Joanna Newsom Owns And Operates Joanna's Burgers

200 Wordsjoanna Newsom Owns And Operates Joannas Burgers A Small Fas

Joanna Newsom owns and operates Joanna's Burgers, a small fast food store, located at the edge of City College campus in Newton, Ohio. After several very profitable years, Joanna's Burgers began to have problems. Most of the problems were related to Joanna's expansion of the eating area in the restaurant without corresponding increases in the food preparation area. Joanna does not have the cash or financial backing to expand further. She has therefore decided to sell her business.

Vivian Girls is interested in purchasing the business. However, she is located in another city and is unfamiliar with Newton. She has asked Joanna why she is selling Joanna's Burgers. Joanna replies that her elderly mother requires extra care, and that her brother needs help in his manufacturing business. Both are true, but neither is her primary reason for selling.

Joanna reasons that Vivian should not have asked her anyway, since profitable businesses don't come up for sale. To receive full credit, answer both: Identify the stakeholders in this situation. Did Joanna act ethically in not revealing fully her reasons for selling the business? Why or why not?

Paper For Above instruction

The situation involving Joanna Newsom and her sale of Joanna's Burgers raises important ethical considerations in business transactions, particularly regarding transparency and stakeholder interests. To analyze this scenario, it is vital to identify all stakeholders involved. These include Joanna herself as the seller, Vivian Girls as the prospective buyer, the employees and customers of Joanna's Burgers, and the community surrounding the business. Additionally, Joanna's family members, especially her elderly mother and brother, are indirectly stakeholders impacted by her decision to sell.

The primary stakeholders are Joanna and Vivian. Joanna's trustworthiness impacts her reputation, as her decision to withhold full reasons might influence Vivian's trust and the transaction's fairness. Vivian, seeking a profitable opportunity, relies on transparent information to make an informed decision, making her an essential stakeholder. The customers and employees are also affected, as a change in ownership could alter the business's service quality and employment stability. The community benefits indirectly from the business's continued operation and economic contribution.

Regarding the ethicality of Joanna's conduct, withholding full disclosure of her reasons presents a complex ethical dilemma. On one hand, honesty fosters trust and aligns with principles of integrity. On the other hand, Joanna's reasons for selling are personal, and disclosing personal familial matters might infringe upon her privacy or be considered irrelevant to the business transaction. Ethical business practices generally emphasize transparency, especially concerning material information that could influence the buyer's decision. Since Joanna's reasons for selling are not directly tied to the business's financial health or operational issues, withholding them might be seen as ethically permissible. However, misleading or intentionally concealing information to influence the sale would be unethical.

Moreover, Joanna's belief that profitable businesses do not usually come up for sale could reflect a cognitive bias or an overestimation of her business's uniqueness. Ethically, she has a responsibility to provide accurate information about her business's condition. While her personal reasons might be private, transparency about any material issues, such as the lack of expansion capability, would align better with ethical standards.

In conclusion, the stakeholders include Joanna, Vivian, employees, customers, and the local community. While Joanna's decision to conceal her personal reasons may be ethically acceptable if those reasons are deemed irrelevant or private, she has a duty to disclose material information about the business's condition that could affect the buyer's decision. Maintaining honesty and transparency upholds ethical standards and promotes fair dealings in business transactions.

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