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CSEC Principles of Business - Ethics





Research: The Nestle Baby Formula Scandal

Was this unethical?

https://www.businessinsider.com/nestles-infant-formula-scandal-2012-6#still-third-world-women-yearned-for-westernization-4


CONSEQUENCES OF UNETHICAL OR ILLEGAL PRACTICES


UNETHICAL DISPOSAL OF WASTE

Most commercial and industrial activities result in waste materials. 

The following are a few examples of the kind of practice a business can choose to adopt that help to reduce pollution and waste:

1. The use of non-biodegradable packaging has increased as a result of globalization. this persists even though pressure groups are continually raising awareness of its harmful effect. A business can pursue a policy of

consciously increasing its move towards biodegradable packaging even influencing its suppliers to be aware of the need.

2. Plastic products have been clearly identified as harmful to the environment because they take such a long time to degrade.

3. Companies are encouraged to recycle waste.

4. Some businesses use renewable energy e.g. solar panels.

5. Some fast-food companies are now printing on their takeaway packages an encouragement tp dispose of garbage in waste bins etc.

6. Some countries have introduced tax on plastic bags in supermarkets especially to encourage consumers to use reusable shopping bags.


Watch & Decide: Is fast fashion unethical?




Homework

Read and make notes by following the link below:

https://www.nationalgeographic.com/environment/article/toxic-waste 


CONSEQUENCES OF UNETHICAL OR ILLEGAL PRACTICES 


WITHHOLDING TAX 

Withholding tax is in effect cheating the government of revenue and when you cheat the government of revenue you cheat the entire population. Withholding tax is not only associated with money laundering but many businesses look for ways of keeping their tax payment to the minimum. 

Question: Why would companies try so hard to avoid paying taxes?

                Look online to find countries with the highest/lowest tax rates


PRESSURE GROUPS

 Pressure groups are organizations that seek to persuade the central government, local government, businesses and other organizations to recognize their views and respond to them. 

They try to influence the decision making processes by demonstrating the strength of their feelings and exposing unethical practices. Trade unions are examples of pressure group. They try not only to influence employers to pay a fair wage to their employees but also to raise awareness of businesses on environmental issues.







Exercises in Ethics 

Business ethics has been in the spotlight for much of the past decade, especially as examples of wrongdoing come to light in the media. New technologies and international competitive pressures cause a steady focus on the question, “Is it possible to be competitively successful in business today and still operate in an honest and ethical manner?”


Here are some examples of the kinds of ethical situations people encounter. See what action you would take or what decision you would make. Discuss why you chose that way. 



1. You are a farmer. To grow your crops, you must use a lot of chemical fertilizers to keep bugs from destroying the crops before they are harvested. The rain washes these chemicals off your land and into nearby creeks and rivers. The chemicals in the runoff kill the fish. The people who fish for a living complain that you are running them out of business. There are ways to grow crops with less fertilizer, but it is harder and may mean your crop is smaller. What do you do?




2. You are the chief production engineer for a large automobile manufacturer. You have started final production of the newest model. A safety inspector brings a slight problem to your attention—the braking mechanism on a few out of every 10,000 vehicles has defective parts. It is impossible to identify which of the new cars have “issues.” Do you put the new model on the market? Or do you stop the whole production until the issue is fixed? One way could cost lives, but the other would possibly cost you your job. How would you handle it?


** Pause Here **



3. Design for the Dump & the Ethics Crisis




a. How is 'design for the dump' unethical?

b. Can you think of any examples in your own life where you have fallen victim to 'design for the dump'?
    (i.e) electronics which are easily destroyed and cheaply replaced

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