Question

In: Operations Management

Hurwitz says that he doesn't book bands as favors. presumably at least some of the favors...

Hurwitz says that he doesn't book bands as favors. presumably at least some of the favors he's talking about would be to friends. do people who run their own company have an ethical responsibility to separate friends from business

Solutions

Expert Solution

Yes, people who run their own company have an ethical responsibility to separate friends from business.

This is because of the concept of business ethics. While running a business there has to be a clearly defined as well as a properly justified set of priorities that will help the business to achieve its objective in the long run. Each and every business seeks to create value and is run with a commercial purpose and objective. Here the set of priorities has been well defined by Hurwitz and he is clear that his business will not do shows that will lose money for the club.

As such Hurwitz has a principle under which he will not book bands as favors. The criteria for booking bands is a straightforward one – the band that is being considered should be a band that people want to see and should be a band that will not charge too much amount to perform at the club.

Both these criteria enable Hurwitz’s business to optimize its profitability and this is the business’ main objective. Losing money is against the business principles of Hurwitz and by booking bands as favor the club will face the risk of making losses from the performances of those bands that have been booked as favors.

As such this is against the ethical responsibility of Hurwitz who as the owner of his club has to ensure that the business is making profits and is booking bands that are in demand and that will make money for the club.


Related Solutions

1- In Miller’s 1963 study, he noted that the deductibility of interest favors the use if...
1- In Miller’s 1963 study, he noted that the deductibility of interest favors the use if debt financing, but the more favorable tax treatment of income from stocks lowers the required rates of return on stocks and thus favors the use of equity financing. Most observers believe that interest deductibility has the stronger effect, hence that our tax system favors the corporate use of debt. True or false? 2- In a perfect world, a firm would identify its optimal capital...
Your friend says that Company A is doing a great job for shareholders. He says that...
Your friend says that Company A is doing a great job for shareholders. He says that their ROA is high. You point out that shareholders tend to like debt and the Company A has low debt. Furthermore, ROA is biased towards companies with low debt. You suggest that ____________ is a better measure of the job management is doing for shareholders.  
1. What does Tilly mean when he says that some economists criticize progressives for killing the...
1. What does Tilly mean when he says that some economists criticize progressives for killing the goose that lays the Golden egg ? Why do advocates of unfettered capitalism defend inequality ? Are they right? Would Raising taxes on rich people slow economic growth ? 2. Who are “essential workers” during the current pandemic? Since they are “essential,” are they paid high wages? Should they be?
My teacher says this doesn't sound right and it needs to sound more scholarly. Can you...
My teacher says this doesn't sound right and it needs to sound more scholarly. Can you please help me reword it? Wages are determined in a labor market. the labor supply curve clarifies workers in a variety of occupations and hourly rates. When a person supplies labor, they become the seller, when a person buys labor, they become the buyer. That’s when wages negotiation insures. Based on how much a seller wants per hour. The buyer can easily hire other...
what are some of the methods used for the location of adsorption bands when colorless compounds...
what are some of the methods used for the location of adsorption bands when colorless compounds are subjected to chromatographic adsorption
after doing ddb and finding that the book value of year five doesn't equal zero, how...
after doing ddb and finding that the book value of year five doesn't equal zero, how to switch to SL method? show all work
What are some examples as to why the New Deal doesn't represent socialism?
What are some examples as to why the New Deal doesn't represent socialism?
A 45 y/o Anglo male comes into the ER. He says he is a retired Special...
A 45 y/o Anglo male comes into the ER. He says he is a retired Special Forces veteran (since 2006) who has been teaching Chemistry at a high school since 2009. He complains of fever, malaise, anorexia for three weeks. He states he has had that rash for several days. He denies having diabetes, kidney problems, stiff neck or headaches. He had a flu shot about three weeks ago. 1.What is your differential diagnosis? 4 pts. You weigh patient and...
A 43 y/o Anglo male comes into the Emergency Department. He says he is a retired...
A 43 y/o Anglo male comes into the Emergency Department. He says he is a retired Special Forces veteran (since 2007) who has been teaching Chemistry 2009. He complains of malaise, fever, anorexia for three weeks. He states he has had that rash for several days. He denies having diabetes, kidney problems, stiff neck or headaches. He had a flu shot about three weeks ago. You weigh patient and find his weight to be 190 lb (86.3 kg). Patient responds...
The book says: If risk-free rate rises, time value of option declines. Why?
The book says: If risk-free rate rises, time value of option declines. Why?
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT