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Leadership And Ethical Decision Making Essay

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UWEAR is undergoing a difficult period that has been characterized by declining sales and relatively low profit margins. This situation has generated considerable concerns and pressure of the firm's employees include Joe who is fearing cutbacks and layoffs because of the company's merger with PALEDENIM. However, Joe has established good relations with the CEO of Peninsula Hotels and signed a contract with them in the past financial year. Given the good relations that already exist between Joe and the CEO of this hotel chains, Peninsula is seeking to renew the contract for the upcoming financial year. However, the contract renewal has generated several concerns given that the initial price was so low while Threads4U has offered to beat that offer by 10%. As a result, Joe is facing a leadership and ethical decision-making dilemma that is exacerbated by the pressure to perform.

Joe's Probable Course of Action



In light of the leadership and ethical-dilemma facing Joe, he needs to identify a suitable course of action that would be beneficial to all parties and help enhance the profitability of UWEAR during this relatively difficult financial period. From the scenario, it seems the relationship between Joe and Bill was more than a business relationship since its more of a friendship. Good relations with a business client provides a strong foundation for business transactions that are beneficial for all parties (Dahl, 2011). In this regard, Joe should capitalize on the friendship that exists between him and Bill to renew the contract with Peninsula hotel chain. However, the contract renewal discussions should incorporate deliberations regarding the brand name and quality of UWEAR and PALEDENIM. Additionally, Joe should...
Based on this theory, an act is not inherently right or wrong, but its rightness or wrongness is determined based on its overall good (Moreland, n.d.). Through this ethical theory, Joe should focus on maximizing the greater good for the greater number of people involved in this business transaction. This implies that Joe needs to consider the situation at UWEAR, the business goals of Peninsula hotel chains, and the pressure to perform. While reducing the price of the offer may not be ideal for UWEAR, the contract renewal would be beneficial because failure to do so would mean that it would loose the deal to its competitor, Threads4U.
The use of utilitarian ethical theory in this situation is justified by the fact that the complex issues surrounding this business transaction requires identifying an acceptable course of action for all. In this regard, the interests of each of the parties to the deal are taken into consideration in order to prevent making a decision that favors one party at the expense of the other parties. For Joe, this theory enhances awareness of his susceptibility to layoff and the UWEAR's declining sales and profitability.

Opposing Perspectives



The situation can be viewed differently by others through the use of a different ethical theory or principle. Some individuals are likely…

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