Instructions: Use the following ethical framework to analyze the case that you choose. Please select a case from

the list of cases at http://ba.tepper.cmu.edu/ethics/AA/mgtmini.htm

THE SIX STEP METHOD FOR ANALYZING AN ETHICAL DILEMMA

1).        First, describe the factual situation.

2).        Identify the possible alternative courses of action (at least 2).

3).        What are the ethical impacts of each alternative at different levels of analysis (i.e. Macro level, Firm or

Company level, and the Individual level – not all levels will always be involved). Be sure to include the

key stakeholders who will be affected by the alternatives. (Note: you will need to analyze each of your

alternatives at the macro level, firm level and individual level.)

Ethical issues can be examined on three different levels; some will be more important than others

depending on the situation:

A).       The Macro Level (The national economic system itself)

Questions to answer: What if all companies did this; what would be the impact on our society,

on our national economy? Would this practice result in a “better” or “worse” society?

B).       The Firm or Company Level

            Questions to answer: How will the decision generated by the firm affect its competitors? The

firm’s customers, suppliers or foreign partners? The firm’s labor force or community? The

industry in which the firm operates. What will be the impact of the decision on the corporate

“ethical culture” of the firm – will it help it or hurt it (will the company be viewed as more or

less ethical)?

C).       The Individual Level

            Questions to answer: Whom will the decision benefit and who will it harm? Is the decision fair

to the stakeholders involved?

4).        Indicate which alternative course of action (identified in #2 above) that each of the following 4 approaches

to ethical behavior would favor. Explain.

1. The Utilitarian Approach

Goal: to produce the greatest good for the greatest number of people – a quantitative concept.

Summary of Utilitarian approach: An action is morally correct if it maximizes net benefits

and minimizes overall harms for all stakeholders.

(e.g., would alternative 1 or alternative 2 produce the greatest good for the greatest number

of people?)

2. The Justice Approach

This approach is based on the belief that people should be treated fairly and equitably,

according to the legal rules and standards.

3.          The Human-Rights Approach (Moral-Rights Approach)

There are individual and societal fundamental rights or values which deserve to be protected

regardless of cost or economic efficiency, such as freedom of conscience, free speech, the

right of consent to actions that affect the individual, and rights of due process.

Summary: a moral action should minimize the harm to the fundamental rights of the

stakeholders affected by it.

4. The Individualism Approach

This approach is based on the belief that one’s primary commitment is long-term

advancement of self-interests.

5).       Are there any practical constraints that limit our choice of alternatives? (i.e. it costs too much – the firm

would go out of business; the government would not permit it.)

6). In light of the preceding analysis, what is the best alternative?

The following rubric will be used to grade your assignment: Ethics Rubric