Ethical eaasy Essay Example | Topics and Well Written Essays - 1500 words

Ethical eaasy - Essay Example The textile materials treated by these chemicals have been banned in the markets in UK and US and so the organization resorts to selling its stock to the developing markets where there is no such legislation. The ethical dilemma in this problem The management of the organization had to make a decision between certain courses of action. There was an option of disposing the products that have been considered not fit for use and manufacture those that are required in the US and UK markets. There is also an option of looking for markets for the products in other regions that have no such regulations. The decision-making in the above case is bound by certain significant constraints. The initial problem that had ethical implications here is that the organization had already produced stock that was treated with carcinogenic agent. The organization did not want to run at a loss by disposing these products. The operations of the organization are also governed by the local, regional, and inter national regulations and a ban on such products in some countries will apply to this organization. Besides, there is also a need to consider the adverse effects of the products that led to its ban in these developed markets and whether it is ethical to introduce into the underdeveloped markets faulty products that have been rejected in the developed markets. ... It was then regarded unethical for a business organization to involve in the well-being of the society. In 1984, Edward Freeman proposed the Stakeholder theory that the objective of business is not only to maximize the shareholders’ profits but also to serve the interests of all the stakeholders of the organization (Crane & Matten, 2007, p.57). Stakeholders include all those parties influencing or affected by the decisions and operations of the organization and so the society is one such stakeholder. In solving such ethical dilemmas, we need to refer to the ethical theories that had been developed in moral philosophies like virtue theory (Aristotle), utilitarianism (Bentham), Immanuel Kant’s Universal law, and the Religious teachings among the other theories. The utilitarian approach will consider the consequences that a given decision will have on all the stakeholders of the organization including the shareholders (Petrick & Quinn, 1997, p.48). The products have been f ound to be contaminated with agents causing cancer. Selling these products to the consumers in the developing market is equivalent to exposing the consumers to cancerous agents. The overall costs to be incurred in managing the resulting cancer are unpredictably high and will be a threat to the economy. The developing markets may also not afford the same prices forcing the organization to lower its product prices thereby reducing the profits. Besides, a long-term effect will also be seen in its reputation in the emerging market should it be later known that the products were not fit. The organization will soon lose its position even in the emerging markets. Thus, the