Use the decision$-$making process taught in this chapter to create a socldily that whatever they do$,$ they will displease people they do not wile being true to their ethical vision. choice but to make a decision that will allow them to thrive, while bein

Smooth Ride Tires is experiencing economic hard times. Their current revenue stream is simply not covering their costs. Although the management of Smooth Ride has not made a definite commitment yet, they are leaning toward moving their facilities to Honduras. The reasons are many. The labor force in Honduras, while not as well$-$trained as the American workforce, is almost half as expensive. In addition, the Honduran government has promised that soldiers will be used to stop any effort by the Honduran workforce to organize a union. Finally, the weak environmental protection laws in Honduras will provide a much friendlier production environment for a manufacturing process that is often "dirty." The daughter of a major stockholder is threatening to go to the press to "expose" the motivations of management. How should management respond if it is going to live up to its image as "one of the most ethical firms in the modern marketplace?"

Why is it not ethical necessarily for Smooth Ride to decide where it locates by simply obeying the law?

Social responsibility is a concept derived not from law, but from social expectations.

Obedience to the law doesn't matter in cases of global competition.

The law is guided by politics, not values.

Core values differ among firms.

The law does not cover all aspects of human conduct that have ethical effects.