The Merge of Time Warner and America online

The merge of Time Warner and America Online definitely did not consider business ethics when merging their two companies together. This thoughtless act resulted in many shareholders losing their stocks totaling $200 billion, along with countless employees losing their jobs. Social responsibility is the idea that companies should embrace its social responsibilities and not be solely focused on maximizing profits. Time Warner and American Online were too aggressive with their promises, alongside Steve Case focusing more on his personal goals in creating AOL into a multibillion dollar company rather than the well-being of his employees and shareholders. Situations like these can always be avoided by collecting opinions of stakeholder and others associated with the company to decide whether or not their decision will be socially responsible.

There were regulatory issues with the proposed merger of Time Warner and American Online because it would've been too large of a company and created a unfair advantage and power compared to other companies in the internet business. The Federal Communications Commission and Securities Exchange Commission are the government agencies overseeing the regulatory issues of these two companies. The FCC and SEC are supposed to encourage companies to value and make decisions in a socially responsible manner.