Closing the Clayton processing center and redistributing its work to other processing centers in the reglon would have both financial advantages and disadvantages for the company. The Financial Advantages would firstly be cost savings, closing the plant will result in lower operating costs, such as rent, utilities, and maintenance. By consolidating to work with other processing centers, it can reduce expenses. There would also be improved efficiency, which can optimize workflow in the company, as well as reduce costs for transportation, and shorten wait times, it can reduce complexity and can lead to better decision making and allocation of financial resources. The disadvantages would be a loss of market share, in which customers may choose a different company thereby losing the company revenue, as well as possibly increasing transportation costs, loss of employees which can lead to a reduced reputation of the company and create a shortage of workers in other processing centers, and finally impact on supplier relations, because any supplier who relies on the Clayton plant would be cut off, preventing the ability to efficiently source materials.

If the Clayton facility is shut down, the profits of BSC will decline, employees will be out of work, and customers will suffer at least temporarily from the loss of the facility. Romeros is willing to sacrifice the interests of the company, its employers, and customers to make herself look like a better employee in the eyes of the company. Furthermore, Romeros will be in violation of the Credibility Standard by shutting down the facility, Therefore, if the board was notified of Romeros decision, they would like disapprove of it$..$ It is not fair to hold Romeros accountable however for the mistakes the previous employee made.

Prices should be set Ignoring the depreciation of Clayton. The cost of using the facility is zero and any attempt to recover the sunk cost will only result in a loss of profits and less business as a whole.