MANAGER’s ETHICAL DILEMMA Dan Williams owneda auto seat covers. Dan became alarmed at his labor costs, particularly because his foreign competitors paid their employees only one-third to one-half of what Dan paid its employees. Labor production in Wisconsin that made The response was instantaneous and uniform: Each gover- nor leaped at the opportunityl The different governors put forth packages offering Dan tax incentives (low or given real property taxes, low unemployment taxes, low workers’ compensation costs) and free buildings for sev- was a sizable component of his costs of eral years. What ethical considerations (refer to Chapter) One day Dan decided to call the governors of Tennessee, should Dan consider in deciding whether to remain in Georgia, Mississippi, and Alabama to see whether they would be interested in having a 300-person factory relocated there 、Wisconsin or relocate in another state?

Labour costs seem to be the only factor which is motivating Dan to shift operations to other cities but other factors need to be looked as well like
1. What are the what is the kind of Labour Union in the cities like Tennessee, Georgia etc, if there is strong union movement that means that eventually wage rate may increase in future thus nullifying the motive to shift in the first place.
2. what are the health safety and environmental laws in the cities like Tennessee, exposure to toxic chemicas may no be permitted in high levels in some states as compared to other, further there can be requirement for solvent recovery system which may lead to increased expense in other head.
 
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