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.

 

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