Mr. Mason is the food and beverage manager of the 550-room Four Seasons Hotel in the...
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Mr. Mason is the food and beverage manager of the 550-room Four Seasons Hotel in the Rocky Mountains of Banff, Alberta. As part of his job, every three months, he prepares a "forecasted income statement" for the hotel's food and beverage department. This past September, when preparing the statement, he was costing out the menu for the winter season and realized that the price of meat products had gone up by 8% to 12%. He questioned the supplier, Sodexo Foods. Sodexo's reason for the price hike was the heavy snow en route to the Rockies from Calgary. He clarified further by explaining that the delivery trucks that brought the products from Calgary were also charging higher prices. Mr. Mason brought his findings to Mr. Maxwell, the owner of the Four Seasons Hotel. Mr. Maxwell looked Mr. Mason straight in the eye and said, "Fix it, that's your job. The bottom line pays your good salary and bonus". In a measured a tone as he could muster, Mr. Mason replied, "I will have to print new menus with a price increase." Mr. Maxwell stared at him in disbelief, put his arm around Mr. Mason's shoulder and sad, "Printing new leather-bound menus is expensive, and many of our regular customers will be offended with a price increase. You are a food man - just reduce the potion size but leave on the old price. Give them a great plate presentation!" Mr. Mason immediately realized that Mr. Maxwell wanted him to shortchange customers by camouflaging the main entrée with starches and vegetables so they would never know it was a 10 oz. steak instead of the 12. oz steak specified on the menu. He would have to do the same thing with all the meat, chicken, and fish products. Questions: 1. What action would you take? What are the consequences of these actions? 2. What action would a rule utilitarian take? 3. What action would an act utilitarian take? Mr. Mason is the food and beverage manager of the 550-room Four Seasons Hotel in the Rocky Mountains of Banff, Alberta. As part of his job, every three months, he prepares a "forecasted income statement" for the hotel's food and beverage department. This past September, when preparing the statement, he was costing out the menu for the winter season and realized that the price of meat products had gone up by 8% to 12%. He questioned the supplier, Sodexo Foods. Sodexo's reason for the price hike was the heavy snow en route to the Rockies from Calgary. He clarified further by explaining that the delivery trucks that brought the products from Calgary were also charging higher prices. Mr. Mason brought his findings to Mr. Maxwell, the owner of the Four Seasons Hotel. Mr. Maxwell looked Mr. Mason straight in the eye and said, "Fix it, that's your job. The bottom line pays your good salary and bonus". In a measured a tone as he could muster, Mr. Mason replied, "I will have to print new menus with a price increase." Mr. Maxwell stared at him in disbelief, put his arm around Mr. Mason's shoulder and sad, "Printing new leather-bound menus is expensive, and many of our regular customers will be offended with a price increase. You are a food man - just reduce the potion size but leave on the old price. Give them a great plate presentation!" Mr. Mason immediately realized that Mr. Maxwell wanted him to shortchange customers by camouflaging the main entrée with starches and vegetables so they would never know it was a 10 oz. steak instead of the 12. oz steak specified on the menu. He would have to do the same thing with all the meat, chicken, and fish products. Questions: 1. What action would you take? What are the consequences of these actions? 2. What action would a rule utilitarian take? 3. What action would an act utilitarian take?
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1 What action would you take What are the consequences of these actions I would consider the ethical implications of Mr Maxwells suggestion If I find ... View the full answer
Related Book For
Management Accounting
ISBN: 978-0132570848
6th Canadian edition
Authors: Charles T. Horngren, Gary L. Sundem, William O. Stratton, Phillip Beaulieu
Posted Date:
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