Wendy, the CEO of an oil drilling company, and her top management team recently discovered that their facilities are damaging a beach in Asia and the local wildlife. They understand that they need to decide if temporarily closing or not closing the facility is unethical. To help them make their decision, they consider the following four questions: "Is not temporarily closing the facility legal? If yes, does this proposed action maximize shareholder value? If yes, is not temporarily closing the facility ethical? If no, would it be ethical to take the proposed action?" Wendy and her top managers are using ________ to help them make their decision.

Question

Quizplus · Accepted Answer

Wendy and her team are using Bagley's ethical decision tree to help them make their decision by evaluating the legality and ethicality of their proposed action. Maslow's hierarchy of needs and Frank Gilbreth's code of ethical conduct are not relevant to this situation, and the Sarbanes-Oxley Act of 2002 is specific to financial reporting requirements for publicly traded companies and is not directly applicable to this scenario. The stakeholder's value statement could be relevant, but it is not mentioned in the given information.

Wendy, the CEO of an Oil Drilling Company, and Her