Find new markets or reduce their liabilities

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Reference no: EM132159264

ABC Corporation is an electronic manufacturer headquartered in Atlanta, Georgia. Although they are earning impressive profits, they are getting pressure from some of the board of directors to either find new markets or reduce their liabilities. The President is very concerned about the organization’s finances because he knows growth is limited in the electronic industry. To further his concern, a new tax is about to be enacted which will further increase their liabilities. The President has mentioned several times that he is tired of paying outrageous corporate taxes and now it looks as though he is about to pay more. The President calls a board member and requests that the organization re-locate to another country where taxes are limited. He proposes that paying less taxes will solve their problem. One of the board members likes the idea, but asks is it ethical to leave the US, yet still depend on US for buying their products? What do you think? Validate your comments.

Reference no: EM132159264

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