Social and Ethics Responsibility

Ethics Paper

Faronica Hayward

September 15, 2015

MGT 498/Strategic Management

John Vincent

           As companies come together to develop a strategic plan, social and ethics responsibility would drive a company’s values, vision, and mission. These three parts build a strategic plan. It builds on the procedures and policies that will drive the company’s plan through success. When faced with difficult decisions a corporation executives immense challenge of balancing the strong ethical code of the shareholders profits. Companies fail to know that by focusing on one single area can cause the others to lack. Quick to be identified by the public Technology companies, made things easier for the information to flow ethical and failures. A business can go through negative exposure if it’s falling to operate a business ethical. It could lead to brand deterioration quick. This paper will explain the role of ethics and social responsibility in development a strategic plans which considering stakeholder’s needs and agenda.

          The Corporation has to make the best decisions possible for their stakeholders. To make sure the corporation reputation is not jeopardize they must make sure its decisions will be unethical. It is very important that the stakeholders and community inform those who are affected closed business and layoffs, or any others that’s involved is expected but not require on society basis thought. “In society ethical responsibilities of an organization’s management are to follow the generally held beliefs about behavior (Wheelen and Hunger, p.58). As oppose to hospitality and anger towards the corporation this act would allow people to adjust comfortable to the upcoming events. Making a profit is not that important as how the change would take on the needs of business in the community.

           A great example of a violation of ethical is the scandal of the GlaxoSmithKline bribery. The scandal happened in China. The allegations was that a few of the company’s employees were offered a bribe totally $400 millions. The main objective was to see if the Chinese Corporation would raise their pharmaceutical prices. (Hirschler 2013). To gain additional financial compensation most likely the attempt of bribe was a result of person greed. GlaxoSmithKline already a profitable company and they only used about 4-6% of the Chinese market. It was stated that the situation have obvious ethical flaws. GlaxoSmithKline was trying to raise the price of the customers on saving life medical treatments. Another one of the company’s problems was it had another ethical boundary that was breach with the operations. Being the type of company, GlaxoSmithKline is as a publicity trade company it should not engaged any high risk illegal activities of any kind. These kinds of activities can impact shareholders. Because of the scandal the company’s sales dropped 60% with the China connection. It made it extremely difficult to mend the relationship between the two for the future.