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Ethics - Desperate Air

In: Business and Management

Submitted By abhinetram
Words 501
Pages 3
George Nash has seriously failed in his ethical responsibility by not informing Fledgling Industries about the toxic waste & going ahead with the sale. While it is true that disclosure of hazardous substances is not a legal requirement for the state of Florida & the non disclosure is legally above reproach, it is still morally questionable.

As for the question of “What would I do if I ever found myself in such an ethical dilemma”, I think I would have disclosed about the toxic waste to the prospective buyer. It might result either in a delay in closing the deal or the party walking away from the deal. But I would have felt more truthful to myself & would sleep peacefully at night knowing that I haven’t endangered the lives of old people trying to lead their retirement lives peaceful near the ocean shore.
The possible outcomes if I don’t disclose the toxic waste -
• It could result in a backlash from the community once they find that the property is sold by DAC after hiding the facts. They may boycott the company flights resulting in huge losses & further batter the company’s image.
• The employees looking for jobs outside might have it even tougher for themselves if they are associated with an unethical company.
On the other hand, the outcomes if I DID disclose the facts –
• Fledgling Industries may walk away from the deal cutting the chances of generating immediate cash for the company. But DAC can always look for another buyer.
• It could cause a delay in signing the deal due to the necessary investigations which might have serious economic effects on the company.
In the short run, it may affect the company financially but the social responsibility demonstrated would result in a good image & loyal customer base in the long run which might even pay a premium price to be associated with such an ethical company.

It would help to make the right ethical call by asking myself the 4 questions as mentioned by Norman Augustine –
1. Is it legal?
a. Yes. Only under the law. But community would not think so.
2. If someone else did it to you , would you think it was fair
a. No. I would consider it to be most unfair.
3. Would you be content if hometown paper carried the news on front page?
a. No. I would be devastated.
4. Would you like your mother see you do it.
a. No. I would be ashamed.
Even If I choose to follow the 6 question guideline suggested by Michael Rion, I know that I am taking the right decision by choosing to disclose.
Additionally, Just a thought on how to make the disclosure & still help the company economically -
• Make an agreement to bear the cost of cleaning up the toxic waste after which the property would be transferred to Fledgling Industries. In this way, the company is still making money by selling off the property & also ensuring that both environment & people are safe.

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