Trans-American Paper Company
In resolving the ethical issues associated with business conduct the “seeing-knowing-doing” model is very useful. In this case analysis, we scan all the Trans-American Paper Company’s (TAPC) proposed/potential business options for the ethical issues. First, we will identify the ethical issues involved and its ethical/business/legal implications. Second, we will see how we can resolve these ethical issues and come up with best/second-best options. Finally, we develop an implementation strategy by leveraging ethical theories that identify (step one), resolve (step two) the ethical issues and implement (step three) our decision.
In the proposed “Option 1”, the ethical issue is with the …show more content…
Instead of agreeing with 51%-49% arrangement, TAPC should renegotiate so that it can manage the plant and not let an investment company run its business. Along with these modifications, setup of a clean power generation plant will make the plant self-sustained (Utilitarian views).
All the major schools of ethics when properly applied produce the same result. Applying Utilitarian principles, not only is the “modified Option 3” beneficial to TAPC but also it is beneficial to all the direct/indirect stakeholders. For example, TAPC gets a futuristic plant, WIG can expect a profit for its investment, local worker gets technologically advanced and stable employment, community gets more business, environment is protected, and consumers get competitive products. Also this option seeks alternatives that have greater net welfare effect (Ex. use of recycled sludge in cement applications). As per the Deontological approach, by not closing down the plant the company will be doing its share of the duty to the community in which it operates. Also by being environmentally responsible, TAPC will be refraining from strict utilitarian calculations and will focus on net benefit to the society. As per the “Ethics of care”, by taking a long term approach the company is taking into account the impact on existing/ future loyal employees and owing them care instead of taking a quick and dirty fix to the
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