Paper on Ethical Dilemmas and Challenges of Managers
12 Pages3030 Words135 Views
Added on 2020-05-16
Paper on Ethical Dilemmas and Challenges of Managers
Added on 2020-05-16
ShareRelated Documents
0ETHICAL DILEMMAS AND CHALLENGES MANAGERS FACEEthical Dilemmas and Challenges of ManagersName of the Student:Name of the University:Author Note:
1ETHICAL DILEMMAS AND CHALLENGES MANAGERS FACETable of ContentsIntroduction:...............................................................................................................................2The chosen organisation and its ethical dilemma:.....................................................................2The chosen organisation: Pepsi Co........................................................................................2The ethical dilemma:..............................................................................................................3Two theoretical concepts from managerial ethics and critical analysis of the dilemma:...........3Ethical dilemma:....................................................................................................................3Analysis of the ethical dilemma in the light of the two theories:...........................................4Influence of two ethical theories on managerial decision making process:...............................7Decision-making:...................................................................................................................7Market competitiveness:........................................................................................................7Conclusion:................................................................................................................................8
2ETHICAL DILEMMAS AND CHALLENGES MANAGERS FACEIntroduction:Ethics and ethical dilemmas have profound influences on the business operations ofmultinational companies. Ethical dilemmas and failure to deal with them appropriately attractcontroversies which prove fatal to their business both in short term and long term. The paperwould shed light on the topic by analysis of a piece of news revolving around a controversialadvertisement by Pepsi Co. featuring Kendal Jenner. The author would first introduce thecompany and then go on to explore the controversial advertisement involving ethicaldilemma (pepsico.com, 2018). The advertisement and its impacts would be analysed on thebasis of two managerial ethical theories, namely, Utilitarianism and Kantian deontology.This advertisement would be then analysed on the grounds of these two theories and theirimpact on business generation of Pepsi Co. Then the author would go on to study how ethicaldilemmas impact business decisions and their importance in those decisions.The chosen organisation and its ethical dilemma:The chosen organisation: Pepsi CoPepsiCo Limited is the second largest manufacturer and marketer of food andbeverages in the world and has its headquarters in the United States of America. Thecompany is listed on the NASDAQ in its home country and several other stock exchangesaround the word which accounts for its huge capital base (nasdaq.com, 2018). The globalgiant uses aggressive business models like wholly owned subsidiaries and acquisition andmerger models to dominate the global beverage and snacks markets. PepsiCo owns some ofthe top brands in the world like Pepsi, Tropicana and Lays. The company under theleadership of its present CEO Mrs Indra Krishnamurthy Nooyi conducts business in over ahundred countries around the world (pepsico.com, 2018). It is evident from the discussion
3ETHICAL DILEMMAS AND CHALLENGES MANAGERS FACEthat the multinational company comes under immense pressure to satisfy all its stakeholderswhich creates ethical dilemmas which attracts interventions from the apex management.The ethical dilemma:PepsiCo was trapped in the ethical dilemma when it released an advertisement whichshowed model and actress Kendal Jenner approaching a police officer with a can of Pepsiwith an angry crowd mostly consisting of black people marching in the background(cnbc.com, 2018). The critics cited that Pepsi tried to show the democratic rights of thepeople of Australia, especially the blacks in lighter sense. Moreover, the advertisementshowed Kendal Jenner, a white American offering Pepsi to a police officer. The Australianmedia interpreted this feature of the advertisement as a marketing flaw of Pepsi andshowcasing of racism (Iphofen, R., 2016). The advertisement received such a huge criticismfrom the Australian people and media that it attracted managerial action from Pepsi. The apexmanagement of the multinational company ultimately had to withdraw advertisement torecover from the ethical dilemma. It can be argued that the ethical dilemma identified stemsfrom the company’s accountability to a large number of stakeholders simultaneously. Thenext section would analyse this dilemma on the basis of two managerial theories namely,ethical dilemmas and ethical relationship with stakeholders. Two theoretical concepts from managerial ethics and critical analysis of the dilemma: The Utilitarianism theory:The Utilitarianism theory is the managerial ethical theory dealing with morality of theoutcomes of actions. As far as organisations are concerned, they face utilitarianism situationsdue to the continuous compulsion of adapting the outcomes of their strategies to benefit thechanging macro environmental influences like technological and social changes over whichthey have no control. The complex business situations require the top managers to take
End of preview
Want to access all the pages? Upload your documents or become a member.
Related Documents
Advertisements and Their Impactslg...
|17
|3938
|421
Theories of Advertisement | PepsiCo Studylg...
|14
|3283
|22
Brand loyalty and emotional loyalty: A comparative study between Coca Cola and Pepsi Colg...
|39
|13790
|131
Management of Theory and Practicelg...
|13
|4027
|470