Question

Fuego Phones International is a corporation that recently kicked off the sale of its new smartphone, the Rapid Fire 6. After three months of sales, the management team has received some troubling reports that the Rapid Fire 6 phones are unexpectedly catching on fire. The management team asks the accounting department to run some numbers to determine how much it would cost to recall the Rapid Fire 6 phones, to suspend manufacturing, and to conduct more tests to determine the phones safety.

After running some numbers, the accounting department states that it would be more cost-effective to leave the phones on the market shelves and propose settlement proceedings for anyone who was injured and initiates a lawsuit. In-house legal counsel agrees and states most consumers will not seek legal action against Fuego Phones Intl.

You are the CEO of Fuego Phones Intl. and must decide what to do. Remember, if you recall the Rapid Fire 6 phones, it will result in a delay of dividends paid to shareholders, loss of market share, and a loss in revenue, affecting shareholder profit. Consider the following questions regarding this example:

Analyze the ethical reasoning theory are you operating Fuego Phones International under.

Identify the pros and cons of leaving the Rapid Fire 6 phone on the shelves because you feel your duty as a corporate manager is to maximize shareholder profits.

Determine an approach to recalling the Rapid Fire 6 phone because you feel the corporation owes a duty to the public, consumers, and the government in terms of social responsibility.

Identify a company that is acting in a socially responsible manner and discuss specifically what it is doing.

Be sure to post an initial, substantive response (at least 250 words, including the restated questions)

Answer 1

Solution:-

Fuego Phones International is a corporation that recently kicked off the sale of its new smartphone, the Rapid Fire 6. After three months of sales, the management team has received some troubling reports that the Rapid Fire 6 phones are unexpectedly catching on fire.

The supervisory group requests that the bookkeeping office run a few numbers to decide the amount it would cost to review the Rapid Fire 6 telephones, to suspend fabricating, and to lead more tests to decide the telephones' security.

Subsequent to running a few numbers, the bookkeeping division expresses that it would be more practical to leave the telephones available retires and propose settlement procedures for any individual who was harmed and starts a claim. In-house legitimate advice concurs and states most shoppers won't look for lawful activity against Fuego Phones Intl.

You are the CEO of Fuego Phones Intl. also, must choose what to do. Keep in mind, on the off chance that you review the Rapid Fire 6 telephones, it will result in a deferral of profits paid to investors, loss of piece of the overall industry, and a misfortune in income, influencing investor benefit. Consider the accompanying inquiries with respect to this model:

• Break down the moral thinking hypothesis are you working Fuego Phones International under.
• Recognize the upsides and downsides of leaving the Rapid Fire 6 telephone on the racks since you feel your obligation as a corporate director is to boost investor benefits.
• Determine an approach to recalling the Rapid Fire 6 phone because you feel the corporation owes a duty to the public, consumers, and the government in terms of social responsibility.
• Identify a company that is acting in a socially responsible manner and discuss specifically what it is doing.
• In this approach, since rapid fire 6 is catching fire suddenly, It is vulnerable to consumers. It can not only damage the consumers but also consumers will spend lot of money on medicine also.
• Thus, Mobile telephones ought to be reviewed quickly and research ought to be done to relaunch the portable perfactly.

Corporate social responsibility (CSR) has gained more interest in the past decade, however it is not a new idea; it dates back to the 1930s, said Eric Orts of the University of Pennsylvania.  Just before World War II, German industrialist Walter Rathenau guaranteed that business organizations had turned out to be vast and that they had become a noteworthy piece of the general public. As indicated by Rathenau, despite the fact that generally a partnership's plan is the quest for private interests and benefits for proprietors of the organization, they are progressively bearing the characteristics of an endeavor and, to an expanding degree, have been serving people in general intrigue (Kessler, 1930). Further, savants John Dewey and James H. Tufts, in their book Ethics (1908), raised the idea that it isn't adequate to see organizations as absolutely monetary machines and that organizations ought to be engaged with open obligation also.

CSR is not a static concept—it is a moving, evolving target, said Norine Kennedy of the U.S. Council on International Business. According to Kennedy, there is no solid definition of CSR; however, it is not a replacement for the governmental role and responsibility in meeting challenges of sustainable development.