Question #3: Chiquita Banana Case
Corporations are dependent on their suppliers, employees, and customers to provide materials, labor, as well as sales; this dependent relationship of the company on its stakeholders implies a moral obligation by the company to protect the welfare of these stakeholders, especially if the company is to be successful in the long-term. Furthermore, a company like Chiquita not only has the financial flexibility but also the social and political power to help resolve social issues. Therefore, according to stakeholder theory, utilitarianism, and duty based ethics, Chiquita’s decision on how to approach the dilemma in Colombia should not be solely motivated by profit maximization alone, but should consider the impact…