型号的英文-耳听为虚
Case Analysis of Jextra Neighborhood Stores
in Malaysia
1
Case analysis
of Jextra Neighborhood Stores in Malaysia
Ethical issues and how the ethical
issues are inter-related
There are
several ethical issues that the actors are facing
in the case.
As
a
country
manager
of
Jextra
in
Malaysia,
Chong
had
been
seeking
to
expand
to
Klang-
a town near Malaysia’s
capital
city of Kuala Lumpur for some
time. While one of the
ethical issues
him facing was about additional provisions linked
with land zoning in Klang.
After having
a conversation with the mayor of Klang, Chong was
surprised by t
he mayor’
s
quid pro quo to help finance a new
primary school and help pay for the flyover.
The second ethical issue Chong facing
was how to make balance or whether should he
strictly
obey
Jextra
’
s
Business
Conduct
Code
or
just
do
as
the
Romans
do-to
accepts
the
mayor
’
s offer.
Jextra
’
s
Business
Conduct
Code
has
clearly stipulated that employees could
not offer benefits to third parties in
connection with business matters. While the
problem was
Chong
’
s boss had
approved an aggressive five-year investment
strategy and expected him to
aggressively
grow the
business. Besides,
Chong should
consider his
own career
promotion
and discretionary
bonus: the number of new stores opened was an
important element in his
overall
evaluation, and a factor in determining his career
prospects. Considering a failure to
open
new
stores
would
be
viewed
negatively
at
corporate
headquarters,
there
would
be
a
tradeoff,
and
Chong
need
to
weigh
the
advantages
and
disadvantages
of
the
decisions
he
would made carefully.
Another ethical issue was that Chong
began to doubt Jextra
’
s top-
performing fresh fruit
and
vegetables
buyer
Arif
Alam
’s
job
performance.
Though
Alam
consistently
negotiated
Case Analysis of Jextra Neighborhood
Stores in Malaysia
2
better
contracts than other buyers, considering the
current situation that the retail industry in
Malaysia
was
notorious
for
buyers
accepting
money
and
gifts
from
suppliers,
and
“
Chong
had
heard
rumors
about
a
scheme
between
Alam
and
his
father-in-law,
who
ran
a
trading
agency that
established contact to Jextra
Stores,
”
besides, Chong
overheard two employees
’
communication
occasionally,
so
he
suspected
that
Alam
could
be
accepting
gifts
or
taking
bribes.
There
was
also
an
ethical
issue
Chong
facing
was
that
how
to
confirm
his
doubt
of
Alam
’s
dirty
buying made him in the dilemma. He worried once he
set up an investigation, he
will
disrupt
the
relationships
between
his
employees
and
suppliers,
and
even
the
whole
business will suffer.
These
four ethical issues mentioned above were inter-
related: the first issue additional
provisions linked with land zoning
caused the second issue that Chong had to make
balance
between obeying
Jextra
’
s Business Conduct
Code and accepting the
mayor
’
s offer. Similarly,
the third issue that Chong suspected
category manager
’
s behavior
caused the fourth issue that
he had to
worry about the effects resulted in by the actions
he could take. Also, these issues
were
all
intractable
and
pressing
for
Chong
to
solve
or
he
would
lose
the
opportunity
to
expand the business and generate inner
corruption which would do harm to company in the
long run.
Stakeholders and their interests,
values, and preferences
There
were
four
main
stakeholders
involved
in
the
case:
1.
Jextra
Company;
2.
Tom
Chong; 3. Klang Mayor; 4. Arif Alam.
Case Analysis of Jextra
Neighborhood Stores in Malaysia
3
Next,
le
t’
s
analyze
the
interests,
values,
and
preferences
of
the
involved
stakeholders
respectively.
As
an
enterprise
aimed
at
making
maximum
profit,
the
interests
for
Jextra
Company
were seeking to deliver the best
results for the Company, the highest return to
shareholders,
the most beneficial
service to customers, to expand their business and
have higher Return on
Investment. Their
values were as their business
conduct
code mentioned,
“
To maintain
our
valuable reputation and to build on
our success, we must conduct our business in a
manner
that is ethical as well as
legal,
”
and
“
Jextra is committed to
conducting business lawfully and
ethically. Every associate is obligated
to act at all times with honesty and
integrity.
”
For their
preferences, that should be maximizing
business profits based on lawful and ethical
conducts.
Tom
Chong
’
s
interests
were
adding
economic
values,
increasing
the
number
of
new
stores
opened,
getting
promotion
and
earning
discretionary
bonus.
Chong
’
s
value
was
creating profits for Jextra and himself
legally, and his preference was accepting the
mayor
’
s
offer and
dealing with Alam later.
Klang
Mayor
’
s
interest
was
obtaining
profits
for
his
family
members
through
the
primary school project,
his value was attracting investments to Klang, and
his preference was
using external
finance to develop the community.
Alam
’
s interest
was getting extra benefits through his CM role;
his value was exploiting
opportunities
from
the
system
for
personal
gain,
and
his
preference
was
controlling
the
supplying
channel
through
choosing
suppliers
and
products
covered
by
the
trading
agency
run by his father-in-
law.
Case Analysis of Jextra
Neighborhood Stores in Malaysia
4
In
order
to
show
the
relationships
clearly,
generally
we
can
conclude
the
interests,
values and preferences of the different
stakeholder in table format:
Stakeholders
Interests
Values
Conduct business
lawfully
and ethically
Creating profits for Jextra
and himself legally
Attracting investments to
Klang
Preferences
Maximizing profits based on
lawful and ethical conducts
Accepting the
mayor
’
s offer
and
dealing with Alam later
Using external
finance to
develop the community
Jextra Company
Be good for
company
’
s
development
Tom Chong
Adding economic values to
Jextra and himself
Klang
Mayor
Obtaining profits through
primary school project
Arif
Alam
Getting extra benefits
through his CM role
Exploiting opportunities for
Controlling the suppliers and
personal gain
products channel
Ethical
principles that Tom Chong could use
Utilitarian Rule:
“
The utilitarian ethical
theory is founded on the ability to predict the
consequences of an
action. To
a
utilitarian,
the
choice
that
yields
the
greatest
benefit
to
the
most
people
is
the
choice that is ethically
correct
”
(
“Ridley, Aaron”
1998). The
benefit of utilitarian theory is
obvious,
the
utilitarian
will
choose
the
way
benefits
most
people
through
weighing
the
predicted
solutions.
Utilitarianism
includes
two
types,
act
utilitarianism
and
rule
型号的英文-耳听为虚
型号的英文-耳听为虚
型号的英文-耳听为虚
型号的英文-耳听为虚
型号的英文-耳听为虚
型号的英文-耳听为虚
型号的英文-耳听为虚
型号的英文-耳听为虚
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