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Company X in the Marketplace simulation is one of three join

Company X in the Marketplace simulation is one of three joined in a strategic alliance for the development of product feature technology. One provision of the alliance agreement restricts each member from licensing alliance developed features to companies outside the alliance. Company X has received licenses for two popular features and has been approached by a non-alliance company regarding licenses for those features. Currently, Company X is struggling. A substantial emergency loan was taken in the previous quarter, and the firm is close to bankruptcy. The non-alliance company is offering substantial amounts of cash for the features.

What are the ethical issues facing Company X?

Can you envision a way for Company X to license the features to the non-alliance company?

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Facts:

Company X is one of 3 companies in a development alliance.
A restriction is that X cannot license alliance features to companies not in the alliance (one of the 3).
X is approached by a non-alliance company (we'll call him Y).
X is financially struggling and used an emergency loan.
Y wants to bribe ...

Solution Summary

Company X in the Marketplace simulation is one of three joined in a strategic alliance for the development of product feature technology. One provision of the alliance agreement restricts each member from licensing alliance developed features to companies outside the alliance. Company X has received licenses for two popular features and has been approached by a non-alliance company regarding licenses for those features. Currently, Company X is struggling. A substantial emergency loan was taken in the previous quarter, and the firm is close to bankruptcy. The non-alliance company is offering substantial amounts of cash for the features.

What are the ethical issues facing Company X?

Can you envision a way for Company X to license the features to the non-alliance company?

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