An Ethical Dilemma (Scenario)
Max Proffit, director of research and development for NexGen Products Company, has learned that a new material has been developed in his department that will help reduce production costs without any accompanying loss in quality. He has discussed the potential savings with his two assistants, Angel Lee and Moe Gaines, as well as the vice-president of product development, Rush Onward. Angel has stated her opposition to the use of the new material because its durability and fire-resistant properties have not been fully tested nor certified by the company's third-party testing laboratory. Moe argues that the initial tests that their R&D department has run indicated minimal problems with both durability and fire resistance. Rush stated that he has been in several meetings lately where the need to increase earnings-per-share has been repeatedly emphasized by the company president. Rush has told Max that a decision has to be made within the week about the use of the new material in NexGen's products.
-If Max approves the use of the new material because of perceived pressure for the need to help increase earnings-per-share,despite the fact that the material has not yet been certified,he probably ________.

Question

Quizplus · Accepted Answer

By succumbing to the pressure to increase earnings-per-share and overriding the concerns raised by Angel regarding the lack of certification for the new material, Max is demonstrating an external locus of control - the belief that external factors such as pressure from higher-ups or the need to meet financial targets are driving his decision-making. This decision may be unethical if it results in harm to customers or the public due to untested or uncertified materials.