Read the SABMILLER Case study and answer the following questions: 1. What are the principles involved in
Question:
Read the SABMILLER Case study and answer the following questions:
1. What are the principles involved in this situation? Principles are the standards and norms of appropriate conduct that guide our behavior. How should Maria weigh the relative importance of each of these principles in making her recommendations for how to move forward?
2. What character issues are relevant in this decision? We often think of character as an individual trait, but like individuals, companies can also demonstrate character and commitment to integrity in their ability to adhere to their expressed corporate values, even when the costs of doing so may be great. How do SABMiller's current tax practices support or undermine its corporate values? If you were Maria, how would you want others to view your character based on your recommendation?
3. What are the short-term and long-term consequences for stakeholders if SABMiller continues with its current tax practices? Stakeholders are people or groups that can affect or are affected by SABMiller's actions, such as employees, customers, investors, suppliers, and communities (Freeman 1984). Do the positive consequences outweigh the negative ones? Can you justify the negative consequences in ways that align with the company's principles and values?
4. How should SABMiller respond to Action Aid's criticisms? What should SABMiller's approach to tax be going forward? How can SABMiller better align its actions with its most valued principles and character traits, create more positive outcomes for its stakeholders, and/or mitigate negative consequences for its stakeholders?
Auditing and Assurance Services A Systematic Approach
ISBN: 978-1259162343
9th edition
Authors: William Messier, Steven Glover, Douglas Prawitt