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Case Studies

Case 5

THE COCA-COLA COMPANY STRUGGLES WITH ETHICAL CRISES

  • What role does corporate reputation play within organizational performance and social responsibility? Develop a list of factors or characteristics that different stakeholders may use in assessing corporate reputation. Are these factors consistent across stakeholders? Why or why not?
  • Assume you have just become CEO at Coca-Cola. Outline the strategic steps you would take to remedy the concerns emanating from the company’s board of directors, consumers, employees, business partners, governments, and the media. What elements of social responsibility would you draw from in responding to these stakeholder issues?

What do you think of Coca-Cola’s environmental initiatives? Are they just window dressing, or does the company seem to be sincere in its efforts?Did Enron’s bankers, auditors, and attorneys contribute to Enron’s demise? If so how?What role did the chief financial officer play in creating the problems that led to Enron’s financial problem?

Case 7

TYCO INTERNATIONAL: LEADERSHIP CRISIS

What role did Tyco’s corporate culture play in the scandal?How did Dennis Kozlowski have the opportunity to steal $137 million in unauthorized bonuses?

Why is Kozlowski, now a prisoner for a long time, unrepentant about his conduct as CEO of Tyco?

Case 8

MATTEL RESPONDS TO ETHICAL CHALLENGES

  • Do manufacturers of products for children have special obligations to consumers and society? If so, what are these responsibilities?
  • How effective has Mattel been at encouraging ethical and legal conduct by its manufacturers? What changes and additions would you make to the company’s Global Manufacturing Principles?
  • To what extent is Mattel responsible for issues related to its production of toys in China? How might Mattel have avoided these issues?

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