Answer #1
The Carlson Co. signed the Code of Conduct for the Protection of Children from Sexual Exploitation in Travel and Tourism because the company learned that the surrounding area was notorious when it comes to prostitution and child trafficking. This is also to adopt the corporate ethics policy that was designed to prevent companies from being involved in sex trafficking. I agree with this decision because ethical practice must always be part of the company’s business policy.
Answer#2
One of the advantages is that Carlson CO. will be able to introduce its brand in Costa Rica as the first luxury hotel in Central America and a potential higher income due to growing high-end tourism market. However, the disadvantage would be the extensive monitoring of guests in relation to the company’s commitment to the signed Code against sex trafficking.
Answer #3
The stakeholders that would be affected by the decision to develop a hotel in Costa Rica would be the high-end tourists and guests as they will have another option besides the existing hotels and the other hotels chains, as there will be a tougher competition among them. Their interest is to gain more profit by offering their services. That can be obtained through emphasizing their difference from the previous hotel that was involved in sex trafficking.
Answer #4
Developing a hotel complex in Costa Rica would somehow question the company’s ethical goal, as they company executives are already aware about the notorious prostitution and sex trafficking in the area. The company might contribute to this social problem, to which Carlson must ensure that they are strictly following what the Code says about the issue. In this case the company’s ethical principle would not be in question for as long as they are not involve in any sex trafficking and prostitution acts.
Answer #5
If the Carlson Company decides to proceed with the hotel development, they must ensure that the company’s code of conduct is aligned with what the Code of Conduct for the Protection of Children from Sexual Exploitation in Travel and Tourism states. A strict monitoring of every guest must be applied in order to ensure that the hotel is not being used for sex trafficking acts, regardless if the customer is belongs to a high-end guest bracket.
