If a firm has a divisionalregional structure and places extreme pressures on its divisional executives to meet short-term profitability goals (e.g. quarterly income) could this raise some ethical cons?

Yes, placing extreme pressure on divisional executives to meet short-term profitability goals can raise ethical concerns. This pressure may incentivize executives to prioritize immediate financial performance over long-term sustainability, potentially leading to unethical practices such as manipulating financial statements, cutting corners on product quality, or neglecting employee welfare. Additionally, such a focus on short-term gains can harm stakeholder relationships, erode trust, and ultimately damage the firm's reputation.