United bank corporation

1. The case scenario presents Elaine Hunt figuring in at least three major decisions, and one prospective dilemma, relative to her job as senior financial manager for the United Bank Corporation. All of which involves a decision to turn down loan requests on account of upholding moral principles. While each case is distinct and separate, Hunt’s decision to summarily turn down prospective loans, for reasons involving an accommodation of her moral stance, can engender both advantages and disadvantages not only for her, but also for the company.

On the one hand, Hunt’s choice to uphold her moral principles can serve well her reputation in particular and the company’s public image in general. In the field of business enterprise, maintaining an acceptable company reputation is rudimentary for the continued operation of a particular venture. On the other hand, Hunt’s decisions can also hurt UBC’s revenue and profit targets. This is particularly true because the company stands to heftily lose from denying Electrode International’s loan request, after the latter promised to defray the said loan with payments of over 2-points over the present going rate. In the field of business enterprise, sustaining the company with acceptable revenues is definitely axiomatic.

2. The ethical dilemma of Elaine and her husband Dennis has been succinctly expressed with the use of the case of ABCO – a company seeking for a $30 million loan in the hope of investing to a Chinese counterpart involved in fetal tissue harvesting – seen as the final twist of the case. Therein, Elaine and her husband are torn between having to adhere to the moral obligation to turn down the loan on the one hand, and think of their and the company’s welfare on the other hand.

Such ethical consideration is even more aggravated by the fact that both Elaine and Dennis are experiencing financial turmoil at home; as any unwelcome employment termination can make them lose their home, as well as compromise their child’s educational future. Moreover, Elaine has to also consider the fact that, legally speaking, her decision to turn down an investment believed to accrue a return-on-investment of $10 billion in the next ten years, can be construed as a commission of gross lapse of judgment on her part, and therefore can merit legal sanctions to her disadvantage.

3. Two ethical philosophies can be taken as applicable paradigms that can shed light into Elaine and her husband’s dilemma. The first would be Deontology. This is an ethical stance which places higher premium than most on adhering to moral laws, under all circumstances whatsoever. As such, Elaine – whether she knows it or not – is an ardent follower of this moral principle; for she embraces the wisdom that comes with having to faithfully follow moral stipulations, notwithstanding prospective company losses.

The second principle is called Utilitarianism. By contrast, this paradigm seeks to frame moral judgment under the categories of beneficial results or outcomes. Simply put, it is a moral philosophy that affirms the morality of an act if the resulting outcomes prove to be beneficial for as many stakeholders. This, again by contrast, is what Elaine’s senior manage wishes her to consider. This is because Elaine’s decision to approve of a hefty investment, despite her hesitations, shall ultimately become beneficial for all the employees of the UBC.

4. Whether Elaine approves or disapprove ABCO’s $30 million loan, the implications ensuing from her decision are no less palpable. On the one hand, if she chooses to deny the ABCO’s loan request, she emerges triumphant in her quest to maintain and protect her moral integrity, no matter what the cost. But she too has to be ready to bear the legal ramifications of such an act; and even anticipate facing termination. On the other hand, if she chooses to grant what ABCO’s seeks for, she faces the grim prospect of being tagged as ‘ double-standard’, both by her own conscience and the public’s perception; but may win the admiration of her superiors for a job-well done. She too can rescue her family’s financial crisis in the process.