Business Ethics Scenario -- Expansion Essay

In that regard, even the protections available in more sophisticated societies cannot prevent major governmental corruption, exploitation, or unethical business practices in the private sector.

Therefore, the prospect of expanding our company presence to Kava does not obligate us to become more directly involved in Kava government or politics, but it does impose an obligation on our part to encourage the most beneficial organizational values and practices at every level. Business management principles must be shared in a manner that best cultivates a fundamental respect for human rights, equal rights, ethical principles of fairness and equity.

Naturally, in addition to attempting to instil socially responsible organizational values in Kava, our ethical responsibility requires us to determine a fair method of apportioning the measurable value that we derive from our Kava operations between the Kava people and our financial interests. It should go without saying that we will restrict our operations, organizational processes, and human resource approaches to those considered ethically appropriate in the U.S. And that we will strongly encourage that the Kava government adopt similar standards of government and corporate responsibility for the benefit of Kava society through our influence.However, to the extent our Kava operations generate financial profit, we must determine how to allocate those profits ethically. In that regard, our fundamental obligation is to compensate Kava employees and organizations is to ensure that the amount of profit that we extract from their labor and other resources is ethically appropriate to the circumstances. No arbitrary assignment of numerical percentages can provide the right ratio of company (and American) profits to Kava benefits.

Therefore, a viable approach might be to first outline objective goals for our impact on Kava society first, and only then to crunch the numbers. For example, it might be that, given our anticipated profits, a reasonable minimum goal capable of justifying our corporate presence in Kava for one year is the establishment of a centralized national system of health clinics to provide basic healthcare services to the Kava population. Whatever profits remain after that goal is achieved represents our fair share, whether that comes out to 70% or 10%. Furthermore, a 50% cap on our benefit might be appropriate as well, with any excess directed toward further justifying our corporate presence in Kava......