A Crisis of Ethics at Starstruck Media
No Fee
Case ID: | E-STM-20230719-1-V1 |
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License: | CC BY-NC-SA 4.0 |
Pages | 3 pgs |
Case Study Analysis | Not Included |
Teaching Notes | Not Included |
Ai Level | Content co-authored with the OpenAI API |
Category(s) | Ethics (9/10) |
This case study delves into the ethical and management crises faced by Starstruck Media, a globally recognized online streaming platform, during 2023. Two main issues take center stage: a marketing controversy over a sensitive documentary and significant accounting errors that overestimated profits. These dilemmas force Starstruck’s leadership to navigate a challenging terrain of public relations, investor trust, and potential legal consequences, while reconsidering their commitment to ethical business practices. The case serves as a potent tool for exploring the complex dynamics of ethics, marketing, finance, and strategic decision-making in business.
Rating of Case Categories
- Ethics (9/10): The case presents a significant ethical dilemma, addressing both marketing ethics and financial reporting ethics, making it an excellent fit for courses dealing with business ethics.
- Marketing (8/10): Starstruck's marketing campaign and its related ethical implications are a central issue, making this case applicable to marketing courses, especially ones focusing on ethical aspects.
- Finance (8/10): With accounting errors leading to financial misstatements and stock price implications, this case could be used in a finance course to discuss the impact of financial transparency and errors on investor confidence.
- General Management (7/10): The case addresses decision-making under pressure, leadership, and crisis management, all of which are key topics in general management.
- Strategy (7/10): The case poses strategic decisions in terms of public relations, investor relations, and long-term company image. However, it's not deeply rooted in strategic development or analysis.
Weaknesses of This Case Structure
- Lack of Concrete Data: The case lacks specific financial, customer, or market data, making it difficult for students to perform quantitative analysis or apply analytical frameworks.
- Undefined Characters: There's an absence of clearly defined characters. Highlighting key decision-makers or stakeholders and their perspectives can enrich a case study's storytelling element.
- Limited Background Information: While some information is given about Starstruck, deeper context regarding the company's history, culture, previous controversies, and competitive landscape would provide a more comprehensive perspective.
- No Clearly Defined Outcome: There's no information on what decisions were actually taken by Starstruck's executives and what the consequences were, which could be used to generate additional discussion and learning.
- Lack of Stakeholder Perspectives: The case does not dive into the perspectives of different stakeholders, which could provide valuable insights into the complex dynamics of business decisions.
Strengths of This Case
- Strong Ethical Dilemma: The combination of marketing controversy and financial errors makes for an engaging ethical case study.
- Real-world Relevance: The scenario is believable and reflective of the kind of crises companies can face, increasing its value as a learning tool.
- Interdisciplinary Approach: The case integrates ethics, marketing, finance, and strategy, promoting a holistic understanding of business operations.
- Stimulates Critical Thinking: The case poses complex, open-ended dilemmas, promoting debate and critical thinking among students.
- Invokes Stakeholder Analysis: Despite not directly providing stakeholder perspectives, it sets the stage for a discussion about different stakeholders and their potential reactions, promoting an understanding of stakeholder management.
- Potential for Further Exploration: The case leaves room for students to delve into areas like crisis management, public relations, corporate social responsibility, or investor relations, making it a versatile teaching tool.