Question: A. List the top 3 ethical issues in Responsibility vs. Profitability at MGM Grand Resorts Intl. ? B. Number these issues in terms of which


IVEY Publishing MGM RESORTS INTERNATIONAL: RESPONSIBILITY VERSUS PROFITABILITY Won-Yong Oh and JinsuhTark wrote this case solely to provide material for class discussion. Theauthors do not intend to illustrate either effective or ineffective handling ofa managerial situation. The authors may have disguised certain names and otheridentifying information to protect confidentiality. This publication may not be transmitted, photocopied,digitized, or otherwise reproduced in any form or by any means without

A. List the top 3 ethical issues in "Responsibility vs. Profitability at MGM Grand Resorts Intl."?

B. Number these issues in terms of which should be dealt with first: 1 = should be addressed first, 2 = addressed after 1, 3 = should only be addressed after the first two.?

C. Develop three paragraphs total, discussing the following 3 items for each issue listed above. You can title each paragraph "issue 1...issue 2...issue 3."

1). Why is this issue urgent for the company? What will happen if the company does not act now?

2). Why is this issue important for the company? What will be the effect of this issue if it is not addressed until later??

3). Describe the top 3 ethical issues in "Responsibility vs. Profitability at MGM Grand Resorts Intl'."?How can you understand and describe the dimensions of the problem in relation to some of the concepts of the "levels of ethical discourse" or "a three-dimensional model for business ethics".

IVEY Publishing MGM RESORTS INTERNATIONAL: RESPONSIBILITY VERSUS PROFITABILITY Won-Yong Oh and Jinsuh Tark wrote this case solely to provide material for class discussion. The authors do not intend to illustrate either effective or ineffective handling of a managerial situation. The authors may have disguised certain names and other identifying information to protect confidentiality. This publication may not be transmitted, photocopied, digitized, or otherwise reproduced in any form or by any means without the permission of the copyright holder. Reproduction of this material is not covered under authorization by any reproduction rights organization. To order copies or request permission to reproduce materials, contact Ivey Publishing, Ivey Business School, Western University, London, Ontario, Canada, N6G ON1; (t) 519.661.3208; (e) cases@ivey.ca; www.iveycases.com. Our goal is to publish materials of highest quality; submit any errata to publishcases@ivey.ca. Copyright 2021, Ivey Business School Foundation W24930 Jyoti Chopra, senior vice-president and chief diversity and sustainability officer of MGM Resorts International (MGM), was appointed to her position in November 2019 with a mandate of improving the company's social impact and environmental sustainability.2 MGM had run the responsible gambling program, given its social impact of its business model. Although the program itself had been successful- in 2020, the program surpassed over 1.25 million customer interactions nationwide-it did not necessarily translate into financial profits for the company. To the contrary, MGM's revenue growth in gambling had been slow at the Las Vegas Strip resorts. Thus, MGM needed to attract as many customers as possible to gamble and it needed each customer to spend more to increase MGM's profits. COMPANY BACKGROUND MGM's fiscal year-end came to a close in March 2021. MGM wanted to have a corporate image as a responsible company by promoting its responsible gambling program. At the same time, it had to attract more customers, especially high rollers-gamblers who spent large amounts of money, to deal with the decline in gaming revenue. Did MGM need to choose between profitability and responsibility, or was there a way to achieve both? MGM Resorts International Version: 2021-10-19 Headquartered in Las Vegas, Nevada, MGM was a holding company operating hotel, casino, convention, dining, entertainment, and retail businesses. The company had three business segments: Las Vegas Strip resorts, regional operations, and MGM China. MGM owned most of the hotels and casinos on the Las Vegas Strip: MGM Grand, the Signature at MGM Grand, Bellagio, the Mirage, Vdara at Aria, Aria, Park MGM, New York-New York, Excalibur, Luxor, Delano Las Vegas, NoMad, and Mandalay Bay. The company also had operations in other cities in the United States and China (see Exhibit 1).7 Page 68 of 129 MGM's casino operations had a wide variety of slot machines, table games, and sports wagering. Further, the company provided high rollers with lounge access and high-limit rooms to provide differentiated and upscale experiences. For use only in the course BUAD 301 AY 22-23 CSUF at Califomia State University - Fullerton from 5/31/2022 to 5/31/2023. Use outside these parameters is a copyright violation.

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