Abstract

This article sets out to examine the economic incentives behind corporate ethics in six case studies of exemplary and poor external relationships. The case studies are: Hewlett Packards relations with its suppliers contrasted with supplier relations in the UK clothing industry: ServiceMasters relations with its ultimate customers contrasted with relations in the UK mortgage industry; and United Biscuits relations with its competitors contrasted with the relations between BA and Virgin during the Dirty Tricks campaign. We conclude by proposing six elements of anethical decision making process consistent with long-run shareholder value maximization.

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