Question

Clarissa is a sales representative for a large pharmaceutical firm. While calling on one of her major clients, the purchasing director of a hospital, the client told her confidential information that a sales representative from a competing firm had passed on to him. The information completely contradicts Clarissa's firm's understanding of the competitor's business strategy, and would allow Clarissa's employer to gain many of the competitor's clients. What ethical implications may result from this situation?

a. The ethical dilemma is not Clarissa's but her client's, since he passed on confidential information to her voluntarily.
b. There is no ethical or legal concern here for Clarissa.
c. The ethical dilemma here is the right of competitors not to reveal certain information.
d. This is an example of ethical competitor intelligence obtained as eavesdropping.

Answer 1

The correct answer is C) The ethical dilemma here is the right of competitors not to reveal certain information.

The ethical implication that may result from this situation is "The ethical dilemma here is the right of competitors not to reveal certain information."

Here we have a good example of an ethical dilemma in business.

Ethics is a major component in business operations and transactions. When doing business with other companies, employees are always in contact with other people: suppliers, operators, salesman, PR's, and many others. They have to be very careful about what they speak because it can be later used by a competitor. Many employees sign a confidential letter when entering their jobs. This means that they cannot reveal any kind of information related to the company because it can represent a major risk.

So in this case, Clarissa faces a dilemma and she has to do the right thing, although this would mean to lose the advantage of a great sale for her company.