Scenario # 1 : Chicken International Group You are the CEO of a chicken-processi

Question

Scenario # 1 : Chicken International Group

You are the CEO of a chicken-processing company. The Vice President of marketing informs you that if you label your chicken as “free range” you can charge 20% more and greatly improve profit margins.
  
You find out that all that needs to be done to legally use the term “free range” is to open the door to the hen house for 5 minutes a day. This provides the chickens with access to the outdoors when, in fact, very few chickens will wander out when the door is open for 5 minutes. Moreover, the term “free range” may be used regardless of space per chicken, number of chickens, or amount of time spent outside.

1 What is the ethical  dilemma or issue?

2 What are the  alternatives or possible courses of action? Identify at least 3 alternatives.

3 What are your  recommendations? In other words, of the several alternatives you identified, what do you think the company should do?

4 What is your  rationale for your recommendations? In other words, why do you recommend this course of action?

Explanation / Answer

1. The basic ethical dilemma in this case is between Morals and Laws. The law says that a chicken can be termed as free range under a particular situation but morally the basic requirements of considering a chicken as free range does not get fulfil. For example getting a duplicate mark sheet printed will legally give you a degree but morally the mark sheet is printed in a wrong manner.

2. We can term the chicken as free range as per the law with putting a certain disclosure about procedures.

3. I would recommend to go for the Free Range logic but with all due disclosures.

4. My first and strong recommendation will be to go for the free range tag as it will be revenue accretive but all the disclosures with procedural details must be given to the customer.

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