Question: Mr. Abdullah is a Chief Executive Officer of an electronic company which is facing the problem of increasing costs. There are many reasons for the

Mr. Abdullah is a Chief Executive Officer of an electronic company which is facing the problem of increasing costs. There are many reasons for the production cost to increase. First, there is an employee union in the company that negotiated for an increased salary and benefits. The second reason is strict Health and Safety regulations which require a higher cost related to the purchase of safety equipment for employees. The third reason is that there are environmental regulations in the country that require the company to use an expensive chemical for disposing of industrial waste. All these reasons lead to increased production costs for the company and subsequently declining profitability and competitiveness in the industry.

Q1. What is your opinion on whether the company should move the production to the new country or keep it in the same country? Justify your answer.

Q2. If the company decides to move the plant to a new country, how the company can reduce the undesirable unethical outcomes?

Q3. What are the ethical principles that are related to this case study? Analyze.

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