In capitalistic or market economies, top-level managers of privately owned companies are responsible and accountable for operating the enterprise profitably and acting in shareholders’ best interests; management’s fiduciary duty to operate the enterprise in a manner that creates value for shareholders is not a matter for serious debate. In addition, a company and its personnel are duty-bound to obey the law and comply with governmental regulations. It is also important to note that those leaders who follow this philosophy generally do create companies that are more capable of good strategy execution. This discussion will allow you to think more critically about the importance of sound ethical business practices and how these translate to good strategy execution.
Does a company have a duty to go beyond legal requirements and hold all company personnel responsible for conforming to high ethical standards? Explain why or why not.
Does a company have an obligation to be a good corporate citizen? Defend your position.
How might your responses to the first two questions translate to good strategy execution? Be specific and provide examples.
