Ethics Case Study

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CONCLUSION

I have extended my knowledge about consequences similar to what Amanda would have experienced. If I had this knowledge during the dilemma I would have served stage four of Kohlberg’s Theory, Law and Order Orientation. Resulting in Amanda learning from incorrect actions and informing her parents of her social needs.

Part (C)

INTRODUCTION

Consumer expectation of corporate social responsibility (CSR) has increased, leading companies who implement CSR to success (Gottschalk, 2011). It should be a goal for Divine Skinz Pty Ltd, to live up to this consumer expectation. Practicing CSR holds Divine Skinz to a duty of acting ethically via voluntary assumptions of responsibilities that go beyond economic and legal necessities (Boatright, 2012). Three types of CSR’s relate: apolitical, instrumental and ethical, and will dominantly focus on Edward Freeman’s theory. It should be seen as Divine Skinz’s responsibility to act beyond the law on behalf of consumers, as the European ban was already brought to the attention of Australian Medical and pharmaceutical authorities with no concerns legally implemented.

THE VISION

Milton Friedman states goals should be accomplished whilst meeting economic responsibilities for shareholders (Schwarz, 2012). The company can comply with both Friedman and Freeman by avoiding future implications and relating to arguments mentioned by Keith Davis. ‘Government Regulation’, and, ‘Prevention Is Better than Curing’, will be addressed. The enforcement of regulation dampens businesses economically. The company will benefit by acting upon information now, rather than when a future a ban may be enforced (Clarke, 1994). Planning to reduce the product instead of a sudden product withdrawal will minimize deficit. Utilizing alternative resources is another factor, preventing major conflagrations (Davis, 2015). It is profitable to continue distributing the current product, however it is socially responsible for consumers to be aware, allowing for transparency and accountability. A new product line should be introduced, increasing the companies resources as well as trust by consumers.

CONCLUSION

The option suggested for the company is for information of the product ban in Europe to be available to consumers. In result all production of products exploiting the banned ingredient will stop, and production with the alternative ingredient will start. Consumers will have a choice to purchase products in-stores with the banned ingredient, or wait for new products with a replacement ingredient. This action will allow for prevention prior to major conflagrations of regulation.

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Reference list

- Boatright, J. (2012). Ethics and the Conduct of Business (p. 352). Pearson.

- Clarke, M. (1994). Regulation and Enforcement. Journal Of Financial Crime, 1(4), 337-346. doi:10.1108/eb025632

- Davis, K. (2015). The Case for and Against Business Assumption of Social Responsibilities. The Academy Of Management Journal, 15(2), 312-322.

- Fisher, C., & Lovell, A. (2003). Business ethics and values. Essex: Pearson Education Ltd. [FT Prentice Hall].

- Gottschalk, P. (2011). Corporate social responsibility, governance and corporate reputation. New Jersey: World Scientific.

- Low, R. (2014). Business Law and Ethics (pp. 1-56). Queensland University of Technology.

- SCHWARTZ, M., & SAIIA, D. (2012). Should Firms Go “Beyond Profits”? Milton Friedman versus Broad CSR1. Business And Society Review, 117(1), 1-31. doi:10.1111/j.1467-8594.2011.00397.x