- Identify the ethical issues involved in the case from a consequentialist and deontological perspective.
- Identify the management issues in the case. For example, think about the case in terms of multiple ethical
selves, norms, reward systems, diffusion of responsibility, obedience to authority. What factors contributed the
most to the alleged unethical conduct on the part of the service advisors and mechanics? - How would you evaluate Sears' response to the allegations and the changes the company made? Has
Sears resolved the problem? Why or why not? - What do you think is the impact of the scandal on Sears' reputation for the quality and service?
- Respond to Brennan's comment, "We have to have some way to measure performance." What can
management do to prevent employees from overselling? Propose a management plan (including a
compensation system) that allows management to measure performance and encourages auto center
employees to behave ethically. Be specific. - Should anyone be disciplined? If so, who, and when? What should the discipline be?
- Think more generally about Sears management's response to the firm's financial problems. How else could
they have increased auto center sales without providing incentives to employees to sell specific products?
Sample Solution