Business Regulation MBA 560

Essay by beatbama94University, Master'sA+, January 2009

download word file, 7 pages 3.0

Business RegulationThe polluting of Lake Dira allegation currently facing Alumina Inc. has the company facing additional opponents other than Kelly Bates. Today's society is extremely environmentally conscience, in addition to being attentive to the moral and ethical methods of operation of corporations due to recent misconduct of companies such as Enron, Exxon, and Arthur Andersen. "In the 1980s few corporations hired people as ethics officers. Today over 20 percent of big companies have ethics officers whose job is to develop ethics policies, listen to complaints of ethics violations, and investigate ethics abuses" (Reed, Shedd, Morehead & Corley. 2005. pg. 28). In addition to Kelly Bates, Alumina Inc. faces the public opinion of the Erehwon community, the investigating over watch of The Erehwon Reporter (local media) and the interests of local and national governmental organizations are bound to be raised as to how Alumina Inc. resolves the matter.

The basis of the allegations will be explored as well as the corporate regulations involved and the legal issues that accompany the matter.

Alumina Inc.'s ethical foundation will be discussed and the impact of those ethical beliefs on Alumina Inc.'s daily business operation and the Alumina Inc. stakeholders.

Ethical IdentificationKey FactsAlumina Inc. is a global producer of aluminum with annual revenue in excess of $4 billion. Alumina Inc. operates in 8 different countries but 70% of the company's sales are US based. Alumina Inc. has business ties in the areas of automotive components and manufacturing of packaging materials, bauxite mining, alumina refining and aluminum smelting. Alumina Inc. is located in the state of Erehwon, along the banks of Lake Dira.

Five years ago Alumina Inc. experienced the organization's first Environmental Protection Agency (EPA) compliance violation that centered around polycyclic aromatic hydrocarbons (PAH) concentration levels that exceed the prescribed limits and an...