Case Scenario
Polar Health has been experiencing a boom in its line of
health supplement products. Over the last few months, sales of Polar Health’s
main line of supplement products, “Bear Strength,” have skyrocketed.
As the manufacturing manager for this line of supplements, Bill Brice has been
working overtime to increase the manufacturing and packaging capacity of his
department. In order to expand production facilities, Bill was able to persuade
Polar Health to invest an additional $5,000,000 to hire new employees and
enhance manufacturing facilities resulting in a 100% increase in production
capacity for Bear Strength products.
Things were going smoothly as planned until Bill stumbled on
some disturbing information. While talking with a college admissions advisor
about his son’s acceptance to medical school, the advisor tells Bill that a
number of college students across the country have been mixing Bear Strength
supplements with illegal drugs. Bill realizes that this combination would
enhance the illegal drugs’ effects and would boost the body’s tolerance to
adverse reactions to recreational drug use. Worried about this unexpected news,
Bill contacts his colleague, Michelle Wong, to check on whether these rumors
are true and verify how widespread this practice is. Michelle uses her
marketing expertise to research the trend and the information is confirmed. It
appears that the primary reason for the accelerating demand for Bear Strength
is due to the new found drug-enhancing effects of these supplements mainly
among teenagers and college-aged students. The newspapers, however, have not
yet reported this news.
Michelle has met with Bill and showed him the research
results. Bill is very concerned about the abuse of the Bear Strength line of
supplements. While no deaths have been reported when Bear Strength has been
used in recreational drug use, he is very troubled that such a possibility exists
and is not sure what to do.
Bill is worried that if he places a warning against abuse on
the supplement bottles that may either: (a) discourage purchases by legitimate
consumers, (b) encourage young men and women to abuse it further, or (c)
generate negative publicity since the media is sure to exploit this issue. On
the other hand, if Polar Health fails to warn its customers of the potential
dangers of combining the Bear Strength supplements with other drugs they may
face a failure to warn product liability lawsuit that may bankrupt the company.
He is also concerned about his job security since it was he
who convinced Polar Health to spend the $5,000,000 in new equipment and
employees to double the production capacity of Bear Strength. If Bill’s
decision negatively affects sales and results in a drastic decrease in demand
for Bear Strength, Bill suspects that he may lose his job.
Critical Analysis
Apply what you have learned from your course readings and
assignments to your detailed analysis of at least 200-250 words for each of the
following 4 questions. Support your position by identifying the unit concepts,
business ethics concepts, related laws, and regulations that support your
position, citing references from unit readings using APA 6th edition format. In
addition, describe your reasoning as to how you would react in a similar
situation. Clearly label and answer each question individually.
1. What should Bill do with this information about the
inappropriate usage of Bear Strength supplements by college students?
2. What role does ethics play in this case?
3. What role, if any, does social responsibility play in
this scenario?
4. What product liability requirements might be of
particular importance in this situation?
