As the repairs manager at a franchised but independently owned auto repair shop, you have been given a monthly volume quota by the owner of the shop. For each 30-day period that you meet the quota,...

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As the repairs manager at a franchised but independently owned auto repair shop, you have been given a monthly volume quota by the owner of the shop. For each 30-day period that you meet the quota, you are rewarded with a bonus that amounts to 20Earcent of your fortnightly salary 6100. This is an important opportunity for you no‘WiirroTT have two daughters andtmortgage. In addition, you lend to view the quota as a test of your skill, giving you a chance to exceed your base salary on a regular basis. It you fail to meetthe quotargisibreer,EasggibtemontbLhowever, the owner has made it clear he would consider hiringy.new. manager arid either letting you go or 'demoting you to a lesser position with a smaller siiary and no bonuses.


Answered Same DayDec 21, 2021

Answer To: As the repairs manager at a franchised but independently owned auto repair shop, you have been given...

Robert answered on Dec 21 2021
117 Votes
Ethics
Business Ethics case study
Ethics
Introduction and background
The given case study depicts that it is crucial that as an employee, there be prioritization
of the interests of the cu
stomers since they are an important stakeholder. In the given case, where
the boss is asking an employee to use scare tactics to make the employees buy extra services and
precaution for their cars and is also masking it as preventive measures, it is crucial to tell the
employer that this may be bad for the company in the long run. The job may be at stake for the
employee, but he should still raise his voice and inform the franchisors and top management
about the false and undue quota implications also.
Ethical theories and STAR applicable to the case
Would it be easier to find another job?
Is it possible to achieve the quotas without scaring customers?
Is it right to scare customers and make profits? Is this in the best interest of the masses?
The solution to the given case cannot be achieved only by telling and it is recommended
that the complete STAR process has to be adopted as follows:
Seeing: Seeing the practices has helped the employee interpret and understand that the
franchisor has not implemented a quota policy or a policy of using scare tactics to sell preventive
safety measure services to customers.
Is it feasible to bring in quota system in an ethical manner?
Ethics
 The consideration in this case is to explain to the employer and at the same time
looking for another job as the risk of losing this job is high. It is not feasible to achieve the
targets and quotas without scaring customers.
 This is an unethical policy (Caroll, 1999). As per what I see and understand in the
case is that the customers are being scared.
 Utilitarianism
 As we apply the utilitarianism theory of ethics, is it essential to consider the fact
that the masses, which in this case is the customers...
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