Case Study Assignment – Business Ethics
Rejuv Travel INC, a sophisticated travel agency has had great success in the North American market by offering highly specialized travelling experiences to an elite feminine clientele. By means of its two star travel products, “Girl Power” and “Grey Lady, RTI has positioned itself as a highly profitable company through a strong word of mouth promotion that is currently attracting large numbers of new clients. Leading its success is CEO Joe Ryan, a very energetic and charming entrepreneur that has built the company from bottom towards a highly profitable IPO that has made both its shareholders and employees highly motivated. RTI is now seeking to open new agencies across the world with a very aggressive campaign that seeks to position its brand globally in just a year and a half. The above mentioned description sets the stage for a company that in its intent of going global has found itself blinded due to its success from a potentially critical ethical dilemma that if not dealt might cut short its global ambitions.
1. Reputational Capital Perspective & Forces At Work
To start with, there is a blatant mixed message in RTI’s image that is rooted on an unintended negative signal source has been its very own CEO. The negative signal is that a travel agency focused on specialized tourism for women, is now facing public exposure through its CEO´s rock star and libidinal personal life. In terms of the agency’s reputational image, this situation may prove to be catastrophic, especially when aiming at such delicate clients and amidst a global expansion. By delicate clients, it is referred that the audience at which Rejuv must signal clear positive image is both unsecure parents, as “Girl Power¨ focuses on underage girls, and its senior clientele that would search for safety and trust when seeking to travel at such ages.