What are the potential ethical issue faced by Acme Corp What

What are the potential ethical issue faced by Acme Corp?

What should Acme do if there is a desire to make ethics a part of its core organizational values

Identify the ethical issues of which Frank needs to be aware.

Discuss the advantages and disadvantages of each decision that Frank could make.

Solution

1) The potential ethical issue faced by Acme Corp include whether offering its customer free tickets to cubs , free trips or entertaining Acme\'s customes at the expense of the compnay to secure the contract is the right thing to do .

2) If Acme has a desire to make ethics a part of its core organizational values, it should set a clear policy guideline to all its marketing personnel as to what is the acceptable ethical behaviour and what is not . Acme\'s employees should be given ethical training and they have to made aware of the ethical behaviour the company expects from them. This will help to make ethics a part of its core organizational values.

3) Frank needs to be aware of the fact that whether it is right on Frank\'s part to concede to the customer\'s demand for free tickets or any other demands made by Acme\'s customers so that the contract is awarded to Acme corporation . Also Frank should be aware whether to keep the corporation informed of any expenses incurred on its customers for securing the contract . Example : A free trip offered to Thermocare representative who plays a vital role in awarding contract to Acme corporation .

4) The advantages of conceding to Acme\'s customer demand is that the corporation is assured of getting the contract and this can improve the firms profits as well as career prospect of Frank in the form of bonus , promotion any other incentive paid to Frank. The disadvantages of Frank decision is that customers can start demanding more everytime a decision has to made whether to award contract to Acme corporation or not . This could soon be a norm for any customer awarding contract to Acme corporation and could spell problems for Acme corporation in the form of financial implication is has on the firm .