Investment in South Africa Paper: In a four to five page, using sound construction and supporting your work, construct an essay in which you answer the following questions after reading Case Study #4: A South African Investment:
a. In your judgment, were the possible utilitarian benefits of building the Caltex plant in 1977 more important than the possible violations of moral rights and of justice that may be involved? Justify your answer fully by identifying the possible benefits and the possible violations of rights and justice that you believe may be associated with the building of the plant, and explaining which you think are more important.
b. If you were a stockholder in Texaco or Standard Oil (now named Chevron), how do you believe you ought to vote on the three kinds of stockholder’s resolutions that were proposed (the first asking Caltex to terminate its operations, the second asking Caltex not to sell to the military or police of South Africa, and the third asking Caltex to implement the Tutu principles)? Justify each of your answers fully.
c. What kind of responses should the managers of Texaco and SoCal have made to each of the three resolutions? Justify your answer fully.
d. In your judgment, does the management of a company have any responsibilities (i.e., duties) beyond ensuring a high return for its stockholders? Should the management of a company look primarily to the law and to the rate of return on its investment as the ultimate criteria for deciding what investments it should make? Why or why not?
Velasquez, M. (2006). Business Ethics: Concepts and Cases (6th ed.). Upper Saddle River: Pearson Prentice Hall. ISBN: 0131930079
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