Assume you are a manager of a large heavy equipment manufacturing company.  Your company currently outsources the manufacturing of a specialized piece of equipment to a firm in another country. The outsourcing of this piece of equipment has saved your organization a considerable amount of money and has increased profits by 15%.   A recent newspaper article has revealed that this firm is paying their employees only a few dollars a day and their employees often work long hours.  While you are not the only company that uses this firm your company was specifically named in the newspaper article.  You have been asked by your CEO to make a decision on whether or not to continue to do business with this firm.

QUESTIONS :

 1. Discuss the ethics of continuing to do business with this firm.  In this discussion evaluate the economic, legal and ethical issues. Describe how a written code of ethics might impact your decision.

2. Describe any other factors you would consider in making a decision to continue or discontinue doing business with this organization.

3. State the process you would follow to make your decision, provide your decision, and explain the decision making style you have used.

4. Prepare A SWOT analysis of your decision using the following table:

Strengths

Weaknesses

Opportunities

Threats