Cheatingrefer to acts of dishonesty or attempts to gain some advantagethrough unfair means.

Purposeof business

Themain purpose of a business is to maximize profits for theshareholders or investors. However, businesses pursue other goals inthe course of increase financial benefits for their owners. Forexample, businesses exist to meet the needs of their consumers, whichis a profound benefit to the society. This is based on the notionthat was advanced by Peter Drucker, who stated that the main purposeof business is to create customers and keep them. In addition,businesses make a significant contribution towards charitableactivities and community programs, which means that the purpose of abusiness is to enhance the well-being of the society.

Causesof ethical problems in business

Ethicalproblems are caused by many factors, including pressure or desire tomake more money, existence of unethical corporate culture, unclearpolicies, and being over-ambitious. For example, over-ambitiousbusiness people or leaders of businesses that do not have clearpolicies falsify financial statements in order to pay less tax orplease the company shareholders.

Espousedvalues versus actual values

Espousedvalues refer to a set of values that a business claims to observe orfollow. These values are mainly found on the company’s website,annual reports, brochures, and other company documents. Actualvalues, on the other hand, refer to a set of values that arepracticed by the management and employees in on a daily basis. Thisimplies that there can be a difference between the business claimsand what employees and managers practice. For example, the businessmay indicate in its website that customers come first, but employeesinsult customers and respond arrogantly to them. Ethics differ fromethics in that people have to follow laws or else face some negativeconsequences while ethics are sets of beliefs that help peopledetermine what is wrong and what is right. Ethics help people meetthe social expectations of the moral actions.

Reasonsfor people to cheat

Manypeople cheat in a business content because of situational factors.For example, many people decide to cheat when they are confrontedwith difficult situations, where telling the truth might make themlose some opportunities. However, individual reasons can increase thetendency for people to cheat. For example, some people have lessagreeable and less conscious personality that increases theirtendency to cheat even then there is no apparent reason to do so.

Sourcesof our values

Valuescome from relationships that one has with other living beings and alllife experiences that people go through in life. In most cases, basicvalues are learned from home, work, and school because people thatone spends more time with are more likely to impart values thanpeople are far away. Culture, religion, and politics also influenceone’s values.

Relationshipbetween values and ethics

Therelationship existing between values and ethics can be defined by therole that each of them plays in influencing the consciousness ofhuman beings and attitudes towards certain behaviors. Both ethics andvalues play a key role in shaping behavioral patterns of anindividual. They help people pursue integrity and what is of highvirtue.

Reasonsgood people end up doing bad things

Goodpeople are tempted by many things to do what is wrong. For example,there are situations when good people feel that taking a wrong action(such as a bribe) will bring results faster than doing would beconsidered to be right. In addition, strict deadlines, failure to seeethical issues, moral exclusion, and failing to bother oneself aboutthe significance of ethics increase chances for a good person to dobad things.

Separationbetween business values/ethics and private/individual ethics

Businessvalues or ethics cannot be considered to be separate fromprivate/individual ethics. This is because business activities arenot separated from the values held by an individual. Therefore,individual ethics influence business activities.




1.What are the competitive advantages of the Westward Hilton? Are anyof Westward’s advantages sustainable? Are the human resourcepractices and corporate culture easy for competitors to imitate?

WestwardHilton derives its competitive advantages from its human resources.Theadministration of human resources is flexible as it only requires themanagers to formulate HR policies that will enhance a good workingenvironment. The employees are motivated and given the capacity tocontribute positively towards the success of the organization. Thenew management requires should seek to maintain the existing cultureto ensure that there is no lapse in the provision of qualityservices. Further, Hilton Westward has a good customer service thathelps in meeting and satisfying the clients’ needs. As such, thehotel has gained reputation in the industry. The new management maynot want to jeopardize this reputation as it will lead to loss ofclients.

Sustainabilityin any business is essential. The firm’s competitive advantages aresustainable as it’s a matter of creating organizational culture andbehavior that can be imitated by the employees. Human resource (HR)practices and corporate culture are issues that can be imitated bytheir competitors. Every organization looks at the best strategiesutilized by their competitors. Nonetheless, it is not easy for thecompetitors to fully adopt the styles taken by Hilton. Some of theapproaches are dependent of the style taken by the management team.Green used his personal experiences to generate customer-friendlyapproaches that satisfy the clients. Culture and HR practices aredeveloped through the utilization of the expected standards alongsidethe business objectives.

2. What are some of the ramifications of choosing to sell the hotel?What are some of the consequences of choosing to retain the hotel inthe portfolio?

Sellingthe hotel to new investors is likely to alter the organizationalculture within the organization. It is likely that the new managementwill introduce new culture and HR practices that will affect theoperations within the hotel. The new owners may choose to retain oremploy new workforce hence alter the existing organizational cultureand behavior. It is also likely that the change in the culture willchange the morale and productivity of the employees either positivelyor negatively depending on the strategies adopted by the new owners.The employees are likely to feel that the owners are not largelyinterested in their input towards the improved performance hencereduce their commitment to the company. Changing the operationalplans and culture will definitely effects on the customer experiencesand commitment towards the organization. As such, selling the hotelmay alter the relationship between the clients and hotel.

Retainingthe hotel in the portfolio is likely to have positive effects onother subsidiaries since they will in a position to borrow the bestpractices from the hotel. It is evident from the performance that thefirm has the capacity to grow in revenue and customer base henceincrease its value. Moreover, retaining the hotel when it is at thepeak performance may increase the risk of reduced value in the comingyears. Depreciation in the value of the hotel may see the ownersmaking changes at the corporate level hence will not achieve theirobjectives.

3. Are Hiller’s general business strategy (buying distressed,undervalued properties and turning them around for eventual sale) andtheir human resource (HR) strategy compatible? Are the generalbusiness strategy and the mission statement compatible?

Hiller’sbusiness strategy and HR strategy are compatible as seen in thesuccess of the Westward Hilton. The manager developed appropriate HRstrategies to realize the much-needed objectives, especially turningaround the firm that was initially performing dismally. It is throughthe innovative HR strategies that the hotel recorded positive growthhence increased value. It is like the employees have been guaranteedlifetime employment at the organization. As such, changing thisperspective will not be in line with the business strategy. Theimpression created among the employees by the owners is that respectand dignity are the guiding principles. As such, the sale will not becompatible with the business strategy. The employees have not beenadequately prepared for any eventuality as the manager says.

Hiller’sbusiness strategy and mission statement are compatible as the aim isto devise the strategy that will increase the value of the acquiredcompany. The employees are treated with respect and dignity that isexpected of any company aspiring to enhance its performance. Lookingat the mission statement, it is evident that the firm has sought tomake the lives of the clients and employees better through theadoption of the appropriate business strategies. Nonetheless, theaspect of compatibility will depend on the ability of the firm tomaintain the culture and relationship among the stakeholders whoinclude the employees and clients. Moving from interdependenceamongst stakeholders to paternalism will also be inconsistent withthe firm’s mission. The imminent sale is likely to jeopardize theemployees’ efforts and commitment towards positive performance.This will mean that the firm has largely ignored their efforts inmaking the firm profitable.