As you read, consider the position of your coworker in relation to the ethical and legal forces at work, and then answer the questions. You work for Holstead Communications, a midsized digital phone, cable, and Internet service provider in rural New Mexico. Your company has always provided customers with two billing options: paperless or traditional. As a cost-saving measure, the company has decided to discontinue its traditional billing option. All customers who choose the traditional billing option will be charged a yearly billing fee of $25. This fee will offset printing and mailing costs of $1.5 million annually. The CFO and legal team have determined that Holstead is legally obligated to announce the fee increase to its customers. Nevertheless, to avoid customer loss, negative press, and a potential decrease in revenue, Holstead’s CEO has decided not to "publicly" announce the new fee. You are uncomfortable with the company’s decision. You mention your concerns to your coworker at lunch. She seems fine with the situation. She informs you that her friend in legal told her that the chief legal counsel thinks the company won’t get caught. After all, your friend notes, isn’t it better to provide a service with a hidden expense than to discontinue it altogether? Consider your coworker in this situation.
1.Which of the causes of unethical behavior and decision making are at work in this situation?
a. Obsession with personal advancement
b. Expectations of not getting caught
c. Unethical tone set by top management
d. Excessive emphasis on profits
