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same as good financial or marketing choices. Yes, the manufacturers should have madethe decision to do the tamper-proof packaging on their own. However, they followed theprisoners’ dilemma notion: you are always better off doing nothing. The quick appearanceof the new design and product indicates that the new design was already in the works butthere was a fear of making the change voluntarily despite being aware of the risk, howeversmall that risk might be.Research does show that when a company is doing well is precisely when it will slipbecause it is difficult to step down from the pedestal once you have been up there for solong and Tylenol had a decades-long run as the industry model.The company simply lost site of the importance of that brand and how it had been able touse that for decades. Now competitors have moved in to take advantage of the situationbecause parents are nervous and concerned. The decision to handle the quality controlissues as they did was short-sighted. The analysis they did was made under pressure anddid not walk through all of the potential consequences. As of this date, one officer hasresigned and the criminal investigation continues. Remind the students that we are notasking them to worry about ethics so that they can feel warm and soft and cuddly. We areasking them to worry about ethics because there are serious business consequences whenethics is not part of the decision process.
Cardinal Health, CVS and Oxycodone SalesBecause the companies are responsible for the actions of their agents, subsidiaries andemployees.These are all rationalizations that help employees avoid the concerns they may feel asthey witness the distribution of the drugs. They also see some self-preservation – theirbonuses are tied to how much they sell.They should have emphasized the need to speak up and call and let someone know. Inaddition, they should have looked at their compensation systems and determine whetherthose incentives were clouding judgment and interfering with proper conduct.Frozen Coke and Burger KingWells Fargo and Selling Accounts