Question

A manufacturing company provides jobs for many people in a small town where employment is not easy
to find. The company has stayed in the town even though it could find cheaper workers elsewhere,
because workers are loyal to the company due to the jobs it provides. Over the years, the company has
developed a reputation in the town for taking care of its employees and being a responsible corporate
citizen.
The manufacturing process used by the company produces a by-product that for years has flown into the
town river. The by-product has been considered harmless but some people who live near the river have
reported illnesses. The by-product does not currently violate any anti-pollution laws.

A. How this case is relevant to corporate governance?

Answer 1

Answer:

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