Business and society Case: Forming GameRush, Inc.

“GAMERUSH” ASSESSMENT Assume that you are the person identified as “you” in the problem provided to you.  You have an Accounting degree from Troy University and you are a CPA.  As stated in the problem, you are married and you have two children who are in a very expensive private school.  Your spouse has just lost his/her job.  Answer the questions set out at the end of the problem.You are to compose a short paper that addresses all questions asked. As we are also evaluating your writing, your answers must be in an essay format, rather than using outlines or bullet points. You are to submit your answers in narrative form. Keep in mind that communication has multiple dimensions to it. Communicating substantive information is only one dimension. How well you communicate it and the grasp of the English language that you display in your communications will all have a bearing on how the individual grading your submission will evaluate it. You and four other friends, Joan, David, Albert, and Alice went to separate institutions to pursueeducations after high school. Joan attended Harvard where she studied management. David attendedStanford where he studied marketing. Albert attended Virginia where he studied Human ResourcesManagement. You went to Troy University’s Sorrell College of Business where you studied Accountingand eventually passed your CPA examination. Alice attended Yale where she studied Computer Science.She specialized in game design.After graduation, Alice went to work for GameDay, Inc. where she worked on game design. Thatcompany had a large number of Psychology graduates who had Ph.Ds and who worked in thatcompany’s Psychological Research Department which did research work on the psychological aspectsand dimensions of game theory. The Department’s research demonstrated that there were certainaspects of games and game design which could be built into games that would result in a game thatproduced a form of psychological addiction. During the course of her employment, and as part of herjob responsibilities, Alice became very familiar with that psychological research being done by thePsychological Research Department.After working at GameDay for two years, Alice left the company and contacted you and the other threehigh school friends. She proposed the she, you, and the other three friends form an LLC to develop anddesign games. The name that she proposed for the LLC was GameRush, Inc.She proposed developing computer games. You and the other two friends agreed to her proposal. Youall retained counsel and set up an LLC.A financial plan was proposed by Alice whereby, the production of the game would be outsourced to acompany in India. Alice knew of the plant and its production through her work at GameDay. She knewthat the plant was in Bhopal, India and that the labor rates were lower than most other parts of India.She also knew that the turn-around time from placing an order to receipt of the final product was aremarkably shorter time than provided by other manufacturing sites in Vietnam and Malaysia and evenmost other sites in India. Alice did not propose going to India to inspect the plant, but to simply contractwith that company’s representative here in Alabama for the work to be done.David, as Chief Marketing Officer, proposed a marketing plan whereby he would contact potentialadvertising clients who would purchase advertising on the game. At points, where commercial namescould be used, the advertisers would purchase time on the game for their names to be used. Theprimary advertising strategy was to tell potential advertisers that players of the game would use thegame over and over multiple times during which the advertisers’ names would be prominently displayedto players of the game.Alice had access to psychological research while working at GameDay which showed that repetition ofadvertisers’ names increased the probability that viewers of the advertisements would buy the productsand that the use of names in the context of “fact” scenarios, like games, increased even more theprobability of users buying the advertisers’ products. This was told to potential advertisers as aninducement for them to put their advertising in the game.The plan was to build and market a game using Alice’s knowledge of the psychological research onbuilding into games addictive qualities which she has learned while employed at GameDay. Everyoneagreed to the business plan except you. You expressed your concerns.The psychological research regarding the dimensions of game theory and the advertising issues were notthe subject of any trade secret protections enforced by GameDay. Much of the research could be foundat various universities.You have a spouse at home who has just lost his/her job and you have two children. Both are going to aprivate school in your community where the tuition for each student is $15,000 per year.Provide the following:1. Full descriptions of any ethical and corporate social responsibility issues that you see, to includean identification of stakeholders and how they are implicated by the facts in this problem.2. Identifications and applications of any models of ethical analyses that you would employ inassessing the problem. Provide a complete demonstration of each model of ethical analysis thatyou use. Do not employ a mode of decision-making whereby you move from facts directly toconclusions. You must demonstrate your analytical process that connects facts to conclusions.A description of your selection of the course of action that represents your perception of thecorrect (right), moral choice and the reason(s) for your selection. Fully describe all of thereasons for your choice of that course of action as the “right” one.3. Descriptions of the strategy or strategies, if any, that you would pursue to implement yourchoice. Fully describe your perception of the consequences of your strategies.