For this assignment, read the case study, The 1920 Farrow’s Bank failure: a case of managerial hubris. This case is located in the ABI/Inform Complete Database found in the CSU Online Library (see reference below).
Hollow, M. (2014). The 1920 farrow’s bank failure: A case of managerial hubris? Journal of Management History, 20(2), 164-178.
Thomas Farrow had been evaluated as having been inflicted by managerial hubris at the time of the bank’s collapse in 1920. With this in mind, address the following questions, with thorough explanations and well-supported rationale.
- How did corporate culture, leadership, power and motivation affect Thomas’ level of managerial hubris?
- Relate managerial hubris to ethical decision making and the overall impact on the business environment.
- Explain the pressures associated with ethical decision making at Farrows Bank.
- Evaluate whether the level of managerial hubris would have been decreased if Farrow Bank had a truly ethical business culture. Could this have affected the final outcome of Farrow Bank? Explain your position.