Darren Fryer
February 1, 2012
BA 370
Closing Case: Nicolo Pignatelli and Gulf Italia
What should Pignatelli do? What would you do and why? In this situation, Pignatelli should go with his second option: asking his more influential partners to pressure government officials to quickly grant the two needed permissions. If his partners are unsuccessful then he should play it straight and try to gain government authorization. This is his best option because it is much less threatening to his company and personal reputation than committing bribes would be. Even though playing it straight would likely take several months and possibly years before the government authorizations could be obtained, it is still the best, and most ethical, option in the long run for the company since his refinery will be still able to eventually flourish and be successful. If he were to bribe the government officials or hire the consultant he would be putting his company and reputation on the line. If either of those plans were to fail, he would be exposed to the public and his reputation and business would become corrupt. It is best that Pignatelli do things the morally correct and most ethical way in order for his business to properly prosper. I would do the same as Pignatelli because it is the most ethical decision that benefits myself, my shareholders, and my employees throughout the long run. Either of the other two options are much to unethical and risky for me to choose. I would want my company to be successful and not have anything to hide from the public.
Pignatelli seems to be leaning in the direction of hiring a consultant who might use part of the money for bribes. If Pignatelli does not pay the bribes directly, does this absolve him of responsibility? It does not absolve Pignatelli of responsibility since he made the decision to hire the consultant knowing that the money would