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What ethical issues faced by MNCs in their treatment of foreign workers could bring allegations of misconduct in their operations?

Activity Instructions
Almost 30 years old, entrepreneur, Blake Mycoskie took a much-needed vacation to Argentina in 2006. While there, he fully immersed himself in the local culture and also took note of the diverse fashion. One trend in particular was the soft canvas footwear called the “alpargata” worn by nearly all Argentines. He wondered if consumers in the United States would be interested in such a product? Read, the Brief Integrative Case 1.2: TOMS Puts its Right Foot Forward on pages 102-106 of the textbook. Using Chapter 1-3 in your responses, answer questions 1-3 at the end of the case.

  1. What ethical issues faced by MNCs in their treatment of foreign workers could bring allegations of misconduct in their operations?
  2. Would the use of third-party independent contractors insulate MNCs from being attacked? Would that practice offer MNCs a good defensive shield against charges of abuse of “their employees”?
  3. Do you think that statements by companies that describe good social and moral conduct in the treatment of their workers are part of the image those companies create and therefore are part of their advertising message? Do consumers judge companies and base their buying decision on their perceptions of corporate behavior and values? Is the historic “made in” question (e.g., “Made in the USA”) now being replaced by a “made by” inquiry (e.g., “Made by Company X” or “Made for Company X by Company Y”)?

Writing Requirements (APA format)

  • 3-4 pages (approx. 300 words per page), not including title page or references page
  • 1-inch margins
  • Double spaced
  • 12-point Times New Roman font
  • Title page with topic and name of student
  • References page (textbook and minimum of 1 journal article)

Grading and Assessment
This activity will be graded based on academic content, integration of resources, and college-level writing and grammar.

Course Learning Outcome(s): 1, 2, 3, 4, 5
1.  Examine the impact of cultural differences on managerial structures and decision making.
2.  Develop analytical and decision-making skills in international management/
3.  Identify one’s own cultural biases in the decision-making process for cross-border problems and situations.
4.  Identify the management characteristics and tools required for effective managerial decisions.
5.  Apply the tools of strategic analysis.


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