The Timmco Case Study

 

 

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Timmco Case Study
Timmco, Inc. is a publicly traded corporation located in Denton, Texas that makes and sells high pressure industrial spraying equipment used in all sorts of
commercial liquid spraying applications. It prides itself on top quality and promotes its products as “100% made in the USA”.
Sales have been declining recently due to competition from lower priced competitors and Timmco is looking for ways to reduce costs. One option under
consideration is to find a new source for the high-pressure valves used in its products. These valves are complicated mechanisms that operate under very
high internal pressure. If the valve was to burst, it would spray pieces of metal in all directions and pose a significant hazard to anyone standing nearby
including the operator of the equipment. Timmco currently has a contract to purchase 1,000 valves a year at $2,500 per valve from Blagg Industries, a small
privately owned business located in Boone, North Carolina. The contract has been in place for three years and has two more years to run.
Blagg Industries has a dozen employees. Timmco is its primary customer. If Blagg Industries loses Timmco’s business, it will have to lay off employees and
might even go out of business.
Timmco is considering outsourcing the valves from Sanco, an overseas supplier in the country of Slawrovia, instead of buying valves from Blagg Industries.
The Sanco valves only cost $1,000 each, but are known to be of lower quality than the Blagg Industries valves and are more likely to burst. Sanco can supply
these valves at such low cost because they pay their workers, including children, less than the equivalent of $5 per day and work them long hours in hot,
dangerous conditions.
Slawrovia is a poor country, but it has a large government bureaucracy and there is a lot of red tape involved in getting approval to export manufactured
goods to other countries. In fact, it might take more than a year for Sanco and Timmco to obtain the necessary approvals for Sanco to export the valves to
Timmco. Fortunately, the CEO of Sanco is related to the Slawrovia Minister of Commerce and has told Timmco that the necessary approvals can be obtained
in less than a week if Timmco makes a $20,000 “gift” to the Slawrovia Minister of Commerce.
In addition to finding a new, low cost valve supplier, Timmco plans to increase sales by running a new marketing campaign that focuses on their commitment
to American made quality. The tagline will be “Made in the USA by Americans, for Americans.”
You are a high-level executive at Timmco. Analyze the legal and ethical issues presented by the Timmco scenario. Your legal and ethical analysis should
include breach of contract and remedies, negligent torts, product liability, the Foreign Corrupt Practices Act, and deceptive advertising and should incorporate
a discussion and application of one or more of the ethical theories from Chapter 4 of the course textbook Business law: The Ethical, Global, and E-Commerce
Environment.
Your legal and ethical analysis should,
Analyze breach of contract and remedies
Analyze negligent torts
Analyze product liability
Analyze the Foreign Corrupt Practices Act
Analyze deceptive advertising
Incorporate a discussion and application of one or more of the ethical theories from Chapter 4 of the course textbook Business Law: The Ethical, Global, and
E-Commerce Environment.

Sample Solution

warriors. Soldiers are individuals who are involved straightforwardly or by implication with the conflict and it is legitimate to kill ‘to protect the blameless from hurt… rebuff scalawags (Begby et al (2006b), Page 290).However, as referenced above non military personnel can’t be hurt, showing soldiers as the main genuine focuses on, one more state of jus in bello, as ‘we may not utilize the blade against the people who have not hurt us (Begby et al (2006b), Page 314).’ furthermore, Frowe recommended warriors should be recognized as warriors, to stay away from the presence of close quarters combat which can wind up in a higher passing count, for instance, the Vietnam War. In addition, he contended they should be important for the military, carry weapons and apply to the guidelines of jus in bello. (Frowe (2011), Page 101-3). This proposes Frowe looks for a fair, simply battle between two members keeping away from non-warrior passings, yet couldn’t this prompt higher demise rate for soldiers, as the two sides have generally equivalent opportunity to win since both utilize comparable strategies? By and by, ostensibly Frowe will contend that soldier can legally kill one another, showing this is simply, which is likewise upheld by Vittola, who states: ‘it is legitimate to draw the blade and use it against villains (Begby et al (2006b), Page 309).’ moreover, Vittola communicates the degree of military strategies utilized, yet never arrives at a resolution regardless of whether it’s legal to continue these activities, as he continually tracked down a center ground, where it tends to be legal to do things like this however never consistently (Begby et al (2006b), Page 326-31). This is upheld by Frowe, who estimates the genuine strategies as per proportionality and military need. It relies upon the size of how much harm done to each other, to pass judgment on the activities after a conflict. For instance, one can’t just nuke the fear monger bunches all through the center east, since it isn’t just relative, it will harm the entire populace, a potentially negative side-effect. All the more critically, the fighters should have the right aim in the thing they will accomplish, forfeiting the expenses for their activities. For instance: if fighters have any desire to execute all detainees of war, they should do it for the right aim and for a worthy motivation, relative to the damage done to them. This is upheld by Vittola: ‘not generally legal to execute all soldiers… we should consider… size of the injury caused by the foe.’ This is additionally upheld by Frowe approach, which is significantly more upright than Vittola’s view yet infers similar plans: ‘can’t be rebuffed basically for battling.’ This implies one can’t just rebuff another on the grounds that they have been a warrior. They should be treated as empathetically as could really be expected. Nonetheless, the circumstance is raised in the event that killing them can prompt harmony and security, inside the interests, everything being equal. By and large, jus in bello recommends in wars, mischief must be utilized against warriors, never against the guiltless. Be that as it may, eventually, the point is to lay out harmony and security inside the ward. As Vittola

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