Reference no: EM1354121

Susan serves on the city building commission. The city is planning to build a new subway system to extend the reach of the subway further out from the city center. Susan's cousin, Sam, owns Subway Mobility Co., submitted the lowest bid for the system. Susan knows that Sam could complete the job for the amount in his bid. But she also knows that once Sam finishes this job, he will probably sell his company and retire. Susan is concerned that Subway Mobility's subsequent management might not be as easy to work with if revisions need to be made on the subway system after its completion. She is torn as to whether she should tell the city about the potential changes in Subway Mobility's management. If the city knew about the potential change in Subway Mobility's management, it might prefer to give the K to one of Subway's competitors, whose bid was only slightly higher than Subway's was..

Does Susan have an ethical obligation to disclose the information about Sam to the city planning commission?

How would you apply duty-based ethical standards to this question?

What might be the outcome of a utilitarian analysis?