Business Ethics No More?
Ethics talk about the philosophy of morality and our understanding of what is right or wrong. Every individual has a different perception that is often clouded due to cultural context, personal experiences, emotions and so on. Ethics solely depend on these individual perceptions and hence they differ from one individual to another. In the business context, ethics are a form of applied principles or professional ethics, that examine ethical principles and moral or ethical problems that can arise in a business environment.With every organisation in a capitalist market being extremely profit-oriented, the competition among companies is at an all-time high. Because of this very reason, ethics have suffered tremendously in the field of business. Companies lose their sense of responsibility towards the customers and become fixated on making more profits in order to survive in the rat-race.
Some of the case studies that help substantiate my stand are as follows:
1] Volkswagen Cheating Scandal:
In September of 2015, the Environment Protection Agency found out that many Volkswagen cars being sold in America had a "defeat device" - or software - in diesel engines that could detect when they were being tested, changing the performance accordingly to improve results. The German car giant has since admitted cheating emissions tests in the US. Volkswagen-manufactured Audi A3 and the Volkswagen models Jetta, Beetle, Golf and Passat were instantly under the scanner. But Volkswagen has admitted that about 11 million cars worldwide, including eight million in Europe, are fitted with the so-called "defeat device". This example shows how even a giant automobile company like Volkswagen has lost its sense of ethics and morality.
2] Apple slowing down Iphones in 2017:
Apple purposely slowed down Iphones in order compensate for the decaying batteries in 2017. It appeared to feed into a long-time conspiracy theory among some Apple users: that the company had been purposely slowing down old models when a new version came out in a bid to force consumers to upgrade. Now, the company is facing lawsuits for allegedly slowing down the devices without first warning consumers.
In response, Apple has apologized for slowing down the Iphones, calling it a “misunderstanding,” and offered to sell battery replacements for $29 instead of the usual $79 in the U.S. Apple has said that once the battery is replaced, the iPhone’s speed will pick up again. This move of Apple’s again manipulated the emotions and trust of the consumers.
3] Johnson & Johnson:
The pharmaceutical giant sold powder products that were contaminated with asbestos — a pollutant in talc that has been linked to lung cancer — though there is much debate about whether talcum powder can lead to ovarian cancer. A jury in Missouri ordered Johnson & Johnson to pay $4.69 billion in damages to 22 women who claimed the company’s talcum powder products caused ovarian cancer. The women routinely used Johnson’s Baby Powder and Shower to Shower, an absorbent body powder, to “dust their perineum for feminine hygiene purposes.”
They said they later developed ovarian cancer.
The company has been using this harsh ingredient in their products for over 40 years now and is very unethical in nature.
Ethical and unethical behavior is something that we all observe in our daily lives. I have played a role in many unethical doings myself. Whether it is lying to my parents, lying to my friends' parents to cover up for them, bunking class and hanging out with my friends and so on, I have done it all and somehow manage to justify my actions in my head. I think most of us in reality follow the "ends justify the means" principle and this principle is extremely subjective and individual in nature.
