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Profits, Layoffs, and Priorities

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Abstract

This study examines the deliberations of professional MBA students when presented with a dilemma that weighs the difference between commitments to profit- maximization against concerns for fired workers who would need to seek a new job during a recession. Using content analysis, accounting, economic, and ethically based rationales that differ from the profit-maximizing recommendation are categorized. Results also show that those who make non-profit-maximizing recommendations consider, but ultimately reject the profit-maximizing approach to layoffs.

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Correspondence to Daniel G. Arce.

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Arce, D.G., Li, S.X. Profits, Layoffs, and Priorities. J Bus Ethics 101, 49–60 (2011). https://doi.org/10.1007/s10551-010-0707-7

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