Question

Hello! I am researching ethical case studies specifically pertaining to the topic of blind trust in busines and I am looking for an interesting case study that pertains to this topic of "blind trust". Please, if you know a case study I can further research about this topic provide a quick description and summary of the case study and the ethical issue this case study tackles.Just looking for one more for my research and would appreciate the recommendations ! Thanks (:

Answer 1

Wells Fargo was defeating the odds in a bad economy. During the financial slump in 2008, it acquired Wachovia to become the 3^rd -biggest bank by assets in the U.S. A few years hence, its escalating revenue & stock brought the organization’s worth to approximately $300 billion. But behind this success was an organizational culture which drove personnel to open fraudulent bank accounts to attain lofty sales targets. Between 2011 & 2015, company personnel opened greater than 1.5 million accounts & applied for 565,000 credit cards in consumers’ names which may not have been sanctioned.

Several former employees reported that company sales objectives were impossible to fulfill, & incentives for pay & continuing employment urged gaming the practise . Wells Fargo pressured personnel to cross-sell, offering consumers one type of product, like checking / savings accounts, to also purchase other types of products. One former member of staff reported, ‘If you do not meet your solutions you are not a team player. If you are bringing down the team then you’ll be terminated .’

In mid-2014, Well Fargo tried to curb fraudulent acts with an ethics workshop which forewarned employees not to create fake bank accounts in consumers’ names. Wells Fargo also modified its pay structure to place less stress on sales goals. But these endeavours weren’t enough.