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Considering Stakeholders in Relocating Manufacturing Plants

Http://wpweb2.tepper.cmu.edu/ethics/AA/mgmt05-case.pdf

Read "Something's Rotten in Hondo." Now write a response that addresses the following:

- Identify the stakeholders in this affair and what their primary interests might be.
- Think of any environmental laws that would apply to the case and decide if the government acted legally. If no laws apply, indicate why.
- Now examine the case from an ethics viewpoint - if the categorical imperative theory had been applied, would would the result of the case be?
- How would this change with an application of utilitarian theory instead?
- Do the same for the rights and justice theories.
- Finally, make a recommendation to the business based on what you have thought about above. Please try to include at least 3 separate reasons for your recommendation.

Solution Preview

The solutions are based on environmental law, but I cannot determine how to access eguide.

The stakeholders in this case are the employees of the Ardnak Plastics Inc, the community of Hondo, families of the employees, the stockholders, residents of the community in Mexico, the EPA, George, Bill and other executives of Ardnak. Residents of Hondo have an interest in remaining healthy, with lower levels of pollutants. They also have an economic interest, which may be seriously jeopardized if the plant moves. Employees who work at Hondo contribute greatly to the local economy. Residents in Mexico have an interest, in terms of the effects on their health of the pollutants. They also have an interest in economic gains that might be made by having greater numbers employed in the plant, if it should move. Shareholders have an interest in receiving a good return on their investment, so anything that jeopardizes this, like shutting down the plant or continued fines is their interest.

The environmental laws do apply, in that the level of pollutants being emitted is over the limit set by the EPA, which is mandated by the Federal Government. Even if the plant runs at night when the EPA is not there, a legal requirement is still in place. "Virtually every possible environmental problem or situation is addressed in some manner by both federal and state statutes and regulations"(wildlaw.org, nd). Air is covered by the Clean Air Act, just as water is covered by the Clean Water Act. The EPA, as the environmental ...

Solution Summary

The solution involves an investigation of the effects of stakeholders, when a corporation such as Ardnak Plastics decides to relocate to Mexico, to avoid EPA regulations. A variety of ethical theories are applied to this case and the consideration of all stakeholders involved is discussed.1031 words with 4 references.

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