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Wgu Business Ethics

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MEMO
To: CEO and Executive Team
From: Jamie Earley, Elementary Division Manager
Subject: Quality Assurance Findings
January 8, 2013

Dear CEO and Executive Team,

As you are aware the recent testing on our whistles showed that there were traces of lead found in the whistles that come with the toy that we sell to children 7 and under. The lead found is slightly about the legal limit allowed here in the United States. We must look at different decisions that can be made, their pros and cons, and of course how they will affect the company financially, legally, and ethically. We must first look at how we come to decide on what our alternatives are before and how we came to those three. We it comes to deciding the different alternatives we must look at what options are realistically available for the problem. At this time I have come across three alternatives that can be made; cancel the order, reproduce and repackage the toys, or ship the product without the whistles. These alternatives were chosen by using the theory of Individualism in decision making. This theory allows us to look at decisions the ethical and just in the long run.
If we decide to cancel the orders our company will be seen by everyone as socially responsible and having morals which is an advantage. On the other hand it may cause the purchaser money in profits in the long run, which could lead to legal ramifications. Legally our customer would be able to file a suit for a breach of contract that we entered into. Not to mention the cost to our company, this in return is a disadvantage. Our company would incur cost from scrapping, loss of sale, and the cost to initially produce the product. This is something we cannot afford to take on financially.
Option number two would be to reproduce and repackage the item. A great option to show again how much we care as a company and show our

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