I need support with this Economics question so I can learn better.
125 words Each with references
One: As the executive in this situation, I would have to stand firm on my company’s policy on no child labor. Executives are often put in situations where they have to make decisions that set aside personal thoughts, beliefs, feelings, etc. and are best for the business. As a former social worker, turning away an orphan child with no access to social services would be a personally difficult decision to make. However, it is in the best interest of the business to not allow child labor. The potential fall out the business would face on the media and public were made aware would be detrimental to business operations.
Businesses and executives must be mindful of the laws, ethics, values, and culture of any country they plan to do business in. These are all fluid factors and can change over time. What is ethical in another country may be unethical here in the U.S. and vice versa (Hill, 2019). Additionally, what is legal is not always ethical, and what is ethical is not always legal. As such, executives can be put in complicated situations when making policy and decisions based on law and the firm’s ethics.
The short answer to the scenario was to not allow the young girl to work in the factory. The long answer is that something must be done to combat the issue, as she surely cannot be the only child, in that city, in that situation. This is where corporate social responsibility (CSR) would come into play. CSR is “the act of incorporating environmental and social concerns into a company’s business” (Edmondson, 2019). In India, for example, Microsoft and the Bill & Melinda Gates Foundation created Avahan, an initiative targeted towards the prevention of HIV (Sharma, 2009). As an executive, I would put together a task force that would canvass the employees and the community that the factory is in to determine if there was a greater need for a program for the youth.
Edmondson, B. (2019, October 7). What Is Corporate Social Responsibility (CSR)? Retrieved from https://www.thebalance.com/corporate-social-responsibility-csr-4772443
Hill, C. W., & Hult, G. T. (2019). International Business: Competing in the Global Marketplace. New York, NY: McGraw Hill Education.
Sharma, S. G. (2009). Corporate social responsibility in India: An overview. The International Lawyer, 43(4), 1515-1533. Retrieved from https://saintleo.idm.oclc.org/login?url=https://search-proquest-com.saintleo.idm.oclc.org/docview/900115740?accountid=4870
Two: This is an extremely difficult situation and puts me in a position to make an executive decision that can harm or make the organization successful.
Being someone who is from the native land of America and who knows what child labor laws consist of in America, it would be only right that I would report this issue. But first I need to think about the culture that I am in. Is this the norm for this culture, since this child is an orphan what would happen if I were to report this? The executive should research and try to find out orphan laws and if reporting this issue, would it put the child in more danger. The first step would be is to understand organization culture, and understanding an organization’s culture helps to define the proper ways and to help understand the way to behave within an organization (SHRM, 2020). The next step is to understand cultural norms, what are the standards that that cultural lives by. Are they the same shared expectations and rules that your organization lives by? Norms do differ from cultural to culture which can lead to cross cultural misunderstandings. Working through cross-cultural misunderstandings, is by identifying 4 things, the behavior, identifying feelings, identifying expectations, and reflecting on underlying values (Sieck, 2019).
Based on the current situation, one would think this issue should be handled the way the individuals culture seems fit, “employees whose organizations have strongly defined cultures can also justify their behaviors at work because those behaviors fit the culture (SHRM, 2020).” But in this situation things have to be handled different. Knowing the rules with what your organization culture has could help one to handle the situation effectively and respectively. Knowing the minor labor laws, the child should stop working, and the authorities should be contacted immediately. That specific organization should be monitored closely so another issue like such does not arise.
SHRM. (2020). Understanding and Developing Organizational Culture. Retrieved March 18, 2020, from shrm: https://www.shrm.org/resourcesandtools/tools-and-s...
Sieck, W. (2019, Sept 19). How to Manage Cross-Cultural Misunderstandings. Retrieved March 18, 2020, from globalcognition: https://www.globalcognition.org/cross-cultural-mis...