Reference no: EM132990250

Question -

Q1) A former head of the World BANK and the head of the International Monetary fund were both embroiled in public scandals involving inappropriate relationships in the workplace. It was claimed that subordinates would be reluctant to work for a boss who has a reputation for sexual harassment. Time and energy that should be devoted to improving the company's profitability is wasted in sexual pursuits by the predator as well as the intended victim in fending off unwelcome advances or succumbing to them.

A company that allows a sexually charged environment to exist would soon get a bad reputation especially in Asian cities where news spreads fast through word of mouth. This bad reputation would undoubtedly restrict the pool of job applicants because qualified women mindful of their reputation would not be willing to work for such a company. For employees, sexual harassment would distract and humiliate female staff whose focus on work would be disrupted.

Required -

Explain 3 ways in which reputation risk can be managed.

Do you think institutional investors would be interested in investing in companies where this behaviour is tolerated? Explain.

Is this ethical from a Utilitarian perspective?

Q2) Adidas is a German company that makes shoes and sportswear and for decades it had conducted its manufacturing activities primarily in developing countries. The decision to "return" to Germany might have been cause for celebration among Germans looking for jobs, but there was a catch: The shoes Adidas would be making in Germany would be made by robots.

Required - Was this an ethical decision or not? Explain.