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Mitras Ethics Case Study

Air India (AI) is encountering problems with the operation of landing gear of its passenger aircrafts.

In the past one year three separate incidents of similar landing gear failures have occurred on Boeing 777-200LR passenger aircrafts, all operated by AI.

It has floated a tender to procure 216 landing gears for its fleet of Airbus and Boeing aircraft serving 84 domestic and international destinations.

You are the president of a company that produces dedicated landing gears for passenger aircrafts. You have submitted your bid for providing this equipment to the AI.

 You have ensured that the value and rate of your offer remains better than those of the other contestants to the bid. Still the concerned AI officer is demanding a hefty bribe for approving the tender. It is vital to get this order both for you and for your firm.

Not receiving the order would mean closing a manufacturing line. It may also disturb your own career. However, as a truthful person, you do not want to pay bribe.

List effective arguments for

(a) paying bribe and reception of the order, and

(b) not paying bribe and conceding the order to competitors.

Suggest a way to get out of this standoff?

Outline the main fundamentals behind this third way.

20 marks / 250 words.


Please write the answer in comments section

  • Falcon Rising

    Solution for the case Study
    parties involved:
    ‘AI officer’concerned with purchase and me as chairman of the supplier company
    (A)effective arguments for a paying bribe:
    1. reception of the order by paying bribe I would be able to acquire order, which is very important for me to be able to save jobs are not letting the manufacturing line closing
    2. I might get promotion and good reputation from my seniors
    (B) effective arguments for Notpaying bribe
    1. conceding the order to competitors
    2. closing of the manufacturing line might also result in Loss of a lot of jobs
    3. it might also result in bad reputation for me in front of my seniors

    suggested way to get out of the Situation
    1. first I would try to convince the Air India officer about the quality and the competitive price which we are providing
    2. if needed I can provide him an additional perks such as complimentary service free of cost so that I can incentivise the official in considering the offer.
    3.However if he is not interested about the deal I would approach his superior officers and complain about the bribery activities going on in the company .
    The main fundamentals behind this third option is winning by giving him extra incentives which are legal.
    I would be true to my conscience where as if I bribe I would not be truthful to myself .