Neda operates a small convenience store in a southern town that has a high touri

Question

Neda operates a small convenience store in a southern town that has a high tourist draw. After several years of operating the store, Neda has decided to no longer sell tobacco products of any kind because of her belief that they are dangerous and lead to addictions. After a few months, several other stores in the community also decide to stop selling tobacco products. Their rationale has more to do with lawsuits and criminal penalties when employees sell these products to minors. Within one year, all community stores have decided to ban the sale of tobacco products. The town has become known as "smokeless," and residents who make a living on tourism are afraid that this label will hurt tourism and their businesses. As more and more communities are prohibiting smoking in public places, this sample case study has been a real situation in many communities throughout the nation. As a result, there should be plenty of factual material available to reinforce your findings and conclusions.

1. Who are the stakeholders affected by the stores' decisions? Do the stores, as businesses, have an obligation to the broader community to not hurt tourism? Is Neda placing her own personal ethics ahead of business ethics? Is there a difference? Why, and how?

Explanation / Answer

The stakeholders affected by the stores' decisions can include (traveling agencies, hotels, motels, car rental agencies, gas stations, RV campgrounds, local attractions, GOVERNMENT-because less travelers=less spending=less taxes=less revenue)

The stores do not have an obligation to the broader community to not hurt tourism because the stores are privately owned and have not done anything that have violated the law.

Neda is placing her own personal ethics ahead of business ethics because as a general rule and law in business (is to try to make as much profit as you can). By not selling tobacco products, Neda is losing revenue & profit itself.

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