Case: Purchasing Ethics

Scenario 1

1. Bryan should not accept the clock because it may affect his views of the supplier and persuade him into doing business with them for the wrong reasons. If he accepts the gift he is getting himself and his company involved in Mr. McEnroe’s unethical behavior which will negatively impact his company. The gift could persuade him into using that supplier even though it might not be the best for the company. This could hurt Bryan’s organization, as well as make him look bad.

2. According to the Institute of Supply Management, accepting gifts as a reward for a decision in favor of the supplier is unethical and could have a negative influence on the company. It is also the most common form of unethical behavior. Sometimes it is hard to distinguish if someone is being unethical and using a gift as a bribe, or if it is just a small way of saying thanks.

3. The supplier sent the clock to his home and addressed it to his wife to avoid the negative consequences of bribery. It looks more harmless if it addressed to someone who doesn’t work at Bryan’s company. Sending the clock to his home address also makes it seem more like a small gesture of gratitude instead of an incentive to do business.

4. Sending the clock to Bryan was an unethical act. If the gift had been sent to Bryan’s company as a favor for doing business with them, it might not be considered unethical. But the fact that Mr. McEnroe personally sent the clock to win their business makes it seem like a bribe. I don’t think sending a clock on one occasion makes Mr. McEnroe and unethical person. However, if Bryan were to accept the clock and Mr. McEnroe continued to send more gifts, I might consider him a unethical person.

Scenario 2

1. Troy Smyrna of Sealgood Instruments is practicing unethical behavior because he is trying to get Lisa to engage in reciprocity. This means the only way Troy Smyrna will partner with Assurance Technologies, is if they only buy from Sealgood...