Ethical Obligations and Decision-Making in Accounting 2nd Edition by Steven Mintz, Roselyn Morris

Exercise 13

In the new age of texting, blogging, tweeting, and updating one’s facebook, a variety of new activities have occurred that raise interesting ethical questions. For example, stay-at-home moms that blog often during the day are being wined and dined by giant food companies such as Nestle in return for the unwritten understanding that they will blog positively about company products. In November 2009, Nestle paid to put up sixteen so-called “mommy bloggers” at the posh Langham Huntington hotel in Pasadena, California. These bloggers were treated to a private show at the Magic Castle in Hollywood and sent packages of frozen Omaha steaks to their families to tide them over while the women were away learning all about the company’s latest product lines. In return, the virtual sisterhood filed Twitter posts raving about the Nestle’s canned pumpkin, Wonka candy and Juicy Juice drinks. Is there anything wrong with these practices? If not, why not? If so, explain what you think may be wrong from an ethical perspective.

Step 1 of 2

Ethics:

Ethics in the accounting profession is defined as guidelines and principles. It includes laws and standards of behavior.

Fairness:

Fairness involves allowing everyone an equal opportunity to succeed. It is a judgment free from discrimination and lack of favoritism one person above another.

Josephson’s Six Pillars of character is:

1. Responsibility

2. Fairness

3. Respect

4. Trustworthiness

5. Citizenship

6. Caring.