1) What is the decision that Alvaro Richter faces? Why is it a moral dilemma?
Alvaro Richter found out that the Nitrous Oxide Trap system that Volkswagen uses with their 2.0ltr 4 cylinder TDI engines is actually increasing fuel consumption and limit performance by reducing torque. Also, the exposure of nitrogen oxide gases has serious harmful effects on human such as asthma and tens of thousands of premature deaths every year. However, a lot of people are unaware of these results and Alvaro has faced difficulty in whether to tell senior management at the Volkswagen Group, government regulators, or journalists to let all the people know.
Alvaro has already talked to a VW group marketing executive and he said that they can’t compromise on performance and fuel efficiency and think their sales targets are higher than any other competitors. Also, the team manager of Engine and Transmissions Development unit, Jacob said that their higher NOx emission would not harm anyone and other vehicle manufacturers also cheating on emission. Thus, Alvaro has a moral dilemma of making choices of whether to talk to the senior management of Volkswagen first or the government regulators and journalists.
2) Who are the stakeholders affected by the decision? How do Alvaro’s options affect each stakeholder?
If Alvaro tells government regulators, Volkswagen gets moral dilemma which it impacts company’s reputation and they would lose a lot of money, the VW’s shareholders would leave, and some of the company seniors would need to leave the company. If Alvaro tells senior management of Volkswagen first, the company will convince Alvaro that other companies are also involved with emission cheating as well and they would make it as not a corporation crime. If...
... middle of paper ...
...ould admit and be honest in your emission cheating. And, they need to prove good consequences of emission cheating if they state no any harms.
7) Roseanna Tamburri describes the research of Dr Pamela Murphy. How do people rationalize questionable ethical actions, such as cheating and fraud?
People think that they are an ethical person, but rationalization make people not feel guilty about conducting an unethical behaviours such as cheating and fraud. For example, their explanation of cheating would be other people also have the experience of cheat, not only them, so they do not feel cheating is an unethical behaviour. In order to be judged as ethical, a person must fulfill certain moral rules. They rationalize committing a cheating and fraud results in a good consequence because it is all for their family and for company’s competition and growth (non-guilty plea).
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